BHP has entered into a memorandum of understanding (MoU) with automaker Ford Motor Company for a multi-year nickel supply from its Nickel West asset in Western Australia.

Photo: BHP

The miner said that the agreement could start as early as 2025 and may involve additional commodities over time. 

In addition, BHP and Ford are exploring ways to make battery supply chains more sustainable and efficient, including opportunities for further alignment on best practice and raising ESG performance transparency.

According to third-party analysis, BHP’s Nickel West has one of the world’s lowest operational carbon emissions intensities for nickel mining operations and plans to further reduce emissions, making BHP a partner of choice to battery electric vehicles manufacturers across the globe that value sustainability and transparency.

“Demand for nickel in batteries is estimated to grow four-fold over the next decade, in large part to support the world’s rising demand for electric vehicles,” said BHP Chief Commercial Officer Vandita Pant.

“While what we produce is essential, never before has how we produce and manage our products through our supply chain been more important. Customers increasingly care about where products come from: their environmental and ethical footprints, as well as the efficiency and transparency of their supply chains.”

The Ford announcement follows the signing of supply and collaboration agreements with nickel product end-users including Tesla and PPES & Toyota Tsusho Corporation.

Source: BHP

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