Investing.com - due to growing concerns about future problems with nickel supplies used in lithium-ion batteries for electric vehicles, Tesla (NASDAQ: TSLA) Ilona Mask decided to become a technical partner of a nickel mine, writes BBC.
As Ilon Mask himself admitted to Twitter, Nickel is the biggest problem to increase the production of lithium-ion elements. "
Tesla will buy nickel on the minor mine on the island of New Caledonia in the Pacific Ocean, to stock this raw material for a long time. Note that the small island new Caledonia is the overseas territory of France - is the fourth largest manufacturer of nickel in the world, the prices for which in the last year increased by 26%.
The main wealth of the island and the main source of revenues in his budget is nickel reserves, and the minor mine can become one of the largest producers in the world.
Last year, the owner of the mine - Brazilian mining giant Vale (Ba: Vale) and the French government tried to sell it to the Swiss commodity trader Trafigura, but the inhabitants of the island defended their national wealth by setting up a strike at the mine, which eventually led to the collapse of the Government of New Caledonia. Now, according to a new agreement concluded by Thursday, groups of independence supporters, loyalist parties and indigenous people of the island, the mine will be sold to a consortium, which includes its employees and representatives of three regional provinces. Trafigura will get 19%. The Agreement also calls for an increase in environmental standards and reduce carbon emissions by 2040.
The role of Tesla is reduced by the "Technical and Industrial Partnership" to help the island of products and the application of sustainable development standards, and it, in turn, will receive the right to use nickel for the production of batteries.
According to Vale representatives, such a deal "will continue to continue the production of nickel in a sustainable future, while maintaining jobs and bringing the country's economic benefit."
Despite the fact that the mask's company has its own share in the mine, the partnership with it gives it an indisputable advantage in the form of control over the supply chain for electric batteries as production extensions. As you know, the rapid growth in the world of organic industrial modes has led to the pressure for commodity resources, in particular, nickel.
Nickel is mined in Russia, Canada, New Caledonia and Indonesia and is used, among other things, for the production of stainless steel.
- Preparation used BBC materials
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