Vale confirms supply deal with Tesla for low-carbon nickel

Vale and Tesla have signed a long-term contract regarding the supply of Class 1 nickel in the USA from operations in Canada.

‘We are pleased to have the leading electric vehicle manufacturer Tesla among our customers,’ says Deshnee Naidoo, Vale’s Executive Vice President of Base Metals. ‘This agreement reflects a shared commitment to sustainability and shows very clearly we are the supplier-of-choice for low-carbon and high purity nickel products essential for long-range batteries.’

Vale’s Canadian operations produce some of the lowest-carbon nickel globally. Rounds from its Long Harbour refinery in Newfoundland and Labrador in 2020 had a verified carbon footprint of 4.4t CO2 equivalent per tonne of nickel, while pellets and powder from the Copper Cliff Nickel Refinery in Ontario had a verified footprint of 7.3t equivalent. This includes Scope 1 and 2 emissions from mining, milling and refining as well as upstream Scope 3 emissions from inputs.