BASF, a leading supplier of advanced cathode active materials (CAM) for lithium-ion batteries, has decided against investing in a nickel-cobalt refining plant in Indonesia due to a change in market conditions.
In 2020, BASF and Eramet, a global mining and metallurgical group, signed an agreement to jointly assess project potential.
Anup Kothari of BASF said since the inception of the project, the global nickel market has changed significantly. “In particular, the supply options have evolved and with that BASF’s availability of battery grade nickel. Consequently, BASF no longer sees the need to make such a substantial investment to ensure a resilient metals supply for its battery materials business.”
Dr. Daniel Schönfelder, president of BASF’s Catalysts division, said a secure, responsible and sustainable supply of critical raw materials for the production of precursor cathode active materials remains crucial. It might originate from Indonesia, he said.
Eramet said it will continue to evaluate potential investments in the nickel EV battery value chain in Indonesia.
