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BASF and Nornickel partner to supply cobalt and nickel battery materials

BASF and Nornickel have established a strategic cooperation to meet the growing needs for battery materials in electric vehicles.

BASF has selected Harjavalta, Finland, as the first location for battery materials production serving the European automotive market. The plant will be constructed adjacent to the nickel and cobalt refinery owned by Norilsk Nickel (Nornickel).

This investment is part of BASF’s €400-million multi-step investment plan announced last year and builds upon initial battery materials production started in Harjavalta in 2018. Start-up is planned for late 2020, enabling the supply of approximately 300,000 full electric vehicles per year with BASF battery materials. The new plant in Harjavalta will utilize locally generated renewable energy sources, including hydro, wind and biomass.

Additionally, BASF and Nornickel have signed a long-term, market-based supply agreement for nickel and cobalt feedstocks from Nornickel’s metal refinery. The agreement will establish a locally sourced and secure supply of raw materials for battery production in Europe.

The investment in the new plant in Finland reinforces BASF’s support of the EU Commission’s agenda towards a European battery production value chain. BASF is also evaluating additional locations in Europe for the construction of new production plants for battery materials.

With the investment in Harjavalta, BASF will be present in all major regions with local production and increased customer proximity further supporting the rapidly growing electric vehicle market. Combined with our Nornickel cooperation, we are creating a strong platform that connects the efforts between industry leaders in raw material supply and battery materials technology and production.

—Kenneth Lane, President, BASF’s Catalysts division

The co-location of BASF’s new plant and Nornickel’s metal refinery in Harjavalta will enable unparalleled access to a local nickel and cobalt supply. Our high-nickel cathode materials are key to deliver enhanced energy density and vehicle range to our customers. With this world-scale production facility, BASF will be able to serve the European e-mobility growth strategies of key OEMs and cell suppliers with reliable supply and close collaboration.

—Jeffrey Lou, Senior Vice President, Battery Materials at BASF

NJSC MMC Norilsk Nickel is a diversified mining and metallurgical company, the world’s largest producer of refined nickel and palladium and a leading producer of platinum, cobalt, copper and rhodium. The company also produces gold, silver, iridium, selenium, ruthenium and tellurium.

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