© Reuters. FILE PHOTO: Brine swimming pools used to extract lithium are seen subsequent to a lithium mining camp on the Salar del Rincon salt flat, in Salta, Argentina August 12, 2021. REUTERS/Agustin Marcarian/File Photograph
By Mathieu Rosemain
AIX-EN-PROVENCE, France (Reuters) – French mining group Eramet is in talks with a number of European carmakers over industrial agreements that may assist the corporate finance its lithium manufacturing venture in Argentina, Chief Government Officer Christel Bories stated.
The race for lithium, a key uncooked materials used to make batteries for electrical autos, is rushing up as rising tensions between the US and China push Europe’s automakers to safe their very own provide chain.
“We’re speaking with numerous OEMs (Unique Gear Producers, or carmakers) right this moment,” Bories advised Reuters on Saturday at a enterprise convention within the southeastern metropolis of Aix-en-Provence, including that these included French ones.
“We’re presently discussing potential industrial agreements,” she stated, close to the group’s lithium venture in Argentina, including these contain joint advertising and so-called offtake accords, or commitments to purchase a sure quantity of the upcoming manufacturing.
Eramet is because of begin lithium manufacturing subsequent 12 months in Argentina in partnership with Chinese language metal group Tsingshan, and has stated it’s involved in learning different potential websites in a lithium-rich zone of South America that additionally contains Chile.
“We’re positioning ourselves (in Chile), we’ve discussions with state-owned corporations,” Bories stated, with the purpose to realize potential lithium concessions “within the coming months.”
Two thirds of the world’s lithium reserves are situated in South America, Bories stated.
Demand for electrical autos (EVs) has elevated as climate-conscious shoppers snap up vehicles with electrical powertrains, amid hovering gas costs.
Bories confirmed commodities group Glencore (OTC:) was amongst events to have expressed curiosity in serving to finance Eramet’s lithium manufacturing in Argentina.
She declined to elaborate additional or give the names of the European carmakers concerned within the talks.
