Toyota to fund Australian lithium mining feasibility
21 Jan 2010
Toyota has pumped millions of dollars into an Australian project in Argentina to secure lithium supplies for future electric and hybrid cars.
The company has already entered into agreements with Panasonic and Sanyo for the supply of large-format lithium-ion batteries for its electric-powered cars. It also holds stakes in Fuji Heavy Industries that has interests in NEC's lithium and manganese battery technology.
However, according to industry watchers this is the first time the biggest carmaker in the world has made direct investment in mining the raw materials.
Its trading arm, Toyota Tsusho, the sixth biggest trading company in the world, has taken a 25-per cent interest in Argentina's Olaroz lithium-potash project, which is expected to start development later this year. Toyota holds a 21.8-per cent stake in Toyota Tsusho.
The project's feasibility study on which Toyota will spend $5 million will be completed by the end of the year.
Toyota will then buy a 25-per cent share in the project subject to a joint venture deal with the project's owner, Queensland-based Orocobre Ltd.
