Tesla has decided to become a technical partner in a nickel mine – which is needed for lithium-ion batteries that power electric cars.
Elon Musk’s car firm will also buy nickel from the Goro mine on the small Pacific island of New Caledonia to secure its long-term supply. The move comes amid growing concerns about future supplies of nickel.
New Caledonia is the world’s fourth largest nickel producer, which has seen a 26% rally in prices in the past year.
“Nickel is our biggest concern for scaling lithium-ion cell production,” Musk said on Twitter last month. New Caledonia is a French overseas territory although it has seen growing calls for its independence.
What is the Goro mine?
New Caledonia’s huge nickel reserves are crucial for the local economy, and the Goro mine, in the south of the island, has the potential to be one of the world’s biggest nickel producers.
For the rest of this article: https://www.bbc.com/news/business-56288781