Electrification
Visualizing the Growing Demand for Nickel and Copper
The following content is sponsored by Premium Nickel
Visualizing the Growing Demand for Nickel and Copper
Nickel and copper play a vital role in a clean energy future, as both metals are used in many new technologies like EV batteries, solar panels, and wind turbines.
This visualization from our sponsor Premium Nickel explores how responsible mining will be essential to meet the demand for these metals.
Nickel and Copper in the Clean Energy Transition
Copper is a critical mineral in the production of EVs, used in electric motors, batteries, and charging infrastructure. The metal is an excellent conductor of electricity, making it ideal for use in vehicles.
According to the International Energy Agency (IEA), an average EV can contain around 53kg of copper compared to 22kg in a combustion vehicle. As a result, copper demand for EV batteries alone is expected to jump from 210,000 tonnes in 2020 to 1.8 million tonnes in 2030.
| Mineral | Content in electric vehicles (kg) | Content in conventional cars (kg) |
|---|---|---|
| Graphite (natural and synthetic) | 66.3 | 0 |
| Copper | 53.2 | 22.3 |
| Nickel | 39.9 | 0 |
| Manganese | 24.5 | 11.2 |
| Cobalt | 13.3 | 0 |
| Lithium | 8.9 | 0 |
| Rare earths | 0.5 | 0 |
| Zinc | 0.1 | 0.1 |
| Others | 0.3 | 0.3 |
Nickel is another important mineral in the clean energy transition, as it is used in the production of EV batteries. One of the benefits of using nickel in EV batteries is that it can increase the energy density of the battery.
Additionally, nickel can help to reduce the cost of EV batteries, as it is less expensive than other materials commonly used in battery production.
In a scenario that meets the Paris Agreement goals, clean energy technologies’ share of total nickel demand rises significantly over the next two decades to over 60%.
Pioneering Principled Copper and Nickel Mining
Nickel and copper production are both currently emissions intensive.
For copper, the emissions intensity is about 4.5 kg of CO2 for every kg produced. Nickel’s emissions intensity varies from ~20–80 kg CO2 per kg of nickel produced, depending on the purity of the final product and the extraction process used.
Recent research has shown that consumers are also more aware of their environmental impact. In fact, 26% of American vehicle buyers cited their personal environmental impact as the top influencing factor in buying or leasing a vehicle.
In this context, responsible mining practices must be in place to ensure a sustainable supply chain.
Premium Nickel is targeting to produce high-grade concentrates of both nickel and copper using carbon efficient technologies.
The company’s flagship projects in Botswana are been developed to minimize the environmental footprint, using less power, less water, alternative energy sources.
Using new technology and working closely with the community, the company has adopted the highest international standards for the protection of the environment, while developing its projects.
Premium Nickel is well positioned to meet the growing demand for nickel and copper. Click here to learn more about the company.
Electrification
How EV Adoption Will Impact Oil Consumption (2015-2025P)
How much oil is saved by adding electric vehicles into the mix? We look at data from 2015 to 2025P for different types of EVs.
The EV Impact on Oil Consumption
As the world moves towards the electrification of the transportation sector, demand for oil will be replaced by demand for electricity.
To highlight the EV impact on oil consumption, the above infographic shows how much oil has been and will be saved every day between 2015 and 2025 by various types of electric vehicles, according to BloombergNEF.
How Much Oil Do Electric Vehicles Save?
A standard combustion engine passenger vehicle in the U.S. uses about 10 barrels of oil equivalent (BOE) per year. A motorcycle uses 1, a Class 8 truck about 244, and a bus uses more than 276 BOEs per year.
When these vehicles become electrified, the oil their combustion engine counterparts would have used is no longer needed, displacing oil demand with electricity.
Since 2015, two and three-wheeled vehicles, such as mopeds, scooters, and motorcycles, have accounted for most of the oil saved from EVs on a global scale. With a wide adoption in Asia specifically, these vehicles displaced the demand for almost 675,000 barrels of oil per day in 2015. By 2021, this number had quickly grown to 1 million barrels per day.
Let’s take a look at the daily displacement of oil demand by EV segment.
| Number of barrels saved per day, 2015 | Number of barrels saved per day, 2025P | |
|---|---|---|
| Electric Passenger Vehicles | 8,600 | 886,700 |
| Electric Commercial Vehicles | 0 | 145,000 |
| Electric Buses | 43,100 | 333,800 |
| Electric Two & Three-Wheelers | 674,300 | 1,100,000 |
| Total Oil Barrels Per Day | 726,000 | 2,465,500 |
Today, while work is being done in the commercial vehicle segment, very few large trucks on the road are electric—however, this is expected to change by 2025.
Meanwile, electric passenger vehicles have shown the biggest growth in adoption since 2015.
In 2022, the electric car market experienced exponential growth, with sales exceeding 10 million cars. The market is expected to continue its strong growth throughout 2023 and beyond, eventually coming to save a predicted 886,700 barrels of oil per day in 2025.
From Gas to Electric
While the world shifts from fossil fuels to electricity, BloombergNEF predicts that the decline in oil demand does not necessarily equate to a drop in oil prices.
In the event that investments in new supply capacity decrease more rapidly than demand, oil prices could still remain unstable and high.
The shift toward electrification, however, will likely have other implications.
While most of us associate electric vehicles with lower emissions, it’s good to consider that they are only as sustainable as the electricity used to charge them. The shift toward electrification, then, presents an incredible opportunity to meet the growing demand for electricity with clean energy sources, such as wind, solar and nuclear power.
The shift away from fossil fuels in road transport will also require expanded infrastructure. EV charging stations, expanded transmission capacity, and battery storage will likely all be key to supporting the wide-scale transition from gas to electricity.
Electrification
Graphite: An Essential Material in the Battery Supply Chain
Graphite represents almost 50% of the materials needed for batteries by weight, no matter the chemistry.
Graphite: An Essential Material in the Battery Supply Chain
The demand for lithium-ion (Li-ion) batteries has skyrocketed in recent years due to the increasing popularity of electric vehicles (EVs) and renewable energy storage systems.
What many people don’t realize, however, is that the key component of these batteries is not just lithium, but also graphite.
Graphite represents almost 50% of the materials needed for batteries by weight, regardless of the chemistry. In Li-ion batteries specifically, graphite makes up the anode, which is the negative electrode responsible for storing and releasing electrons during the charging and discharging process.
To explore just how essential graphite is in the battery supply chain, this infographic sponsored by Northern Graphite dives into how the anode of a Li-ion battery is made.
What is Graphite?
Graphite is a naturally occurring form of carbon that is used in a wide range of industrial applications, including in synthetic diamonds, EV Li-ion batteries, pencils, lubricants, and semiconductor substrates.
It is stable, high-performing, and reusable. While it comes in many different grades and forms, battery-grade graphite falls into one of two classes: natural or synthetic.
Natural graphite is produced by mining naturally occurring mineral deposits. This method produces only one to two kilograms of CO2 emissions per kilogram of graphite.
Synthetic graphite, on the other hand, is produced by the treatment of petroleum coke and coal tar, producing nearly 5 kg of CO2 per kilogram of graphite along with other harmful emissions such as sulfur oxide and nitrogen oxide.
A Closer Look: How Graphite Turns into a Li-ion Battery Anode
The battery anode production process is composed of four overarching steps. These are:
- Mining
- Shaping
- Purifying
- Coating
Each of these stages results in various forms of graphite with different end-uses.
For instance, the micronized graphite that results from the shaping process can be used in plastic additives. On the other hand, only coated spherical purified graphite that went through all four of the above stages can be used in EV Li-ion batteries.
The Graphite Supply Chain
Despite its growing use in the energy transition all around the world, around 70% of the world’s graphite currently comes from China.
With scarce alternatives to be used in batteries, however, achieving supply security in North America is crucial, and it is using more environmentally friendly approaches to graphite processing.
With a lower environmental footprint and lower production costs, natural graphite serves as the anode material for a greener future.
Click here to learn more about how Northern Graphite plans to build the largest Battery Anode Material (BAM) plant in North America.
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