Reuters reported that Tesla Inc. (NASDAQ:TSLA) is in talks with Giga Metals Corp. (TSXV:GIGA) to help advance its nickel/cobalt project
SmallCapPower | September 15, 2020: Giga Metals Corp. (TSXV:GIGA) shares soared 185% to $1.65 on Friday following a Reuters report that Tesla Inc. (NASDAQ:TSLA) is in talks with Giga to help advance its nickel/cobalt project, which would give the electric car maker access to low carbon nickel for its batteries.
“Tesla will give you a giant contract for a long period of time if you mine nickel efficiently and in an environmentally-sensitive way,” CEO Elon Musk said in July.
Giga Metals previous revealed a low carbon nickel plan that includes turning waste from its mining operations into cement-type rock using carbon dioxide in the atmosphere, and using hydropower.
“The cost of developing our project, excluding bringing hydroelectric power to the site, will be less than $1 billion,” Giga Metals president Martin Vydra told Reuters.
Giga Metals’ Turnagain deposit, located in northern British Columbia, has a Measured & Indicated resource of 5.2 billion pounds of nickel and 312 million pounds of cobalt, along with an Inferred resource of 5.5 billion pounds of nickel and 327 million pounds of cobalt. And, this resource could expand further as the Company claims that less than 25% of the nickel prospective geology has been drilled to date.
Forecasts from Benchmark Mineral Intelligence suggest nickel demand for batteries will rise to 1.4 million tonnes in 2030, or 30% of total nickel demand, from about 139,000 tonnes and 6%, respectively, this year as sales of electric vehicles surge.
Shares of Giga Metals have climbed more than 368% during the past month to its current price of $1.50.
The Content contained on this page (including any facts, views, opinions, recommendations, description of, or references to, products or securities) made available by SmallCapPower/Ubika Research is for information purposes only and is not tailored to the needs or circumstances of any particular person. Any mention of a particular security is merely a general discussion of the merits and risks associated there with and is not to be used or construed as an offer to sell, a solicitation of an offer to buy, or an endorsement, recommendation, or sponsorship of any entity or security by SmallCapPower/Ubika Research. The Reader should apply his/her own judgment in making any use of any Content, including, without limitation, the use of any information contained therein as the basis for any conclusions. The Reader bears responsibility for his/her own investment research and decisions. Before making any investment decision, it is strongly recommended that you seek outside advice from a qualified investment advisor. SmallCapPower/Ubika Research does not provide or guarantee any financial, legal, tax, or accounting advice or advice regarding the suitability, profitability, or potential value of any particular investment, security, or information source. Ubika and/or its affiliates and/or their respective officers, directors or employees may from time to time acquire, hold or sell securities and/or commodities and/or commodity futures contracts in certain underlying companies mentioned in this site and which may also be clients of Ubika’s affiliates. In such instances, Ubika and/or its affiliates and/or their respective officers, directors or employees will use all reasonable efforts to avoid engaging in activities that would lead to conflicts of interest and Ubika and/or its affiliates will use all reasonable efforts to comply with conflicts of interest disclosures and regulations to minimize the conflict.