Nth Cycle, a Massachusetts-based company, is slated to start the production of a nickel product dubbed "mixed hydroxide precipitate" or MHP this year.
According to the reports, this is the first time this material will be manufactured in the US. The company guarantees that it will be vital in creating future electric vehicle batteries.
Why MHP Nickel is in High Demand
For the first time, US-based company Nth Cycle is set to create a nickel product with MHP. This will be a vital material for the future EV batteries.
As Electrek notes in its latest article, many EV battery makers have been looking for MHP for quite a long time.
However, the problem here is that they couldn't find any of it in the US. It's only traditionally available in Indonesia, which is not considered a free trade partner of America.
The same report writes that MHP has a very low concentration of certain elements, including nickel (30 to 40%) and cobalt (1 to 10%).
Nth Cycle will aim to create its own take on the MHP to achieve more than 90% of nickel-cobalt hydroxide.
The good part about MHP is that it will help diminish carbon emissions by as much as 90%. That's significantly higher compared to the nickels extracted via the traditional method.
Additionally, the US-made MHP will also be in line with the Inflation Reduction Act as far as the recycled-compliant requirement is concerned.
MHP Production Should Be Environmentally-Sound
Nth Cycle says that OYSTER will be helping the company to produce the finest MHP nickel in the country.
"We can economically and efficiently solve a key supply chain challenge for EV OEMs and battery manufacturers by offering MHP produced from our unique electro-extraction platform," Nth Cycle CEO Megan O'Connor said.
Megan added that the company acknowledges that the MHP product ensures that the refining process will be environmentally friendly. He also said that they would practice safe labor practices as they go along the whole process.
Somehow, this could be a breakthrough that will take place several months from now. The production of this nickel product is expected to kick off later this year.
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Indonesia's Growing Nickel Industry
As Nikkei Asia reports, there's a surging demand for Indonesia's nickel resources. The Southeast Asian country has been making a huge deal with Tesla and BYD to make a high-valued EV battery for cars.
The partners look forward to optimizing the entire battery industry to take advantage of the market. This way, the EV supply chain will run smoothly as the manufacturing cycle continues.
Locally, Indonesians are using nickel to make batteries for their e-bikes and e-scooters. These are great substitutes for electric cars that are deemed to be expensive in the country.
The flourishing nickel business in Indonesia is expected to boom in the coming years since the EV demand continues to skyrocket.
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