GM Secures Nickel and Cobalt for New EVs with Queensland Pacific Metals Investment

Auto giant GM on Tuesday announced a new strategic collaborative agreement to secure a source of nickel and cobalt with Australian company Queensland Pacific Metals. The deal secures a source of nickel and cobalt for the production of new GM Ultium batteries. GM’s goal is reaching 1 million units of EV production capacity in North America by mid-decade. $GM says the raw materials will be used in building a broad range of all-electric vehicles, including the Chevy Silverado EV, GMC Hummer EV, Cadillac Lyriq, Chevy Blazer EV, and Chevy Equinox EV.

via Queensland Pacific Metals

GM will make an investment of $69 million to speed-up nickel production at Queensland Pacific Metals’ proposed Townsville Energy Chemicals Hub (TECH) Project in Northern Australia. Nickel laterite ore will be imported from New Caledonia for processing at the TECH facility via a new proprietary method that reduces waste and does not require a tailings dam.

“The collaboration with Queensland Pacific Metals will provide GM with a secure, cost-competitive and long-term supply of nickel and cobalt from a free-trade agreement partner to help support our fast-growing EV production needs,” said GM vice president, Global Purchasing and Supply Chain, Jeff Morrison. “Importantly, the agreement demonstrates our commitment to building strong supplier relationships and is aligned with our approach to responsible sourcing and supply chain management.”

With the DNi Process Queensland Pacific Metals says the new processing method utilizes environmentally conscious processes for extracting precious metals. The TECH Project is expected to begin construction in 2023.

“GM’s investment in our company and the associated offtake brings us one step closer towards construction of the TECH Project where we will one day aim to deliver the world’s cleanest produced nickel and cobalt,” said CEO, Queensland Pacific Metals, Stephen Grocott. “We thank GM for their belief in our TECH Project and look forward to becoming part of the GM sustainably sourced raw material supply chain.”

About Queensland Pacific Metals

Queensland Pacific Metals is an Australian company listed on the Australian Securities Exchange (ASX:QPM). The head office is in Brisbane, Queensland and the company also has an office in Townsville, North Queensland.

The company is focused on developing the 100% owned Townsville Energy Chemicals Hub (TECH) Project. The TECH Project will be a modern and sustainable, battery metals refinery, 40km south of Townsville, in northern Queensland. The TECH Project will produce critical metals for the rapidly emerging lithium-ion battery and electric vehicle sector.

Queensland Pacific Metals shareholders include global battery manufacturing leader LG Energy Solution and major Korean conglomerate POSCO.  Queensland Pacific Metals has secured binding offtake agreements for the sale of nickel and cobalt with LG Energy Solutions and POSCO.

Queensland Pacific Metals goal is to ensure customers are confident they are buying the cleanest and most environmentally attractive products in the world. Innovative technology, responsible management of resources together with a socially & environmentally aware team all contribute to Queensland Pacific Metals goal of making the planet cleaner, greener and sustainable – a reality! via Website

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From The News Desk at TradersCommunity