A mining company headquartered in Brazil announced that it has signed a long-term contract with Tesla, Inc. to supply Class 1 nickel in the United States from its operations in Canada. This agreement is in line with the company's strategy to increase exposure to the electric vehicle industry, leveraging the company's low carbon footprint and leading position as the largest nickel producer in North America.

“We are delighted to have the leading electric vehicle manufacturer Tesla among our customers,” said Deshnee Naidoo, Vale Executive Vice President for Base Metals. He added, “This agreement reflects our shared commitment to sustainability and demonstrates very clearly that we are the supplier of choice for the low-carbon, high-purity nickel products that are essential for long-range batteries.”

The press release explained that Vale's target is to send 30% to 40% of Class 1 nickel sales into the fast-growing electric vehicle industry.

To note, Vale's Canadian operations produce some of the lowest carbon nickel globally. The 2020 round of the Long Harbor refinery in Newfoundland & Labrador has a verified carbon footprint of 4.4 tonnes CO2 equivalent per tonne nickel. Meanwhile pellets and powder from the Copper Cliff Nickel Refinery in Ontario have a verified trace equivalent of 7.3 tonnes. This includes Scope 1 and 2 emissions from mining, crushing and refining as well as upstream Scope 3 emissions from inputs.

Source: https://www.tambang.co.id/vale-akan-pasok-nikel-kelas-i-untuk-tesla-inc-28723/