China’s Beijing Easpring Material Technology has moved to increase its grip on battery raw material supplies under a preliminary long-term deal with a Canadian project in Indonesia.
Easpring’s non-binding offtake agreement with Pacific Rim Cobalt (PRC) will secure supplies of nickel sulfate and cobalt sulfate— just weeks after Easpring unveiled expansion plans, saying demand for electric vehicles (EVs) had outstripped its existing lithium-ion cathode material production capacity.
According to PRC, Easpring will be able to buy materials mined at PRC’s Cyclops Nickel-Cobalt Project in Indonesia’s Papua Province in the first five years of operations.
The Cyclops project is close to “the world’s largest cobalt market”, PRC said. Details of the total supply capacity to Easpring and pricing will be finalised in a definitive agreement later.
PRC president Ranjeet Sundher said China was seen “as the future global centre for battery production”.
BBB reported last March that Chinese battery recycler GEM had signed a three-year cobalt materials supply deal with Swiss mining company Glencore.
