Volkswagen Group invests $48M for a 9.9% stake in Patriot

Volkswagen Group’s has announced that it has partnered with Patriot Battery Metals in a landmark deal. This is PowerCo’s first direct investment in the lithium supply chain, marking a key step in their vertical integration strategy from mine to battery.

Deal highlights

Volkswagen invests $48M for a 9.9% stake in Patriot. A binding offtake deal for 100,000 tonnes/year of spodumene concentrate for 10 years, ensuring supply for PowerCo’s gigafactory in St. Thomas, Canada. The deal focuses on developing Patriot’s Shaakichiuwaanaan Lithium Project, one of the largest in the Americas.

Key milestone

Thomas Schmall, Volkswagen Group Board Member for Technology, said: “This investment represents a milestone in our journey toward a fully electric future. By collaborating with Patriot Battery Metals, we are not only securing key raw materials for cutting-edge, sustainable battery technology but also reinforcing our commitment to North America. Together with partners, we are building a dedicated e-mobility ecosystem in North America, ranging from battery technology to software and specific vehicle architectures.”

Sustainable battery industry

The collaboration will be on best practices for environmental, social, and governance standards.
Moreover, this partnership solidifies a resilient, sustainable EV battery supply chain for North America and Europe, aligning with PowerCo’s mission to lead in global battery production.

Jörg Teichmann, Chief Procurement Officer of PowerCo, said: “This is the next step in PowerCo’s mission to become a global battery player with roots in Europe and North America. By building a North American supply chain for EV batteries together with partners, we are strengthening our footprint in the region and driving forward the development of a resilient, sustainable battery industry. We are very pleased to have found such a partner in Patriot Battery Metals and to support the team in becoming one of the global lithium leaders and key supplier of lithium raw materials to the emerging North American and European EV ecosystem.“

Ken Brinsden, CEO & Managing Director of Patriot Battery Metals, said: “The partnership with PowerCo and the investment of Volkswagen Group is a great testament to the performance and quality of our team. At the same time, it emphasises the world-class status of the Shaakichiuwaanaan Lithium Project and the excellent prospects for Patriot Battery Metals’ future role in the promising global EV supply chain.”