Stellantis N.V. and Terrafame Ltd. signed a supply agreement for nickel sulfate to be used in electric vehicle (EV) batteries. Beginning in 2025, Finland-based Terrafame will supply Stellantis with nickel sulfate over the five-year term of the agreement.

The Terrafame agreement is a part of Stellantis’ aggressive strategy and will cover a significant portion of the needs for sustainable regionally sourced nickel.

Stellantis plans reaching 100% of passenger car battery electric vehicle (BEV) sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in the United States by 2030. Stellantis plans to invest more than €30 billion through 2025 in electrification and software development, while targeting to be 30% more efficient than the industry with respect to total Capex and R&D spend versus revenues.

Terrafame operates one of the world’s largest battery chemicals plants for EV batteries in Finland; the plant is capable of producing nickel sulfate for around 1 million electric cars per year.

With an integrated production process beginning in its own open-pit mine and ending with battery chemicals on one industrial site, Terrafame’s production is fully traceable.

Furthermore, due to the unique production technology, the carbon footprint of the nickel sulfate produced by Terrafame is among the smallest in the industry.