Australian lithium miner, Pilbara Minerals (ASX:PLS), has entered into a three-year agreement with China’s Sichuan Yahua Industrial Group to supply them with spodumene concentrate from its Pilgangoora operation in Western Australia.

Spodumene is a mineral notable for its high lithium content, an integral element in the manufacturing of batteries for electric vehicles.

Supply quantities under the agreement are to range between 20 thousand tonnes (kt) and 80 kt in 2024, ultimately ramping up to between 100 kt and 160 kt in 2025.

These volumes will enable Yahua to solidify its global battery supply chain commitments and help expand Pilbara Minerals' medium-term sales profile while preserving their long-term options, said Dale Henderson, Pilbara’s Managing Director and CEO.

Sichuan Yahua Industrial Group maintains strong ties within the lithium supply chain, servicing clients such as Tesla, LG Energy Solutions, LG Chem, and Contemporary Amperex Technology.Pilbara Minerals is an Australian lithium miner with significant operations in Western Australia.