New mineral processing plants touted as 'missing link' for Ontario's EV industry

A Canadian mining company will announce plans Thursday for two new processing facilities that its CEO says will provide the "missing link" in Ontario's plans for building a full-fledged electric vehicle industry. 

Canada Nickel Co. intends to develop a nickel processing plant as well as a stainless-steel and alloy production facility in the region of Timmins, its officials told CBC News ahead of the announcement.

EV batteries can contain 80 per cent or more nickel, making the metal a key component for the growing industry.      

"We're going to see nickel demand double or triple over the next 10 years as we gear up battery production here in North America," said Mark Selby, chief executive of Canada Nickel, in an interview with CBC News.

Premier Doug Ford's government is trying to position Ontario as a start-to-finish location for electric vehicle manufacturing, from mining the materials for EV batteries, forging the steel for the vehicle bodies, to final assembly.

The provincial and federal government are combining to pour billions of dollars into production incentives for EV battery plants located in southern Ontario, which could be fed by minerals from northern Ontario. 

Selby says his company's mineral processing plants will be crucial to the EV supply chain in the province.

"The key piece that's missing is this first-stage conversion, after you take the products from the mine and then turn them into a usable product," he said. "Being able to provide that processing capacity that provides that missing link is vitally important." 

Ontario's Minister of Mines George Pirie calls the plan a tremendous opportunity that takes advantage of the province's mineral resources.  

"It speaks to what we believe in, in Ontario, securing the supply chain and doing it a fashion that's zero carbon footprint," Pirie said in an interview. 

Canada Nickel says all carbon emissions from both plants will be captured and stored in the tailings of its planned Crawford mine, north of Timmins. 

Ontario recently moved to allow underground carbon capture, a way of fighting climate change by trapping greenhouse gas emissions instead of releasing them into the atmosphere. 

Mining industry customers want products that are produced with as little carbon emissions as possible, says Selby. 

"Being able to deliver a zero-carbon product both from the mine and then through the first stage of processing is a massive advantage," he said.