Mississaugua-based Li-Cycle Holdings Corp is teaming up with multinational commodity trading and mining company Glencore to increase the availability of critical metals for the electric vehicle (EV) industry.
Glencore will supply Li-Cycle with shredded batteries and manufacturing scrap under the long-term supply agreement.
In exchange Glencore will receive lithium, manganese, cobalt, and nickel that Li-Cycle was able to recover from the scraps.
Those materials will then be used to produce battery grade end products.
“We are excited to announce this new strategic partnership with Li-Cycle. We both believe that battery recycling will form a key part of the energy transition. Our bold aim is to help support the creation of a genuinely circular economy that supplies recycled materials and minerals back into the battery supply chain,” said Kunal Sinha, Head of Recycling at Glencore.
Glencore will also get a seat on Li-Cycle’s board of directors after committing to invest $200 million in the company.
The deal is expected to close in the second quarter of 2022.