Vedanta Nico inks pact for supplying nickel to US-based AEsir Technologies

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Vedanta Nico, a subsidiary of Vedanta Ltd, on Monday said it has entered into a pact with US-based AEsir Technologies for the supply of nickel, a critical component for next-generation batteries.

Nickel plays an important role in EV battery technology, particularly in the cathode, where it enhances energy density, power output, and battery lifespan. Nickel-rich batteries, such as nickel-zinc variants, offer fast charging, reduce reliance on cobalt, and improve the overall electric vehicle (EV) value proposition.

The global demand for nickel in batteries is projected to reach 500,000 tonnes by 2025 from 150,000 tonnes in 2020 due to the expanding EV market adoption.

The International Energy Agency (IEA) forecasts that the number of electric cars will rise from over 10 million in 2020 to 145 million by 2030, spurred by larger battery capacities, faster charging, and advancements in reducing cobalt use.

"Vedanta Nico, India's primary nickel producer, has signed a strategic Memorandum of Understanding (MoU) with AEsir Technologies, Inc, a US-based innovator in advanced battery technologies," Vedanta Nico said in a statement.

Vedanta Nico has now joined forces to develop and commercialise cutting-edge nickel-zinc batteries for critical infrastructure, 5G telecom, and electric vehicle chargers, it said.

"We are thrilled to partner with AEsir Technologies to create a game-changing battery solution for the critical infrastructure, 5G telecom, and EV market. Our expertise in nickel production, coupled with AEsir's innovative zinc battery technology, positions us to deliver a product that meets the evolving needs of the industry.

This collaboration aligns with our vision of contributing to a sustainable future through responsible mining and value-added products," Vedanta Nico COO Prashuk Jain said.