Nemaska Lithium has received a payment of C$2m ($1.46m) from speciality chemicals company Johnson Matthey Battery Materials as part of the agreed contract of shipment of lithium hydroxide.
The current payment has been made after receipt of the first shipment of lithium hydroxide from Nemaska Lithium.
The final tranche of C$1m ($0.73m) out of a total payment of C$3m ($2.1m) shipment contract will be paid once Nemaska Lithium delivers a second shipment of lithium hydroxide.
Final samples will be sent after Nemaska Lithium completes the processing of lithium hydroxide solution through the crystalliser, which has been received at the Phase 1 Plant and is being commissioned.
Nemaska Lithium president and CEO Guy Bourassa said: "JMBM's encouraging reaction to this first shipment of lithium hydroxide is a clear stamp of approval from a leading cathode material manufacturer for the lithium-ion battery market.
"I am very pleased with the quality of the lithium hydroxide produced to date given the stage of plant commissioning.
“The crystalliser technology has been used in the lithium sector for years and no issues are anticipated with this equipment."
Johnson Matthey Battery Materials earlier noted that securing the long-term supply of lithium salts is an important part of its strategy as it continues to grow its battery materials business.
Bourassa further noted: "Qualifying our products with customers has always been the purpose of the Phase 1 Plant and today we have started to achieve this objective.”
Nemaska Lithium is a lithium hydroxide and lithium carbonate supplier.