Lithium-ion batteries use CAM (Cathode active minerals), and General Motors (GM) has just signed a deal with LG Chem that will see the South Korean company provide up to 950,000 tons of CAM to GM until 2030.
Cathode is a mineral that is common in nature; however, it needs to be processed and refined before it can be used in batteries. The new agreement ensures that GM will have enough of the mineral to be used in approximately five million electric vehicles (EVs) as part of its Ultium batteries that reduce overall cobalt battery content and replace it with aluminum. The excess of the mineral will give GM a chance to catch up to EV market leader Tesla, alongside its new EV Live Digital tool that helps potential customers learn about EVs.
LG Chem will begin supplying the mineral to GM in the latter half of 2022.
“This agreement builds on GM’s commitment to create a strong, sustainable battery raw material supply chain to support our fast-growing EV production needs,” said Jeff Morrison, GM vice president, global purchasing and supply chain. “LG Chem has demonstrated technical expertise, high-quality and mass production capabilities of cathode active materials over the last decade.”
Furthermore, in addition to securing CAM from LG Chem, GM is also exploring the idea of setting up a CAM production facility alongside LG by the end of 2025.
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