Tesla’s move to drive lithium project charges Aussie supply firms
A move by electric car company Tesla Motors to invest directly in a lithium project for the first time has stirred excitement among Australian players working to supply materials needed for batteries of the future.
Tesla has agreed to take product from the Sonora lithium project in northern Mexico, a joint venture between Canadian company Bacanora Minerals and London’s Rare Earth Minerals, as it sources lithium for its “Gigafactory” battery plant in mid-2016.
The foray by Tesla is seen as a positive development for Australian-listed companies such as graphite developer Syrah Resources and lithium play Orocobre, given it shows the growing market appetite for lithium and the willingness of end-users to step in and support the development of new sources of supply.
Tesla, founded by billionaire entrepreneur Elon Musk, is spending up to $US5 billion ($7bn) building its first Gigafactory lithium-ion battery factory, which will manufacture batteries for its electric vehicle batteries as well as the Powerwall battery packs that it hopes will revolutionise the way buildings store and use energy.
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