Stellantis, Kuniko strike deal on long-term supply of nickel sulphate, cobalt sulphate
Automotive group Stellantis N.V. and European battery minerals firm Kuniko Ltd have recently announced the signing of a binding offtake term sheet agreement securing a 35 percent future production offtake of nickel sulphate and cobalt sulphate from the latter's Norwegian exploration projects for a term of nine years.
Stellantis has also agreed to purchase € 5.0 million (A$ 8 million) in new equity in Kuniko, giving it a 19.99 percent shareholding on completion and rights to nominate one director to the Kuniko board, according to the company.
"We are on an aggressive path to securing a holistic portfolio of raw materials needed to meet our Dare Forward 2030 electrification targets," said Stellantis Chief Purchasing and Supply Chain Officer Maxime Picat. "With Kuniko, we are adding another lever to support our European battery needs with a local and environmentally conscious solution from its Norwegian projects."
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Antony Beckmand, Kuniko CEO, commented, "This strategic partnership with Stellantis promotes sustainable European battery value chain solutions and validates the potential of our battery metals project portfolio in Norway".
He further added, "Together with Stellantis, we eagerly anticipate working hand in hand to achieve exploration success, move towards production, and make meaningful contributions to the growth and advancement of the European battery industry."
The companies have said that the funds from the equity purchase will be applied to advance Kuniko's brownfield and greenfield battery metals exploration projects in Norway which include nickel, cobalt and copper.
To cater to its ambitious electrification plans, Stellantis is assembling a roster of partnerships to ensure a stable supply of key materials for its electrified future.
In addition to Kuniko, the automotive giant has material supply agreements with Alliance Nickel, McEwen Copper, Terrafame, Vulcan Energy, Element 25 and Controlled Thermal Resources.