Wyloo has announced its intention to use MetalsHub to sell its low-carbon nickel and nickel concentrate products once it restarts its nickel operations in Kambalda, Western Australia.
The memorandum of understanding (MoU) between the two aims to improve the transparency of the carbon dioxide ( CO2) footprint, Environmental, Social and Governance (ESG) credentials, pricing and provenance in international nickel markets.
The partnership also aims to develop a price index for low-carbon nickel concentrate and nickel sulphate, which will be referenced in future sales contracts.
Wyloo’s CEO, Luca Giacovazzi, said the collaboration would set a new global standard for sustainably produced nickel products and enable greater transparency of low-carbon nickel pricing.
“The Metalshub platform will enable nickel producers to provide provenance, carbon footprint and ESG information to customers in an auditable form, leading to qualification under key market regulations such as the US’s Inflation Reduction Act or the European Union’s Carbon Border Adjustment Mechanism and Battery Regulation,” Mr Giacovazzi said.
“If we want car manufacturers to effectively manage their scope three emissions and to empower consumers to choose electric vehicles that are truly good for the environment, the industry must adopt transparent emission reporting across the supply chain.”
Metalshub Co-Founder and Managing Director, Dr. Sebastian Kreft, said the transparency would allow nickel producers to market their products with a premium.
“Nickel has become an important focus of the energy transition as the world moves away from fossil fuels to renewable energy and the electrification of transport. Today, most nickel is used to produce stainless steel, but the fastest growing application is lithium-ion batteries used in electric vehicles.”
Dr Kreft said that nickel mining and processing present significant ESG concerns relating to greenhouse gas emissions, air, soil and water pollution, the destruction of ecosystems, Indigenous rights, energy use and working conditions.
“Our platform will enable mining companies and manufacturers buying metals to demonstrate that they are addressing these concerns and meeting the needs of the green energy transition in an ethical and sustainable way. It is also another milestone on our joint journey with the LME to provide producers and consumers access to our software platform to discover ‘green’ nickel premiums,” Dr Kreft said.
“We are excited to increase transparency around ESG credentials and CO2 footprint – the gained transparency will give producers an opportunity to market their products with a premium.”
Featured image: Ari Nur Cahyadi/shutterstock.com
