Last week, fpx Nickel Corporation announced a new Memorandum of Understanding (MOU) with JapanOil, Gas and Metals National Corporation (JOGMEC) and Prime Planet Energy Solutions Limited (PPES), two companies involved in the battery supply chain. The MOU will involve fpx’s Echo Lake nickel-copper-cobalt development project in Newfoundland and Labrador, Canada.
The MOU will focus on fpx Nickel’s progress toward battery-grade metals production. This will include the evaluation of the economic, environmental, and technical feasibility of direct-shipping refined Nickel, Copper, and Cobalt from the Echo Lake Project.
The companies plan to integrate their efforts in order to develop a sustainable business model for the production of these minerals. This will include investment in the project and the establishment of a secure supply chain from Echo Lake to the battery manufacturing facilities.
The cooperation between the three companies is part of a growing trend of government and industry collaboration. Japan is one of the world’s largest consumers of battery-grade metals, and this MOU will enable fpx Nickel to become a global supplier. It will also create a supply chain that is accessible to Panasonic, Honda, and other Japanese companies interested in advancing their electric vehicle manufacturing.
The MOU is yet another major step forward for the Echo Lake Project. In May 2021, fpx Nickel received a positive Preliminary Economic Assessment (PEA) for the development of the Echo Lake Project. This PEA confirmed the economic advantage of the project, which is expected to have a production rate of 8,000 tonnes of mineral concentrate per year.
The MOU will result in enhanced manufacturing capacity for fpx Nickel, increasing output of battery-grade metals in addition to refined cobalt and nickel product. The knowledge and expertise that each of the three parties brings to the project, ensures that production will be efficient and state-of-the-art.
The signing of the MOU demonstrates fpx Nickel’s commitment to great environmental and social responsibility. The collaborative effort between the three parties benefits not only the Echo Lake Project, but also helps create a collaborative atmosphere for countries to cooperate in the production of sustainable energy sources.
It’s an exciting time for fpx Nickel as the company moves closer to becoming a global supplier of battery-grade metals. The MOU is an important milestone for the company and marks a significant step forward in the development of the Echo Lake Project.
