What will it take for Canada to reach its ambitious critical minerals goals?...My answer was that Canada’s preliminary steps towards a viable strategy will require much more significant involvement by the government, including financial support, streamlining approval processes, and removing regulatory barriers, if meaningful progress is to be made…Domestic critical minerals producers need greater investment and support from the Canadian government to be able to shoulder the financial risks of carrying a new mining project through to completion…Since 2022, the government has pledged $1.5 billion over six years to be invested in the manufacturing, processing, and recycling of critical minerals; launched the Critical Mineral Exploration Tax Credit; and provided $25 million in funding to engage with Indigenous communities…These developments are positive, but much more is needed. $1.5 billion would barely cover the cost of a single proposed highway project to Ontario’s Ring of Fire. And while Canada’s $28 billions of investments in EV battery production with auto manufacturers are encouraging developments, these projects will require a steady supply of critical minerals to succeed…Another aspect of investment is access to capital. While increased scrutiny over certain foreign investments in the mining sector is crucial for Canadian national security, this has further restricted the already limited supply of investment capital available to critical minerals producers. The impacts of such measures must be balanced through both ongoing investment in Canadian producers and by encouraging investment from international firms not deemed to present security risks…Unlike many of its international allies, Canada is fortunate to have reserves of many of these minerals beneath its soil. Our ability to ensure a stable supply of critical minerals is largely a matter of providing increased financial support to Canadian mining companies while streamlining approval processes and removing regulatory barriers.

Tullett Prebon on Tuesday launched a new desk and team to trade CME cobalt, lithium and molybdenum, all materials crucial for batteries used in electric vehicles and energy storage, the London-based commodities broker said…Cobalt volumes on the CME have been growing quickly over the last two years, while those for lithium have picked up in recent months…"With demand for electric vehicles (EV) fluctuating, and the production of battery metals rising rapidly, clients have a growing need to manage price risk and exposure," the broker said.

ERG will supply 3,000 tons of cobalt hydroxide annually starting in 2026 under the three-year deal, Electra said…The U.S. and Canada are among the countries trying to reduce their dependence on China, which dominates the market for refining minerals such as cobalt, lithium and rare earths. The Biden administration’s Inflation Reduction Act, known as the IRA, offers billions of dollars in financial incentives to boost manufacturing of EVs and batteries…Cobalt from ERG’s Metalkol project in southeastern Congo is intended to supply a plant Electra is developing north of Toronto. Battery materials made in Canada, such as the cobalt sulfate that will be produced by Electra, qualify for IRA benefits…In October, ERG agreed to provide cobalt from Metalkol to EVelution Energy LLC, an Arizona-based battery materials processor backed by commodities trader Trafigura Group. In January, ERG said it was in talks about building a cobalt sulfate refinery in Saudi Arabia.

China relaxed a ceiling on automobile loans in an effort to boost car purchases as Beijing seeks to stimulate consumption…The country's financial institutions now have full autonomy to decide the down payment levied on car loans for individuals, the People's Bank of China said in a statement on Wednesday. Loan ratios for commercial vehicles and second-hand cars remain unchanged…China previously allowed lenders to offer auto loans of up to 80% of prices for internal-combustion-engine vehicles and 85% for new-energy vehicles, which include electric cars and plug-in hybrids.

Zeekr, the premium electric vehicle (EV) brand of Chinese automaker Geely has restarted stalled plans to raise up to $500 million in a New York initial public offering (IPO), according to two sources with direct knowledge of the matter…The company in November put listing plans to raise about $500 million on hold because of a mismatch in valuation expectations between investors and the company, Reuters reported then citing sources…The deal was put on ice also due to volatile global financial market conditions at the time, as per the report…Zeekr is now holding a non-deal roadshow with potential investors ahead of the IPO, the two sources told Reuters…Zeekr is aiming to deliver 230,000 cars in 2024, which is double its 2023 deliveries, a company spokesperson said in early January.

The automotive industry will have to reduce the weight of EV batteries by 50% in the next 10 years to make electrification environmentally meaningful, the head of Stellantis said on Wednesday…Stellantis CEO Carlos Tavares said during the automaker's Freedom of Mobility Forum that making a battery pack for an electric vehicle (EV) with a "decent range" of 400 kilometres (250 miles) now took on average 1,000 pounds, or around 500 kilograms, of additional raw materials compared to a traditional car…"From an environmental standpoint ... I don't think it makes sense," Tavares said…"I think that's on the way. I think over the next decade we'll be able to reduce the battery pack weight by 50%, hence reducing by 50% the use of additional raw materials against a conventional vehicle," he said…He added this would also help solve the problem of lithium scarcity, a key element in most of today's batteries…During the forum Tavares also said he did not see hydrogen as a viable alternative technology for present mass mobility due to its "sky high" costs, even assuming that energy used to produce hydrogen was clean.