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GM News: Multi-Year Sustainable and Resilient Cobalt Supply Agreement Entered into by GM and Glencore for Global EV Supply


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Let's start off by answering the last question asked in the teaser paragraph for this story.

Why is this important to GM? In a Word, Batteries, specifically the Ultium battery system, part of the Ultium platform.


To quote the press release from GM and Glencore:

By the end of 2025, GM plans to have capacity to build 1 million electric vehicles in North America, and has announced a series of actions to create a new and more secure EV supply chain, including projects targeting key EV materials and components:

  • Cathode Active Material (CAM) with POSCO Chemical. GM and POSCO are building a new facility in Quebec, Canada as part of their joint venture to produce CAM for GM’s Ultium Batteries.
  • Lithium with Controlled Thermal Resources (CTR) to secure lithium produced by the first stage of its Hell’s Kitchen Project in California.
  • Rare earth materials with GE, to develop a rare earth value chain.
  • Alloy flakes with MP Materials, who will establish the first North American processing site for alloy flakes. The company will then expand into magnet manufacturing around 2025 at its new production facility in Fort Worth, Texas.
  • Permanent magnets with VAC, the largest producer of permanent magnets in the Western Hemisphere with nearly 100 years of experience. VAC will establish a North American footprint to support GM’s magnet requirements starting in 2024, including locally sourced raw materials and finished magnet production.

In a single world COBALT!


To understand the importance of this material, it is best to understand that Cobalt makes up only 0.001% of the earth's crust. Well known for its heat-resistant properties and a critical part of Lithium-ion battery cathodes that improve energy density and battery longevity.

Cobalt is an important metal used in the production of EV batteries as part of the Ultium battery cathodes which will power electric vehicles such as the GMC Hummer  EVs, Chevrolet Silverado EV and Cadillac LYRIQ.

Glencore is one of the world's largest globally diversified natural resource companies, founded in 1970s as a trading company, it has become a major producer and marketer of commodities, employing 135,000 people world wide.

Glencore operations comprise of approximately 150 mining, metallurgical and oil production assets.

Glencore Purpose: 

to responsibly source the commodities that advance everyday life. We do this by delivering on our strategy to be active at every stage of the commodity supply chain. Our diversity by geography, product and activity, maximizes the value we create for our business and its diverse stakeholders. 

People are at the heart of our business. That’s why we prioritize safety at all our assets; why we seek to minimize our impacts on the environment and communities; and why we aim to attract employees who strive to be leaders in their field."

Both Glencore and GM are members of the Responsible Minerals Initiative (RMI) and Glencore's Murrin Murrin operation conforms to the OECD-aligned Responsible Minerals Assurance Process.

Jeff Morrison, GM Vice President of Global purchasing and supply chain stated the following:

“GM and our suppliers are building an EV ecosystem that is focused on sourcing critical raw materials in a secure sustainable manner,”  “Importantly, given the critical role of EVs in reducing the carbon footprint of the transportation sector, this agreement is aligned with our approach to responsible sourcing and supply chain management.”

GM is a global company focused on advancing an all-electric future that is inclusive and accessible to all. The Ultium battery platform is a key part to powering everything from the mass-market auto to the high-performance vehicles produced by GM.

This contract helps GM ensure production of EVs as it delivers more than 1 million a year by 2025 and supports existing technology needs while new all-solid-state batteries are researched.

GM and Glencore Enter Multi-Year Cobalt Supply Agreement

Glencore and General Motors enter multi-year cobalt supply agreement

At a glance (glencore.com)

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