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Faraday is one step closer to having a production vehicle.

Upstart electric vehicle maker Faraday Future has announced a lithium-ion battery deal with LG Chem. Such a partnership has been rumored for the last few weeks.Specifics of the deal were not make public, but Faraday says it will work with LG Chem to develop new battery technology for electric vehicles. Faraday will use the batteries in future vehicles underpinned by the company's scalable VPA vehicle architecture.

"LG Chem worked closely with Faraday Future to develop a tailored cell chemistry to optimize the range and safety of our mass production battery hardware," said Tom Wessner, VP of Global Supply Chain, Faraday Future. "At FF, we are working with world-class suppliers to advance our technological innovations, and we look forward to our relationship with LG Chem as we push towards our vision of future mobility."

The deal is rumored to be valued at about $2.4 billion.

Faraday has been secretive with its vehicle development, but a prototype for an upcoming EV was spotted last month. Although still cloaked in camouflage, it is believed that Faraday's first production vehicle will be a crossover similar in form to the Honda Crosstour. Faraday will be taking square aim at Tesla and its growing fleet of electric vehicles.

LG Chem currently supplies batteries for several electrified vehicles, including the Chevrolet Volt, upcoming Chevy Bold and the Ford Focus Electric.