CEO Elon Musk promised in 2020 “giant contracts” to companies able to produce nickel in an “environmentally sensitive way” amid concerns of an imminent deficit.
Since Musk’s pledge to miners, Tesla has inked nickel supply deals with the world’s largest miner, BHP, (ASX: BHP) in Australia, with Prony Resources in the US and with Talon Metals (TSX: TLO) in New Caledonia.
Nickel helps cram more energy into cheaper and smaller battery packs, allowing EVs to charge faster and travel farther between plug-ins.
Prices for the commodity have – not surprisingly – shot to historic records over the last year. It surged by an unprecedented 250% in a day earlier this month, forcing the London Metal Exchange (LME) to halt trading of the metal.
[Click here for an interactive chart of nickel prices dating back to 1989]
Musk has repeatedly flagged nickel supply as the company’s biggest concern, as the metal is a key…
