CNGR to End Investment in Nickel Joint Venture with Posco Amid Weak EV Market

Posco

China’s CNGR will liquidate its joint venture with South Korea’s Posco due to slowing electric vehicle demand.

Chinese battery materials producer CNGR has decided to terminate its investment in a nickel refinery joint venture with South Korea’s Posco Holdings. The joint venture, Posco CNGR Nickel Solution, will be liquidated as part of CNGR’s efforts to reduce investment risks and protect investor interests. This decision comes amid a slowdown in the global electric vehicle (EV) market, which has impacted the demand for battery materials.

Slowing EV Demand Leads to Strategic Adjustments

The global EV market has seen slower growth in 2024 compared to the previous year, which has affected the demand for battery materials like nickel and lithium. According to South Korean market intelligence firm SNE Research, the slowdown in EV sales has resulted in reduced battery installations. This trend prompted CNGR to reassess its joint venture with Posco, leading to the decision to dissolve the partnership.

Joint Venture and Production Facility Plans

CNGR and Posco first announced their joint venture plans in June 2023, aiming to build a production facility in Pohang, South Korea. The facility was designed to produce 50,000 tonnes per year of nickel sulphate and 110,000 tonnes per year of lithium-ion battery precursors. The plant was expected to support the production of batteries for 1.2 million EVs. However, with the weakening EV market, CNGR has chosen to withdraw from the venture to avoid further exposure to the slowing demand.

Conclusion

The termination of the joint venture with Posco marks a strategic shift for CNGR in response to the challenges facing the EV market. As demand for EVs continues to fluctuate, companies in the battery materials sector are re-evaluating their investments to mitigate risks and ensure financial stability.

Evion's India Joint Venture to Ship First Expandable Graphite Order

Evion Group Graphite

Australian graphite producer Evion has announced that its joint venture with Indian producer Metachem Manufacturing in Pune, India, is set to ship its first order of expandable graphite this month. This marks a significant milestone for the partnership and the Indian graphite market.

First Order and Production Details

The joint venture's initial order, a substantial 386 tonnes, is destined for German trading firm Technografit. Production of this order was slated to take place between January and March.  Prior to scheduled maintenance in late December, approximately 120 tonnes of the order was produced or "partially treated" from early November to mid-December. 

Evion has confirmed that the order is on track for completion and will be shipped to Europe over the coming months.  The sale price for this initial shipment averaged between $3,000 and $3,300 per tonne on a free-on-board (FOB) basis, while the joint venture anticipates production costs ranging from $1,500 to $1,750 per tonne. This healthy margin demonstrates the potential profitability of the venture.

Future Production and Expansion Plans

Evion also revealed that the joint venture has secured 500 tonnes of graphite concentrate on-site, ready for processing. This material is planned for export between April and September, primarily to European markets.  The company anticipates sales prices to be roughly 10% higher during this period.  Evion plans to provide further production guidance within the first quarter of the year, including details on new sales and buyers. 

The joint venture expects to sell over 2,000 tonnes of expandable graphite during its first full year of operations, having commenced production in April 2024.  Looking ahead, both companies are considering expanding the plant's capacity to 4,000 tonnes per year.  The original agreement establishing the joint venture had projected a production capacity of 2,000 to 2,500 tonnes per year for the initial three years. This potential expansion signals the partners' confidence in the market and their commitment to growth.

Chalco rare metals joint venture targets integrated growth and supply security

Rare Metals Mining

China’s Chalco rare metals joint venture marks a strategic expansion across high-purity processing and downstream products. The Chalco rare metals joint venture will unite affiliates under Chinalco to scale gallium, germanium, indium, selenium, tellurium and rhenium. As a result, the Chalco rare metals joint venture strengthens China’s control across critical mineral supply chains.

JV structure and product scope

Chalco will hold a 20pc stake in the joint venture. Other investors include Chinalco Group, Yunnan Copper, Chihong Zinc-Germanium and China Aluminum Capital. The venture will handle high-purity processing, compounding, product development, production and sales. Therefore, the platform links base metals and rare metals into one industrial chain.

Capacity plans and policy backdrop

Chalco targets 16.81mn t of metallurgical alumina and 7.8mn t of primary aluminium in 2025. Meanwhile, Beijing is integrating critical minerals and tightening export controls on selected metals. China also consolidated rare earth assets into Northern Rare Earth and China Rare Earth. Consequently, the Chalco rare metals joint venture aligns capacity with policy and market needs.

The Metalnomist Commentary

The JV formalizes a midstream hub that can stabilize feedstock and pricing. Buyers should watch contract terms for gallium and germanium as policy risk stays elevated. Partnerships may expand quickly if downstream magnet and semiconductor demand accelerates.

Indonesia-China EV battery joint venture to start output by 2026

PT AnekaTambang

Indonesia-China EV battery joint venture is set to start operations in 2026, marking a milestone in Southeast Asia’s battery industry. PT Aneka Tambang (Antam) and CATL are leading the $5.9bn project, which will significantly expand Indonesia’s role in global EV supply chains. The Indonesia-China EV battery joint venture aims for 15GWh capacity by 2028, supporting up to 300,000 EVs annually.

A $5.9bn integrated ecosystem for battery materials

The joint venture begins with a 6.9GWh capacity, expanding to 15GWh by 2028. Additionally, officials highlighted potential integration with solar panel battery storage, raising capacity to 40GWh. Most of the investment—around $4.7bn—will fund nickel smelters, mining, and precursor plants in North Maluku. Meanwhile, the battery cell project in West Java accounts for $1.2bn of the total budget.

Indonesia’s mineral advantage meets China’s battery expertise

Indonesia holds abundant nickel, cobalt, and manganese, essential for EV batteries, but lacks lithium and advanced technology. Therefore, Antam partnered with CATL to secure the expertise and technology required. By 2026, smelting and hydrometallurgy plants, alongside a nickel-cobalt-manganese precursor facility, are expected to strengthen Indonesia’s midstream value chain. This partnership underscores a growing alignment between Indonesia’s resource base and China’s global battery leadership.

Energy independence and EV market expansion

The Indonesia-China EV battery joint venture could supply batteries for 300,000 EVs annually, potentially reducing fuel imports by 300,000 kilolitres per year. President Prabowo stated that Indonesia could reach full energy self-sufficiency within five to seven years, provided battery production grows to 100GWh annually. As a result, Indonesia is positioning itself not just as a raw material supplier but as an integrated EV hub.

The Metalnomist Commentary

Indonesia’s partnership with CATL cements its role in the global EV battery supply chain. However, success depends on infrastructure, environmental safeguards, and balancing resource nationalism with foreign investment. If executed effectively, Indonesia could become a strategic alternative to China-dominated supply routes.

Zambia and US Launch Copper Mine Joint Venture

Zambia Copper Mine

The Zambia copper mine joint venture between US-based Metalex and Zambia’s Terra Metals marks a significant step in bilateral mining cooperation. The two companies launched Lunda Resources, a partnership aimed at developing the Mwinilunga Copper Mine, which is set to become a key contributor to global copper and cobalt supply chains.

Zambia Copper Mine Joint Venture Targets 100,000t Output

The new Zambia copper mine joint venture will process up to 2mn tonnes of ore annually, producing 100,000 tonnes of copper concentrates, copper cement, and cobalt precipitate. Lunda Resources has already invested ZMW 270mn ($1.2bn) in early-stage development. The full project build-out is expected to reach ZMW 2.7bn, including advanced ore processing systems.

Strengthening Zambia-US Mining Cooperation

This partnership reflects a strategic alignment between Zambia and the US at a time when global copper and cobalt demand is surging. Copper remains central to the global energy transition, while cobalt is vital for battery manufacturing. The collaboration between Metalex and Terra Metals sets a new benchmark for cross-border mining partnerships, combining Zambia’s resource wealth with US investment and technology.

The Metalnomist Commentary

The Zambia copper mine joint venture highlights how resource-rich African nations are leveraging foreign partnerships to expand mining capacity. By aligning with US firms, Zambia strengthens its position in global supply chains while diversifying investment sources beyond China. This project underscores copper’s critical role in electrification and positions Zambia as a key growth hub in Africa’s mining sector.

US Antimony Processing Plant in Idaho Strengthens North American Sb Supply Chain

Americas Gold and Silver

The US antimony processing plant planned in Idaho marks a significant step for North American critical minerals security. US Antimony and Americas Gold and Silver formed a joint venture to develop a hydrometallurgical antimony facility at the Galena complex in Idaho. The project links local feedstock, processing capacity, and downstream marketing. As a result, the US antimony processing plant could strengthen domestic supply for both industry and defense.

This matters because antimony remains a strategically sensitive metal with limited western processing capacity. Americas will sell antimony feedstock from Galena to the joint venture for processing. US Antimony will then purchase the antimony produced at the plant. Therefore, the US antimony processing plant creates a more integrated domestic flow from mine to refined product.

The structure of the partnership also looks deliberate. Americas will own 51pc of the venture, while USAC will hold 49pc. Feed from the Galena site will receive priority, although the facility may also accept other sources later. Consequently, Idaho antimony processing could become a flexible platform rather than a single-mine solution.

Idaho Antimony Processing Builds on Existing USAC Expertise

Idaho antimony processing gains credibility because USAC already has operating experience in this market. The company runs the only two antimony smelters in North America, including the Thompson Falls facility in Montana. It also said earlier this year that it helped develop a hydrometallurgical antimony facility in Bolivia. As a result, the joint venture starts with more technical depth than a typical greenfield concept.

That expertise matters because hydrometallurgical processing is not just a construction task. It requires operating knowledge, feed handling discipline, and product quality control. USAC said it will contribute knowledge and technical expertise to the venture. Therefore, the project has a stronger chance of moving from concept to workable industrial asset.

North American Antimony Supply Gains a Stronger Defense Link

North American antimony supply also gains a clear defense connection through this project. USAC said it can provide the joint venture access to its marketing network, including the US government. That creates a direct link between new processing capacity and strategic buyers. Consequently, the Idaho project could matter well beyond commercial metals trade.

That defense angle is already real. USAC secured a five-year fixed-price contract worth up to $245mn to supply antimony ingots to the US Defense Logistics Agency. The new joint venture has also prepared paperwork to pursue government funding. Therefore, the US antimony processing plant fits directly into a larger effort to rebuild critical mineral capacity in North America.

The Metalnomist Commentary

This project matters because it connects mine feed, processing, and defense demand in one structure. Antimony supply security will not improve through mining alone. It needs real domestic processing, and Idaho now looks like one of the more serious new steps in that direction.

Gécamines Mercuria copper and cobalt joint venture draws DFC interest for DRC critical minerals

DRC, Critical Minerals

The Gécamines and Mercuria launched the Gécamines Mercuria copper and cobalt joint venture to expand global sales. The Gécamines Mercuria copper and cobalt joint venture targets stronger pricing and broader market access for copper and cobalt. Meanwhile, U.S. International Development Finance Corporation signaled potential support for the partnership.

The Gécamines Mercuria copper and cobalt joint venture also links trade flows to industrial security goals. The proposed structure can give US end-users a right of first refusal on select critical minerals. However, the final terms will matter for buyers that want stable supply and clearer governance.

DFC backing could reshape critical minerals offtake terms

DFC involvement can change how end-users negotiate offtake and inventory strategies. Buyers can use priority access to reduce exposure to price spikes and sudden export controls. As a result, the JV can pull more copper and cobalt into structured, contract-led channels.

The commercial model also raises expectations for traceability and compliance. Traders and producers must prove provenance and responsible practices to keep premium customers. Therefore, operational support must translate into transparent logistics and reliable delivery performance.

Peace diplomacy adds a new variable to Central Africa supply chains

A new diplomatic push can lower perceived risk in regional logistics over time. Félix Tshisekedi and Paul Kagame backed a peace framework after talks in Washington, D.C.. Meanwhile, markets will watch whether stability improves cross-border transport and investment confidence.

However, miners still face scrutiny over ESG and community impacts. Investors will also track permitting and operating conditions for major assets. Therefore, credibility will depend on measured improvements, not announcements.

The Metalnomist Commentary

This JV signals a sharper blend of minerals trading and national security procurement. However, governance quality will decide whether buyers treat it as “de-risked” supply. The winners will deliver verified material with predictable logistics.

Boeing titanium joint venture remains uncertain despite Russia’s overture

VSMPO-AVISMA

Russia signaled interest in reviving the Boeing titanium joint venture with VSMPO-AVISMA. However, Boeing has not indicated any plans to return. Sanctions, tariffs, and long requalification timelines complicate any restart of the Boeing titanium joint venture. Supply chains have shifted since 2022 and will not reverse quickly. The Boeing titanium joint venture once lowered logistics costs and secured critical forgings.

Ural Boeing Manufacturing’s past and the sanctions hurdle

Ural Boeing Manufacturing previously machined titanium forgings for the 787 and 737. The partnership expanded in 2010 and planned a second site in 2013. Boeing cut ties in March 2022 after Russia’s invasion. The US later imposed 70% tariffs on Russian unwrought titanium. VSMPO also faced export sanctions in 2023. These measures deter direct commercial engagement. Any revival would require regulatory relief and political alignment.

How Boeing filled the titanium gap

US and allied producers expanded premium-grade capacity after 2022. ATI added electron-beam melt for rotating-grade titanium. Perryman expanded melt and conversion capacity. TIMET is ramping a new Ravenswood ingot mill. Aerospace buyers still face long part qualifications. New PQ supply takes two to five years to certify. Boeing’s recovery also shapes demand. The 737 MAX returned to 38 jets per month. The 787 rose to seven per month.

The Metalnomist Commentary

Even if sanctions eased, a rapid restart looks unlikely. Boeing diversified supply and invested in non-Russian PQ routes. Reversing that shift would add risk without clear benefits.

IGO and Tianqi Lithium Suspend Dividends Amid Lithium Inventory Challenges

Tianqi Lithium Energy Australia (TLEA)

Australia-based IGO and China's Tianqi Lithium have announced the suspension of the annual dividend for their joint venture, Tianqi Lithium Energy Australia (TLEA), citing lower sales and an increasing inventory of lithium salts at their Kwinana Refinery. This decision reflects broader market challenges, including shifts in battery chemistry that affect demand for lithium hydroxide.

Inventory Buildup and Market Dynamics

IGO, which holds a 49% stake in the Kwinana refinery through the joint venture, reported a significant buildup of lithium hydroxide inventory. The refinery, which was shut down in October 2024 for scheduled maintenance, is facing ongoing challenges with inventory management due to weaker-than-expected demand growth for lithium hydroxide. This demand slowdown is partly attributed to shifts in battery chemistry, with converters increasingly retrofitting production lines to switch from lithium hydroxide to lithium carbonate production.

The change in preference towards lithium carbonate is driven by its use in lithium iron phosphate (LFP) batteries, which are becoming increasingly popular in hybrid electric vehicles, affordable mass-market models, and energy storage projects.

Financial Implications and Outlook

As a result of these market conditions, IGO indicated that TLEA would not issue dividends for the fiscal year 2025 and could not provide a timeline for when these payments might resume. This suspension reflects the joint venture's cautious approach to financial management in light of uncertain market demand and inventory pressures.

Despite these challenges at the refinery level, the Greenbushes lithium mine, part of a joint venture between TLEA and US lithium producer Albemarle, continues to perform well, generating solid cash flows. This suggests that while the refined product market faces difficulties, the raw material extraction aspect of the business remains robust.

BHP and Lundin Mining Partner on Argentinian Copper Projects

BHP and Canada-based Lundin Mining have entered into a definitive agreement to acquire mining company Filo and jointly develop the Josemaria copper project in Argentina. The agreement involves forming a 50/50 joint venture to manage the Filo del Sol (FDS) and Josemaria copper projects in San Juan province. The FDS deposit is an advanced-stage copper exploration project, while Josemaria, already controlled by Lundin, is also at an advanced development stage and situated nearby.

Both companies are optimistic about the potential of this partnership. Lundin Mining’s CEO, Jack Lundin, emphasized the significance of FDS, describing it as "one of the world's largest undeveloped copper-gold-silver deposits." The joint venture aims to "develop an emerging copper district with world-class potential that could support a globally ranked mining complex," according to Lundin.

Argentina has emerged as a promising copper-rich region, and companies are rushing to secure a stake in the region. Both companies are "excited about their role in developing the region," as they partner to acquire FDS. The acquisition, valued at C$4.1 billion (approximately $2.96 billion), involves Lundin contributing $1.5 billion towards the purchase. Additionally, BHP will pay $690 million in cash to Lundin for the Josemaria stake in the joint venture.

This deal, however, is still subject to approval by the court under Canadian law and requires the endorsement of Filo’s shareholders. Once completed, this venture will position BHP and Lundin as significant players in the global copper market, contributing to the supply chain essential for electric vehicles and renewable energy technologies.

Saudi Aramco and Ma'aden Forge Path into Lithium Extraction with New Joint Venture

Saudi Aramco

The Entry of Oil Giants into Lithium Exploration

Saudi Arabia's oil titan, Aramco, in collaboration with Ma'aden, the premier mining entity in the Middle East and North Africa, has unveiled a significant venture into lithium extraction. This partnership marks a pivotal shift, integrating Aramco's expansive drilling technology and financial prowess with Ma'aden's mining expertise. The focus of this joint venture will be on areas within Saudi Arabia that exhibit lithium concentrations as high as 400 parts per million—figures mirroring those of the U.S. Smackover formation, known for attracting investments from global oil leaders like ExxonMobil.

The Impact on the Lithium Market

With this venture, Aramco positions itself as a formidable player in the lithium industry, potentially reshaping market dynamics currently dominated by established producers such as Albemarle. According to Joe Lowry, a renowned independent analyst and host of the Global Lithium podcast, this shift could see major oil and mining companies overtaking traditional lithium leaders by the early 2030s.

A Vision for Future Lithium Demand

Slated to commence production in 2027, the joint operation aims to harness Aramco’s leading-edge technology and Ma'aden’s operational capabilities. Nasir K Al-Naimi, upstream president at Aramco, highlighted the venture’s intention to leverage their combined resources and knowledge. The goal is to meet the soaring global demand for lithium, essential for various technologies, notably electric vehicle batteries, and to support Saudi Arabia's economic diversification efforts.

Alcoa Finalizes Venture to Support Smelter Restart in Spain

Alcoa Spain

Alcoa Invests in Joint Venture to Reopen San Ciprián Smelter

Alcoa has formed a joint venture with Spain’s Ignis Equity Holdings to revive its San Ciprián aluminum smelter. The Pittsburgh-based aluminum giant will invest $81 million for a 75% stake, while Ignis contributes $27 million for the remaining share. The move comes after prolonged shutdowns driven by extreme energy costs that began disrupting production in 2022.

Restart Hinges on Government Support and Renewable Energy

Alcoa may inject up to $108 million more to support operational needs. Any further funding will require mutual approval between Alcoa and Ignis. The venture also ties into a January memorandum with Spain’s national and regional governments to accelerate project approvals and labor coordination. Restarting the facility requires $10 million, with both partners seeking streamlined permits for renewable energy solutions to offset power costs.

Spanish Asset Sales Failed, But Local Cooperation Is Key

Efforts to sell the San Ciprián smelter and associated Spanish operations — including a foundry and alumina refinery — previously failed. However, the new partnership reflects a shift toward local cooperation to ensure long-term operational sustainability.

The Metalnomist Commentary

Alcoa’s renewed investment in Spain signals a strategic shift: instead of exiting, it’s doubling down with localized energy partnerships. As Europe grapples with power price volatility, ventures like this offer a template for industrial resilience through public-private coordination and renewable integration. The aluminum market will be watching closely.

Easpring Finland CAM Plant Construction to Begin in 2025

Easpring Finland

Chinese-Finnish joint venture targets 60,000 t/yr cathode material output by 2027

Easpring Finland launches €800mn CAM plant project

Easpring Finland CAM plant construction will begin in April 2025, targeting commercial operations by 2027. The joint venture includes Beijing Easpring Material Technology (70%) and Finnish Minerals Group (30%). This facility will supply cathode active material (CAM) for electric vehicle batteries and other energy storage systems. As a result, Finland continues to solidify its role in Europe's battery supply chain strategy.

The initial production capacity will reach 60,000 t/yr, with scalability for future expansion.

This aligns with Finland’s ambition to become a sustainable battery materials hub in northern Europe.

Finnish government backs project with €100mn investment

The total project cost is €800mn, with Finland contributing €100mn via its state-owned entity Finnish Minerals Group. This support highlights the country’s industrial policy focus on energy transition and raw material self-sufficiency.

Meanwhile, Beijing Easpring brings proven CAM manufacturing expertise to the partnership, ensuring production readiness by 2027. This collaboration is one of several European initiatives aiming to localize critical battery material manufacturing.

The Metalnomist Commentary

The Easpring Finland CAM plant reflects a broader shift toward cross-border industrial cooperation in the battery sector. By merging Chinese know-how with Finnish resources and EU policy support, this project could reshape CAM supply in Europe. It also reflects a growing preference for diversification away from Asia-only supply chains.

SQM Defends Lithium Partnership with Codelco Amid Criticism

SQM

SQM, one of the world’s largest lithium producers, has defended its proposed joint venture with Chile’s state-run copper mining company Codelco, stating that the deal will benefit all stakeholders involved. SQM’s general manager, Ricardo Ramos, addressed the Chilean Senate’s mining and energy committee, emphasizing that the partnership would promote economic and operational continuity for the Atacama lithium operations well beyond 2030.

Ensuring Operational Continuity and Avoiding Disruptions

The public-private joint venture, aimed at running SQM’s lithium operations in the Atacama salt flat, is expected to prevent potential disruptions that might occur if a new private entity were to take over SQM’s operations when its current contract expires in 2030. Ramos argued that allowing Codelco, a government-backed company, to partner with SQM would ensure that both the country and its communities benefit from stable and increased lithium production.

Critics of the deal have expressed concern that a public tender process could have secured more favorable terms for Chile, but SQM and Codelco maintain that the JV agreement, set to finalize in 2025, is the most effective way forward. Under the deal, Codelco will have rights to 33,500 metric tonnes per year of lithium carbonate equivalent (LCE) and will take control of the operation by 2031, with SQM retaining a minority stake.

SQM is also seeking regulatory approval to expand its production capacity to an additional 300,000 tonnes of LCE between 2025 and 2030, supplementing its current output, which represents 20% of global demand. However, the deal faces a legal challenge from Tianqi Lithium, a shareholder in SQM, over the transaction’s approval process.

Chile’s strategy with this joint venture aligns with its broader goal of increasing lithium production while establishing a stronger state presence in the industry.

ICL and Dynanonic Partner to Boost LFP Cathode Production in Europe

BMW

Israeli specialty minerals company ICL and Chinese battery cathode producer Shenzhen Dynanonic have formed a joint venture to manufacture lithium iron phosphate (LFP) cathode active material (CAM) in Europe. This collaboration aims to enhance the region’s battery supply chain and support the growing demand for EV and energy storage solutions.

Repurposing the Sallent Site for LFP Production

ICL has repurposed its Sallent site in Spain, previously used for potash production, to develop the new LFP cathode production facility. The joint venture represents a strategic shift towards sustainable battery materials. The companies will initially invest €285 million ($293 million), with ICL holding an 80% stake and Dynanonic the remaining 20%.

Strengthening Europe’s Battery Supply Chain

The new LFP facility will boost Europe's domestic production of battery materials, reducing reliance on Asian imports. The demand for LFP cathodes has surged due to their cost-effectiveness, safety advantages, and long cycle life compared to nickel-manganese-cobalt (NMC) alternatives. The European EV market and energy storage sectors will directly benefit from this development.

ICL and Dynanonic’s Strategic Vision

By leveraging ICL’s European presence and Dynanonic’s expertise in LFP cathode technology, the joint venture positions itself as a key player in the battery materials industry. This investment aligns with Europe’s push for battery independence and sustainable energy solutions.

Lithium Americas Thacker Pass project reshaped by US equity move

Lithium Americas

The Lithium Americas Thacker Pass project has entered a new phase as the US government links financing to direct equity. The Department of Energy (DOE) will take a 5pc stake in Lithium Americas and another 5pc in its joint venture with General Motors. This move reshapes risk sharing on the Lithium Americas Thacker Pass project and signals stronger US commitment to domestic lithium supply. As a result, the Lithium Americas Thacker Pass project now sits at the intersection of industrial policy, EV demand and capital markets.

US equity stake deepens support for Lithium Americas Thacker Pass project

The DOE has restructured its $2.26bn loan by adding equity warrants in Lithium Americas and its GM joint venture. This makes the US government not only a lender but also a partial owner of the Lithium Americas Thacker Pass project. LAC will draw an initial $435mn before the end of 2025, which will fund early construction and infrastructure. The joint venture structure remains intact, with Lithium Americas holding 62pc and operatorship and GM holding 38pc. This equity-linked design aligns incentives across government, miner and automaker, while anchoring long-term US battery material security.

The Thacker Pass development targets 160,000 t/yr of lithium carbonate across five phases. Each phase is planned at 40,000 t/yr, providing staged capacity that can track market demand. This phased approach reduces execution risk and gives lenders more confidence in the project ramp-up. It also lets the partners adjust capex timing if pricing or EV demand changes. For the DOE, the structure supports a scalable North American supply chain that can feed US gigafactories and reduce reliance on foreign lithium.

GM will also amend its offtake agreement to allow additional buyers into the portfolio. Under the existing terms, GM can take up to 100pc of Phase 1 and 38pc of total production for 20 years. The updated agreement will free some Phase 1 volumes for third-party offtake contracts. That shift reflects slower US EV adoption than previously expected and uncertainty after the expiry of key tax credits at the end of September. It also allows Lithium Americas to diversify its customer base and reduce single-buyer exposure.

Lithium Americas Thacker Pass project balances market risk and supply security

The Lithium Americas Thacker Pass project is now a test case for how policy-backed critical mineral projects manage demand cycles. On one hand, government equity and cheap debt lower financing costs and signal strong policy support. On the other, the partners must adapt to a softer EV sales trajectory and evolving battery chemistries. Allowing third-party offtake from early phases helps ensure plant utilisation and broader market participation. It also widens the strategic impact of Thacker Pass beyond a single OEM.

At the same time, the project remains central to US ambitions for a resilient battery supply chain. Domestic lithium carbonate output can reduce exposure to price spikes, export controls and shipping disruptions. The phased build-out allows careful monitoring of market conditions while keeping long-term capacity targets intact. If EV adoption reaccelerates later in the decade, Thacker Pass will already have a built foundation for further expansion.

The Metalnomist Commentary

The DOE’s equity stake turns Thacker Pass into a flagship example of industrial policy meeting market reality. The Lithium Americas Thacker Pass project gains financial strength and strategic backing, but must now prove it can thrive in a slower, more competitive EV landscape. For battery and automaker supply chains, the real story is optionality: diversified offtake and phased growth give this project room to adjust without losing strategic relevance.

Hailiang Saudi Copper JV Targets Middle East Processing Growth

Rawas

Hailiang Saudi copper JV plans will give Chinese copper products producer Zhejiang Hailiang a new manufacturing platform in Saudi Arabia. The company plans to form a joint venture with Saudi investment firm Rawas to build a $566mn copper processing plant at the port of Dammam.

The Hailiang Saudi copper JV is planned with 150,000 t/yr of copper processing capacity. The plant will include copper pipes, copper bars, recycled copper and copper foil, giving the project a broad downstream product mix.

The agreement gives Hailiang a 51% stake in the venture, while Rawas will hold 49%. The project still requires approval from the Saudi government and Hailiang’s shareholders before the partners finalise the investment.

The Hailiang Saudi copper JV reflects a wider shift in the copper products industry. Chinese processors are increasingly looking overseas to secure market access, reduce trade exposure and position closer to growth regions in the Middle East, Europe and Africa.

Dammam Plant Adds Copper Foil and Recycling Capacity

The planned Dammam plant will include 30,000 t/yr of copper pipe capacity and 20,000 t/yr of copper bar capacity. These products support construction, cooling systems, power infrastructure, industrial equipment and manufacturing supply chains.

The project also includes 50,000 t/yr of recycled copper capacity. This is strategically important because copper scrap is becoming a more valuable feedstock as concentrate markets tighten and buyers seek lower-carbon copper units.

The planned 50,000 t/yr of copper foil capacity adds a higher-value growth angle. Copper foil is used in batteries, electronics, printed circuit boards and advanced electrical applications. That gives the project relevance beyond traditional copper tube and bar markets.

The product mix suggests Hailiang is not only targeting commodity copper processing. It is building a downstream platform that can serve infrastructure, energy, electronics and battery-related demand from one regional base.

Dammam also offers logistical value. A port location can support raw material imports, finished product exports and access to Gulf, African and European customers. This could help Hailiang build a wider regional distribution network.

Saudi Arabia Gains Value-Added Copper Manufacturing Role

Hailiang said it aims to capitalise on Saudi Arabia’s copper ore resources, energy cost advantages and policy environment. These factors align with Saudi Arabia’s wider ambition to expand industrial manufacturing and mineral value chains.

For Saudi Arabia, the project could support a shift from resource availability toward value-added processing. Copper products are increasingly important for grids, buildings, cooling systems, EV infrastructure, renewable energy and industrial electrification.

The inclusion of recycled copper also fits the growing importance of circular metal supply. If Saudi Arabia can combine scrap collection, energy advantages and downstream manufacturing, it could strengthen its role in regional copper supply chains.

However, the project faces uncertainty. Hailiang said it is closely monitoring Middle East developments and their potential impact on site selection, construction progress, personnel safety and future operations.

The construction timeline has not yet been fixed. The partners will determine the schedule according to market conditions after the joint-venture agreement receives the required approvals.

This cautious approach is important. Middle East industrial projects can offer strong energy and logistics advantages, but geopolitical risk, financing timing, permitting and supply-chain security can still affect execution.

The Metalnomist Commentary

Hailiang’s Saudi venture shows how Chinese copper processors are internationalising downstream capacity, not only exporting products. The project’s real value lies in combining copper foil, recycling and regional market access inside Saudi Arabia’s industrial diversification strategy.

Alba and Daiki Partner on Aluminium Dross Recycling Venture in Bahrain

Aluminium Bahrain (Alba), one of the world's largest aluminium producers, has announced a strategic partnership with Japanese alloy producer Daiki Aluminium Industry to establish an aluminium dross processing business in Bahrain. The collaboration aims to enhance sustainability by reducing waste from Alba's smelting operations.

The two companies have signed an initial agreement to form a joint venture that will construct a state-of-the-art aluminium dross processing facility. This new plant will focus on recovering aluminium metal from the dross—an industrial byproduct of smelting—generated at Alba's operations. By recycling this material, the venture will not only reduce waste but also support Alba's and Bahrain's broader sustainability goals.

Alba's chief executive, Ali Al Baqali, emphasized the significance of the partnership, stating, "This joint venture will serve as a model for sustainable aluminium production, demonstrating the power of collaboration to drive positive change."

While the announcement marks a significant step forward for both companies, details regarding the timeline for the facility's construction and commissioning remain undisclosed. Additionally, the financial specifics of the project have not been provided.

The partnership between Alba and Daiki highlights a growing trend in the aluminium industry towards sustainable practices and efficient resource management. As global demand for aluminium continues to rise, initiatives like this are becoming increasingly important in minimizing the environmental impact of production processes.

Glencore-Merafe Lion Smelter Restart Highlights South Africa’s Ferro-Chrome Power Challenge

Glencore-Merafe

Glencore-Merafe Lion Smelter restart has brought some relief to South Africa’s ferro-chrome sector. The joint venture restarted production at Lion Smelter in Limpopo on 16 February. It has currently brought back 50pc of the smelter’s operating capacity. As a result, Glencore-Merafe Lion Smelter restart marks an important operational recovery.

This restart matters because Lion is now the venture’s only active smelter. Boshoek and Wonderkop have remained offline since last year’s suspensions. That leaves Lion carrying the near-term production burden. Therefore, Glencore-Merafe Lion Smelter restart is strategically important for the venture’s output profile.

The company expects Lion to reach full operating capacity by 31 March 2026. That target gives the market a clearer recovery timeline. However, the restart does not solve the venture’s deeper structural problem. South Africa ferro-chrome power costs still remain too high for long-term competitiveness.

South Africa Ferro-Chrome Power Costs Still Threaten Sustainability

South Africa ferro-chrome power costs made this restart possible, but only on a temporary basis. The National Energy Regulator approved a 12-month interim tariff of 87.74¢/kwh. That gave Glencore-Merafe enough short-term relief to restart Lion. Consequently, the company could bring some capacity back online.

However, Merafe made its position clear. The venture says it needs a tariff of 62¢/kwh to operate sustainably. That means the current relief does not provide a durable economic solution. Therefore, South Africa ferro-chrome power costs remain the main constraint on the business.

This issue also affects the two idle smelters. Boshoek and Wonderkop both need the same lower tariff to restart. Without that pricing relief, the venture cannot justify bringing them back. Meanwhile, the company faces a deadline to begin consultation on possible retrenchments.

Ferro-Chrome Competitiveness Remains Under Heavy Pressure

Ferro-chrome competitiveness is now the bigger issue behind this restart. Glencore-Merafe’s ferro-chrome production fell 63pc in 2025. High energy costs and weak market conditions drove that decline. As a result, the venture has lost ground in a very competitive global market.

Inner Mongolia producers remain a major challenge. They benefit from lower production costs and stronger power economics. South African smelters cannot compete effectively under the current cost structure. Therefore, Glencore-Merafe Lion Smelter restart is positive, but still fragile.

The company now wants a long-term tariff solution by 28 February. That deadline matters because employment, capacity planning, and future production all depend on it. Without structural energy reform, South Africa’s ferro-chrome sector may keep losing share. Consequently, ferro-chrome competitiveness now depends as much on power policy as on metal markets.

The Metalnomist Commentary

Lion’s restart is encouraging, but it does not change the core reality. South Africa’s ferro-chrome industry still faces a power cost problem that temporary relief cannot fix. If no long-term tariff solution emerges soon, this restart may look more like a pause in the downturn than the start of a real recovery.

China’s Sunway Set to Launch Sichuan Anode Material Plant

Conch Venture Sunway

Conch Venture Sunway, a prominent Chinese producer of anode materials, is set to begin production at its newly constructed facility in Leshan city, Sichuan province. This facility marks a significant milestone for the company in the rapidly growing lithium-ion battery supply chain.

The first phase of the plant, designed with a production capacity of 40,000 tons per year, began construction in September 2022 and was completed by June 2023. Trial production commenced in October, and full-scale operations are slated to launch in December. Once fully operational, the plant will contribute to Sichuan's reputation as a major hub for lithium-ion battery manufacturing.

The Leshan facility is part of a larger plan, with the second phase expected to add another 60,000 tons per year of capacity. However, details regarding the timeline and execution of the second phase remain undisclosed.

Conch Venture Sunway is a joint venture between Conch Venture, a provider of energy conservation and environmental protection solutions, and Sunway, a leading special cable manufacturer. This collaboration leverages Sichuan’s abundant hydropower resources, which allow producers to benefit from low electricity prices of 0.30-0.35 yuan/kWh ($0.04-0.05/kWh).

Producing 1 ton of synthetic anode material requires substantial energy, consuming 11,000-15,000 kWh, with over 60% allocated to the graphitisation process. Sichuan’s competitive energy rates provide a distinct advantage for companies like Conch Venture Sunway in scaling their operations sustainably.

As global demand for lithium-ion batteries continues to rise, fueled by the rapid adoption of electric vehicles and renewable energy storage solutions, Conch Venture Sunway’s new facility positions the company at the forefront of anode material production.