LG Energy Solution announced on August 31, 2026, that it has signed a multi-year binding offtake agreement with Smackover Lithium for battery-quality lithium carbonate. Smackover Lithium is a partnership between Standard Lithium Ltd. and Equinor, an international energy company. Under the agreement, Smackover Lithium will supply LG Energy Solution with 8,000 metric tonnes of lithium carbonate annually over a 10-year period.
The lithium carbonate will be sourced from the South West Arkansas Project in Arkansas. LG Energy Solution said the material will support its efforts to secure a stable supply of locally produced cathode materials for energy storage system batteries using lithium iron phosphate chemistry, as rising power demand continues to drive growth in the North American ESS market. The company noted that the supply also meets non-Prohibited Foreign Entity requirements.
LG Energy Solution operates seven production facilities in the United States, including three standalone sites, and said most of these facilities already have established production capacity for batteries using LFP chemistry. By pairing its U.S. manufacturing footprint with lithium carbonate from Smackover Lithium, the company said it has secured a fully integrated local supply chain from sourcing to production.
Smackover Lithium’s lithium carbonate will be produced using a direct lithium extraction and purification process. LG Energy Solution said this approach supports a more sustainable supply of key battery materials.
The company said it continues to pursue strategic partnerships with major global suppliers to secure essential raw materials for battery production. It also said it is working to diversify its supply chain by region in order to provide cost-competitive power solutions that remain resilient to changing regulatory environments.
Source: LG Energy Solution
