A-Cap Energy Limited (A-Cap) is an ASX-listed (ASX: ACB) minerals exploration and development company. The Company’s strategy is to diversify its minerals portfolio focusing on the acquisition of nickel-cobalt laterite projects. The Wilconi Project represents the Company’s first nickel-cobalt laterite project and, after completion of project and development funding, the Company aims to supply cathode materials to the battery industry.
A-Cap is dual listed on the following publicly traded stock exchanges:
- Frankfurt Stock Exchange from May 2019; and
- Botswana Stock Exchange from September 2006.
Diversified Minerals Strategy
The Board’s diversified minerals strategy is focused on the significant growth expectation in the supply of battery materials to the OEM automotive and battery industries. The Wilconi Project represents the Company’s first nickel-cobalt laterite project interest. The Company is committed to becoming a relevant supplier to the OEM automotive and battery industries.
The Company aims to establish key strategic and commercial relationships to take advantage of new materials processing and refinery technologies, particularly in production of cobalt and nickel sulphates products used directly in battery manufacture.
The nickel and cobalt battery materials industry is responding to an anticipated demand increase driven predominantly by the new electric vehicle (EV) battery industry. The materials demand has sparked a wave of lithium ion battery mega-factories to be built.
Benchmark Mineral Intelligence, Managing Director Simon Moores reported in his testimony to the US Senate on US Energy and Natural Resources Committee on 5 February 2019 the company is now tracking 70 lithium ion mega-factories under construction across four continents, 46 of which are based in China and only 5 planned for the USA; and
Northvolt CEO Peter Carlsson commented in EurActive interview on 5 April 2019 – “we expect that the European market will have a yearly need of 500 to 600 gigawatt-hours. If we consider the advancement of various plants, I expect there to be at least 10 gigantic plants in Europe by 2030”.https://www.euractiv.com/section/batteries/interview/europe-will-have-at-least-ten-gigantic-battery-factories/
Almost exclusively, these mega-factories are being built to make lithium ion battery cells using two chemistries: nickel-cobalt-manganese (NCM) and nickel-cobalt-aluminum (NCA). RBC Capital Markets, Equity Research initiation Cobalt25 – January 2019 commented:
“We forecast nickel-based chemistries used in EV’s rising to 80% by 2025, up from 60% in 20I8”.
Bernstein research, February 2018 illustrated the types of Lithium-Ion Batteries and their cathode materials mix up to 2030.