Glencore signs five-year cobalt offtake agreement with GEM
Diversified miner Glencore has entered into a five-year agreement to supply cobalt hydroxide to Chinese battery metals producer GEM Co.
Under the terms of the agreement, Glencore will provide GEM with at least 61 200 t of cobalt hydroxide between 2020 and 2024.
GEM chairperson Xu Kaihua noted in a statement issued on Monday that the agreement would support GEM’s continued contribution to the Chinese new energy market.
“By securing a key battery raw material, GEM clearly demonstrates its ability to implement and deliver its vision for an electrified, carbon-free transportation system. GEM will continue focusing on the development and the manufacturing of high-quality sustainable cobalt products to meet the fast-growing demand for cobalt-containing battery products,” he commented.
“The extension of our long established partnership with GEM further endorses Glencore’s important role in supplying the materials that enable the energy and mobility transition,” added Glencore copper and cobalt marketing head Nico Paraskevas.
Moreover, he added that the long-term partnership would provide Glencore with a stable outlet for a considerable portion of its expected future cobalt hydroxide production.
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