Massachusetts-based metals refiner Nth Cycle announced Tuesday it signed a binding term sheet with Glencore (LON: GLEN) representing an estimated 10-year off-take value over $1 billion, based on forecasted pricing figures as of the second quarter of 2026.
The partnership is centered on project SHIELD, Nth Cycle’s planned battery materials refining facility in South Carolina. Nth Cycle said the location benefits from strategic port access and proximity to one of North America’s fastest-growing energy corridors.
Nth Cycle’s technology, designed to be used in a portable system it has branded ‘Oyster,’ utilizes an electrochemical process to selectively extract nickel and cobalt from scrap, batteries or mined rock.
Under the terms, 100% of the black mass will be supplied for the facility from Glencore’s commercial network and already operational US shredding assets; the offtake of Nth Cycle’s high purity mixed hydroxide product (MHP) and battery-grade lithium carbonate; and assessment of an existing, developed Glencore site in the U.S. to accelerate build-out.
The collaboration also provides for joint exploration to deploy Nth Cycle’s OYSTER system for black mass refining in Europe, as well as rare earth and copper recovery globally, the company said.
With this, Nth Cycle said it has binding term sheets that represent 100% of its projected feedstock and offtake needs for project SHIELD. Spurred by federal policy and funding announcements, the deal also aligns with the recent U.S. black mass export controls and the $100m grant Nth Cycle was selected for by the Department of Energy’s Office of Critical Minerals and Energy Innovation.
“With their premiere global network, this agreement helps guarantee Project SHIELD will have the feedstock and off-take needed to meet the soaring market demand for critical materials – with significant opportunities to deploy our OYSTER system for copper and rare earth elements as well,” CEO Megan O’Connor said in a news release.
“Nth Cycle has been at the forefront of building domestic US refining capacity, and we are pleased to be partnering with them,” Glencore’s Head of Marketing, Metals and Bulks Jyothish George added.
“By supplying black mass from our US operations and taking the refined product to market, we can help close the loop in the supply of critical minerals for our US customers.”
The companies said they are targeting to execute definitive agreements relating to the black mass supply and offtake of MHP and battery-grade lithium carbonate by the end of 2026.
In July, Nth Cycle said it would go public through a merger with special purpose acquisition company (SPAC) Kensington Capital Acquisition Corp. VI (NYSE: KCAC). The merger will value the company at $585 million.
Source: https://www.mining.com/nth-cycle-signs-10-year-1-billion-offtake-deal-with-glencore/
