As automakers around the world set bold targets for vehicle electrification, many in the industry are looking to nickel – an integral component of most lithium-ion batteries – as a major hurdle.
While there’s enough nickel in the ground to support a major EV ramp up, there are not enough planned mining projects or processing facilities to make the type of high-grade nickel that’s needed for EV batteries.
Meanwhile, the nickel content in battery cells is only increasing, according to Mark Beveridge at Benchmark Mineral Intelligence. That’s because more nickel means energy density.
″We’re heading towards, you know, 90 percent of the cathode being nickel for certain specific cell types,” Beveridge said.
Russia has a lot of high-grade nickel, and its invasion of Ukraine has sent prices soaring to record highs due to fears of supply disruptions, even causing the London Metal Exchange to suspend nickel trading for a week.
Meanwhile, the U.S. is short on domestic nickel resources. The Eagle Mine in Michigan is the nation’s only primary nickel mine, and it’s expected to close in 2025.
Enter the proposed Tamarack Mine in Minnesota, which is being developed by Talon Metals and mining giant Rio Tinto. Although it’s yet to go through the permitting process, Talon has already secured a supply deal with Tesla to get Tamarack nickel into EV batteries.
Click here to read the full article from Katie Brigham at CNBC.com.
