GM to take equity stake in Australian mining company

QPM Energy

11/10/2022 21:00

WASHINGTON, Oct 11 (Reuters) - General Motors Co  GM.N 
said on Tuesday it will invest up to $69 million and take an
equity stake in Queensland Pacific Metals  QPM.AX  to secure a
new source of nickel and cobalt for battery cells for use in the
U.S. automaker's vehicles.
    GM said the investment will help support electric-vehicle
eligibility for consumer incentives under new, clean energy U.S.
tax credits. GM said the nickel laterite ore is expected to be
processed using a new, proprietary process that helps reduce
waste. Under a law passed in August, automakers must source
battery minerals from countries with free trade agreements in
order to qualify for the U.S. consumer EV tax credits.
    The GM investment is to assist in the development of its
proposed Townsville Energy Chemicals Hub (TECH) Project in
Northern Australia. High-grade nickel laterite ore will be
imported from nearby New Caledonia, GM said.
 (Reporting by David Shepardson; editing by Jonathan Oatis)
 ((David.Shepardson@thomsonreuters.com; 2028988324;))