This LFP Supply Chain Story Just Got G7 Backing | John Passalacqua - First Phosphate

The Deep Dive Jun 24, 2026

Summary

First Phosphate won a $275 million state guarantee, 200,000 tonnes of phosphate offtake, and Italian letters of interest after G7 recognition.

The G7 wants no single country above 60% of a critical supply chain, and phosphate projects were named for the first time.

An infill drilling campaign moved resources from inferred to measured, lifting indicated tonnage almost 400% and leaving the deposit open at depth.

The guest frames 18 million tonnes of contained phosphate as 900,000 tonnes a year of concentrate shipping through the Port of Sagnuay.

Feasibility is targeted for Q1 2027, with permitting and a capital stack next, and an open pit mine running by 2029.

Top takeaway He frames the G7 mention as the payoff of the company's path from what he calls a tiny company on the CSE to one doing some pretty big things, and asks what the global recognition actually means for the company.
He presses on execution specifics — the next steps to advance the letters of interest, whether the updated resource is large enough to merit advancing to development, and what the company should look like 12 months out — and says, as a shareholder, that he appreciates the work being put in.

Top takeaway Top point: he argues the G7's concentration goal — no single country or region owning more than 60% of a supply chain G7 members are part of, eventually 50% — is why phosphate and the LFP battery chain were in scope, and that G7 support makes the company's projects a G7 prerogative rather than a company-level lobbying win.
He says a G7 commitment is strong because the nation states behind it all want the projects to happen and the G7 reports on them each year, and he does not foresee problems getting the letters of interest to definitive terms over the coming months or year.
He states the offtake agreements are already definitive and bankable, with some prepaying done, leaving the feasibility study and converting the remaining letters of interest into commercial agreements as the outstanding work.
He argues the upgraded resource now merits advancing to development, pointing to a PEA-stage comparison in which the project already held enough phosphate for half of North America's new-vehicle LFP fleet for 23 years, a figure he says has only grown since.
He frames the G7 announcement as letting the company stack work layers instead of stopping between steps, which he says is why they are already moving on the capital stack while feasibility is still outstanding; his 12-month goal is to be into permits or close to them with most or all of the capital stack built and engineering and long-lead orders starting.