Elon Musk

Tesla does not have enough Nickel to produce batteries for electric vehicles.

Tesla is ready to offer an exceptional contract any mining company who will be able to fully provide the automaker with Nickel. This is the website liga.net.

“Tesla will offer you a giant long-term contract, if you will produce Nickel is effective and safe for the environment,” said Elon Musk during a conference call.

The Nickel of a company for the production of more powerful batteries for electric vehicles. Also, the metal used in the manufacture of solar panels.

Tesla buys Nickel from the South Korean LG Chem and Japanese Panasonic. However, Tesla receives the metal from Asian companies via a long chain of intermediaries.

Statement Mask indicates the desire of Tesla to work directly with the company-producer.

Today, there are three major vendor of Nickel – Vale, Norilsk Nickel, BHP Group. But it is difficult to increase production given the high environmental requirements.

In January 2019 dam at the enterprise Vale caused a major environmental disaster. In June 2020 was a major environmental disaster in the enterprise Norilsk Nickel.

According to forecasts by Wood Mackensie, the consumption of Nickel in the materials for the batteries of electric vehicles will increase by 64% by 2025.

The slow transition of the largest producers for higher environmental standards of production, to meet this demand will be problematic.