Metals News Hubb
Advertisement Banner
  • Home
  • News
  • Metallurgy
  • Contact
No Result
View All Result
  • Home
  • News
  • Metallurgy
  • Contact
No Result
View All Result
Gourmet News Hubb
No Result
View All Result
Home News

General Motors digs into mining business to lead race for EV metals

admin by admin
February 18, 2023
in News


GM has made several such wagers recently, buying equity while rivals mostly sign supply deals. Last month, it bought a $650 million stake in Lithium Americas to help develop Nevada’s Thacker Pass mine, which may support output of as many as 1 million EVs a year. In October, GM invested $69 million in Australia’s Queensland Pacific Metals, a producer of nickel and cobalt. The moves are strategic bets to secure supplies that are getting increasingly sought-after.

“We’ll continue to work with many people in the industry, especially in lithium and the other critical minerals,” CEO Mary Barra said in an interview with Bloomberg Television in New York on Thursday. “I think we’ll be positioned to have a competitive advantage.”

GM is pledging to sell nothing but plug-in models by the middle of the next decade. The Detroit automaker has opted to build its own battery pack and dedicated EV platform rather than move quick with converted internal combustion hardware, slowing its initial electric push. Still, Barra said that output of EV models such as the Hummer pickup, electric Cadillac Lyriq, Chevrolet Silverado pickup and Blazer SUV will ramp up this year.

Securing stable battery-metal supplies would be a boon — especially given the sector’s volatility. Cobalt prices, for example, rallied sharply last year but have since come crashing down amid a sharp drop-off in purchasing from the Chinese electronics sector. Nickel briefly soared to over $100,000 a ton in March before ending the year under $30,000. Lithium became so expensive last year that Chinese factories that typically make ceramics for bathroom tiles produced the EV battery material instead.

GM is part of a bigger trend. Automakers including Ford have signed long-term mineral supply deals. Germany’s Volkswagen last year agreed to form a €3 billion joint venture with Belgium’s s Umicore for cathode materials. In 2021, Tesla struck a nickel deal with BHP Group and a cobalt pact with Glencore, and in March that year got involved in a mining venture in New Caledonia.

Those deals may also help the miners. Barra said GM can provide them with additional cash and will be a stable source of demand thanks to its target to sell 1 million EVs in 2025, and many more beyond that.

The industry may want to tread carefully. Amnesty International has warned that mining is linked to environmental issues and claims of human rights abuses. In an era when environmental, social and governance shortcomings carry severe reputational risks, GM could be exposing itself to criticism.

Vale faced criticism after the collapse of the Brumadinho dam in Brazil, which killed 270 people and released toxic sludge into the environment. The accident caused Vale to lose its position as the biggest iron-ore producer and sparked a company-wide safety and governance overhaul. Reparations continued to take the shine off its financial results years after the incident.

Several companies are looking for ways to reduce the environmental footprint of mining to minimize those ESG concerns. GM has invested in Controlled Thermal Resources, a startup working to extract lithium using renewable energy, and is backing Lithion, a Canadian startup that recycles EV batteries to reuse materials.

Despite its mining foray, GM has some catching up to do on EVs. The Detroit automaker sold just under 40,000 EVs last year, finishing behind Ford and far short of market leader Tesla. Barra vowed the company is just getting started, including with Chevrolet’s Equinox and Blazer models coming out this year, which start at around $30,000 and $40,000 to $45,000, respectively.

“These are very affordable vehicles,” the CEO said. “There is going to be a huge opportunity to sell a lot of them.”

(By David Welch)





Source link

Previous Post

Rare Coin Exclusive: The Brass 1776 Continental ‘CURENCY’ Coin

Next Post

South32 Seeks Nuclear Power Deal With Eskom – Aluminium Insider

Next Post

South32 Seeks Nuclear Power Deal With Eskom – Aluminium Insider

Recommended

WTO Rules Against Trump-Era Section 232 Tariffs On Aluminium And Steel – Aluminium Insider

4 months ago

Australia could grab 20% of the world’s lithium refining by 2027

6 months ago

How to Install Lithium Golf Cart Batteries on a 36V or 48V Golf Cart – Dakota Lithium Batteries

7 months ago

ASI Certifies Alcoa’s Poços de Caldas Aluminium Operations – Aluminium Insider

7 months ago

Miners need to learn how to navigate the political spectrum in Latin America, says Southern Pulse

2 weeks ago

Rusal Shakes Up Sales Team During Aluminium Mating Season – Aluminium Insider

5 months ago

© 2022 Metals News Hubb All rights reserved.

Use of these names, logos, and brands does not imply endorsement unless specified. By using this site, you agree to the Privacy Policy and Terms & Conditions.

Navigate Site

  • Home
  • News
  • Metallurgy
  • Contact

Newsletter Sign Up.

No Result
View All Result
  • Home
  • News
  • Metallurgy
  • Contact

© 2022 Metals News Hubb All rights reserved.