BHP inks deal with Ford. Ford Motor Company has entered a memorandum of understanding with BHP for nickel supply. The agreement could start as early as 2025 and may involve additional commodities over time.
Nickel will be supplied from BHP’s Nickel West asset in Western Australia. The Nickel West mine is a producer of some of the most sustainable and lowest carbon intensity nickel in the world.
The two companies will also explore ways to make battery supply chains more sustainable and efficient. This will also offer opportunity for further alignment on best practice and raising ESG performance transparency.
BHP are looking to further reduce their already low carbon intensity nickel even further.
“Sustainable, reliable production of quality nickel will be essential to meeting demand from automakers like Ford Motor Company who are focused on producing their vehicles in an increasingly sustainable way,” said BHP chief commercial officer Vandita Pant.
“We are pleased to announce this arrangement with Ford Motor Company, and more importantly, to collaborate with them on ways to make the battery supply chain more sustainable through our shared focus on end-to-end collaboration, as well as technological and commercial innovation.”
BHP’s Nickel West asset has one of the world’s lowest operational carbon emissions intensities for nickel mining operations. These results make BHP a partner of choice for battery electric vehicles.
“Demand for nickel in batteries is estimated to grow four-fold over the next decade, in large part to support the world’s rising demand for electric vehicles,” she said.
“While what we produce is essential, never before has how we produce and manage our products through our supply chain been more important. Customers increasingly care about where products come from: their environmental and ethical footprints, as well as the efficiency and transparency of their supply chains.”