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Be the first with the news that moves the market- Blackstone Minerals (BSX) has signed a non-binding letter of intent (LOI) with multinational commodity trading company Trafigura
- Trafigura is one of the largest physical commodities trading groups in the world and one of the largest copper, zinc, lead, nickel and cobalt traders
- Under the LOI, Trafigura will supply certain quantities of nickel and cobalt products to Blackstone for its Ta Khoa nickel project in Vietnam
- This will help in the production of downstream products for the lithium-ion battery industry and it plays a part in Blackstone's upscale strategy
- Blackstone is up 7.95 per cent on the market and shares are trading at 47.5 cents
Blackstone Minerals (BSX) has signed a non-binding letter of intent (LOI) with multinational commodity trading company Trafigura.
Trafigura is one of the largest physical commodities trading groups in the world and one of the largest copper, zinc, lead, nickel and cobalt traders.
Under the LOI, Trafigura will supply certain quantities of nickel and cobalt products to Blackstone for its Ta Khoa nickel project in Vietnam.
This will help produce downstream products for the lithium-ion battery industry.
Further, it forms part of Blackstone's strategy to upscale its downstream refining business and its aim to become a significant global supplier of nickel products for use in the lithium-ion battery industry.
Blackstone will upscale its refining business through the construction of additional refining capacity, which will have the ability to process up to 200,000 tonnes per annum of concentrate.
"We are delighted to have laid the foundations for our relationship with Trafigura, a globally significant trading company. Blackstone is taking steps to become a significant global, green nickel product supplier catering to the battery market," Managing Director Scott Williamson commented.
"We believe Vietnam is ideally situated to manufacture green nickel products, given its competitive costs, abundant supply of renewable energy and excellent infrastructure," he said.
"In addition, our strategy to upscale the downstream business is particularly pertinent, given leading battery manufacturers have indicated the potential to construct battery manufactory facilities in-country," he added.
Blackstone is up 7.95 per cent on the market and shares are trading at 47.5 cents at 12:38 pm AEDT.
