EnergyX obtained a $225 million investment from Eni for a minority stake in its Black Giant Chile lithium project, accelerating DLE-based production toward 52,500 tpa LCE with low costs and strong offtake arrangements.
What is EnergyX’s main focus?
EnergyX, founded in 2018 in Austin, Texas, by CEO Teague Egan, specializes in direct lithium extraction (DLE) technologies and lithium resource development. The company focuses on sustainable production methods to support the global shift to energy storage and electric vehicles. Its proprietary GET-Lit™ platform integrates adsorption, solvent extraction, and selective membranes (including electrodialysis) to process brines efficiently.
EnergyX announced a $225 million strategic equity investment from Italian energy company Eni for a minority stake (approximately 25%) in Project Black Giant™ in Chile’s Antofagasta region. This builds on Eni Next’s earlier participation in EnergyX’s 2022 Series B round and includes offtake rights for up to 25% of future lithium output from the project. Eni will also provide technical collaboration, leveraging its expertise in infrastructure and operations.
Project Black Giant™ Details
- Location and Resource: Over 100,000 acres near Salar de Punta Negra in the Domeyko Range. A resource report by Montgomery & Associates estimates up to 9.8 million tonnes of in-situ lithium (LCE), based on 22 exploration wells, with concentrations up to 1,150 mg/L (average around 300 mg/L).
- Production Targets: Phase I aims for 7,500 tpa LCE by around 2028; Phases I and II combined target 52,500 tpa by 2030, with potential for further expansion to 100,000+ tpa in later phases. This positions it among major global lithium operations.
- Economics: Pre-feasibility study (with Worley) projects industry low CapEx of ~$14,500 per tonne and OpEx of ~$2,944 per tonne. Total project CapEx for the first two phases is estimated just under $1 billion (including financing). At ~$25,000 per tonne lithium carbonate (May 2026 pricing), it could generate ~$1.3 billion in annual gross revenue once fully operational.
- Financing: The $225M equity from Eni complements a $690M non binding debt financing LOI from the U.S. EXIM Bank. Goldman Sachs advised on the transaction.
- Development Status: Includes nearly 10,000 hours of pilot testing on site brines and a near operational 170 tpa demonstration plant. EnergyX acquired the tenements in late 2023 and has advanced technical milestones rapidly.
Technology Advantages (GET-Lit™ / LiTAS Platform)
EnergyX’s DLE approach contrasts with conventional evaporation ponds, which are slower (12-18 months), water intensive, land disruptive, and lower recovery (~30-60%). Key benefits include:
- Speed: Lithium extraction in days versus months.
- Recovery: Over 90-94% in pilots, up to 3x more lithium than traditional methods.
- Sustainability: Minimal fresh water use, compact modular plants, and reduced land impact. It works across various brine types and integrates with existing infrastructure.
- Cost Leadership: Validated low CapEx/OpEx through extensive piloting, supporting economic resilience amid price volatility.
The platform includes over 150 patents and supports “From Brine to Battery™” integration, including refining for battery grade material.
This investment de-risks and accelerates Black Giant, a flagship asset that could make EnergyX one of the largest lithium producers while showcasing DLE at commercial scale. It aligns with broader supply chain needs driven by rising demand for lithium in batteries, energy storage, and related sectors.
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EnergyX has backing from General Motors (led a prior round with offtake), POSCO, and now deeper ties with Eni. These provide validation, technical input, and demand visibility.
Black Giant feeds into EnergyX’s Litio Mecca™ concept, a large scale refinery near Mejillones port (potential $5B+ investment) to serve the Lithium Triangle region. The company also pursues U.S. projects like Powder Hound (Utah, with Compass Minerals, up to 30,000 tpa) and Lonestar (Smackover region).
Lithium demand continues to grow with electrification trends. The project’s low cost profile and scalable DLE position EnergyX to benefit from price recoveries and supply security priorities, helping address potential shortages as EV and storage adoption scales.
As with large resource projects, execution depends on permitting (supported by Chile’s investment friendly policies), construction timelines, brine variability, and lithium market prices. The phased approach and piloting help mitigate technical risks, while diversified financing reduces capital pressure.
The $225M Eni deal represents a major validation and catalyst for EnergyX, advancing a high potential, technology driven lithium asset toward production and reinforcing the company’s role in efficient, lower impact critical mineral supply. It strengthens EnergyX’s competitive edge in a high growth sector.
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