Title: Are Batteries Bad for the Planet? Zero Emission Mining with NMG | Fully Charged Show Podcast

Podcast Information:

• Title: The Fully Charged Podcast
• Host: Robert Llewellyn
• Episode: Are Batteries Bad for the Planet? Zero Emission Mining with NMG
• Release Date: December 9, 2024

Introduction: The Unsung Hero of Batteries

In this enlightening episode of "The Fully Charged Podcast," host Robert Llewellyn delves into the pivotal role of graphite in lithium-ion batteries. Graphite, comprising 95% of the battery's anode by volume, is essential yet often overshadowed by materials like nickel, manganese, and cobalt. The episode explores the environmental implications of graphite mining and the pressing need to diversify the global supply chain, which is currently dominated by China.

Guest Spotlight: Eric Desognier, CEO of Nuvomond Graphite (NMG) [02:06]

Eric Desognier, the CEO of Quebec-based Nuvomond Graphite (NMG), joins the conversation to shed light on his company's mission to produce carbon-neutral graphite. Founded 13 years ago, NMG discovered a significant graphite deposit near Montreal and is now constructing the largest fully integrated natural graphite operation in the Western world. Serving major clients like Panasonic Energy and General Motors, NMG employs 130 professionals, including 40 engineers and 10 PhDs, highlighting their expertise in both mining and battery material production.

Notable Quote: “We discovered a deposit and we are now building the mine, building the transformation of the concentrate that will go out of the mine to serve the lithium ion battery market.” [02:06]

The Strategic Importance of Graphite in Batteries [04:14]

Llewellyn probes into Desognier’s motivations for entering the graphite supply chain in 2013, a time when electric vehicles (EVs) were beginning to gain traction. Desognier explains that the discovery of a new graphite mine coincided with Elon Musk’s announcement of the Gigafactory, anticipating a surge in demand for graphite to support battery production.

Notable Quote: “When China flex muscle and they say that they may not give graphite to North America, that's it should be very worrisome.” [06:31]

Graphite Supply Chain and Diversification [06:31]

The conversation shifts to the geopolitical landscape of graphite supply. With China controlling over 99% of the global battery-grade graphite, events like China’s export restrictions to the US have underscored the urgency for North America to develop its own resilient and diversified supply chain. Desognier emphasizes that NMG is strategically positioned to meet this demand, leveraging Quebec’s abundant hydroelectric resources and proximity to key customers.

Notable Quote: “When China flex muscle and they say that they may not give graphite to North America, that's it should be very worrisome.” [26:57]

Types of Graphite: Natural vs. Synthetic [11:43]

Desognier provides a comprehensive overview of natural versus synthetic graphite. Natural graphite, formed over millions of years, is extracted through flotation processes, achieving over 95% purity. In contrast, synthetic graphite is manufactured from needle coke—a byproduct of oil refineries—and requires energy-intensive processes at temperatures around 3,000°C, resulting in higher costs and carbon footprints.

Notable Quote: “Natural graphite has more capacity for sure. It costs less to manufacture and less carbon footprint, as I've mentioned… synthetic graphite have higher carbon footprint, higher cost.” [11:43]

Performance Insights: Natural vs. Synthetic Graphite [14:55]

Both graphite types are integral to battery performance but offer different advantages. Natural graphite provides higher capacity but can cause swelling during charge cycles, while synthetic graphite offers better cycle life and fast-charging capabilities. Battery manufacturers often blend both types to optimize performance based on specific battery chemistries and form factors.

Notable Quote: “Natural graphite has more capacity... synthetic graphite it's better to end all the swelling because it's not as crystalline and it's isotropic.” [14:55]

Challenges in Graphite Recycling [18:46]

Desognier discusses the complexities of recycling graphite from used batteries. The formation of the solid electrolyte interface (SEI) layer complicates the purification process, making it difficult to achieve the high purity levels required for battery-grade graphite. NMG is exploring ways to incorporate recycled graphite into their products, aiming to offset some of the environmental impacts of mining.

Notable Quote: “It’s difficult to compete on cost because graphite is very cost competitive… the recycling process needs to achieve over 99% purity.” [18:46]

NMG’s Sustainable Mining Practices [28:55]

A cornerstone of NMG’s operations is their commitment to sustainability. Desognier outlines several initiatives, including:

• All-Electric Mining Operations: Transitioning mining trucks and equipment to electric power to reduce carbon emissions.
• Hydroelectric Power Utilization: Leveraging Quebec’s affordable green hydroelectricity to power energy-intensive processes.
• Progressive Land Restoration: Implementing backfilling and restoring vegetation to ensure minimal environmental impact post-mining.
• Community Engagement: Building strong relationships with local communities, particularly the Etsikamek nation, to ensure mutual benefits and support.

Notable Quote: “We are proud to say we're carbon neutral since inception and we intend to remain so in the future.” [28:55]

Impact of China’s Export Restrictions [26:57]

China’s decision to restrict graphite exports to the US has intensified the necessity for North American supply chain diversification. Desognier notes that such geopolitical maneuvers create a sense of urgency among battery manufacturers to secure reliable, localized sources of graphite to safeguard their investments in battery production.

Notable Quote: “That’s a bit created the sense of urgency… that needs time to build project.” [28:35]

Community Engagement and Land Restoration [44:55]

Ensuring the support of local communities is crucial for NMG’s projects. Desognier highlights NMG’s extensive community engagement efforts, including:

• Open Houses and Town Halls: Providing platforms for community members to express concerns and understand NMG’s operations.
• Land Restoration Plans: Outlining detailed restoration plans approved by the government, with financial commitments made in advance.
• Tourism Initiatives: Developing infrastructure like mountain bike trails to create positive local impacts and mitigate negative perceptions of mining activities.

Notable Quote: “We have a restoration plan that is approved by the government and we pay it in advance... 30km of mountain bike track.” [49:20]

Motivation and Future Outlook [53:17]

Desognier shares his personal motivations for leading NMG, emphasizing the company's critical role in the EV supply chain, commitment to community support, and the backing of major partners like Panasonic and General Motors. His dedication is driven by the broader vision of supporting a sustainable and electrified future.

Notable Quote: “For me it's easy today to wake up and always have the motivation to make sure we deliver this project and we deliver more projects like that because... many of those.” [53:17]

Conclusion

Eric Desognier’s insights reveal the intricate balance between meeting the soaring demand for EV batteries and maintaining sustainable, community-friendly mining practices. NMG emerges as a pivotal player in reducing North America’s dependence on China for graphite, underscoring the importance of carbon neutrality, technological innovation, and deep community engagement. The episode underscores that while challenges like recycling and geopolitical tensions persist, dedicated efforts in sustainable mining and supply chain integration can significantly mitigate the environmental impacts of critical battery materials.

Final Thought: This episode offers a comprehensive look into the often underappreciated world of graphite mining and its vital role in the clean energy transition. By highlighting NMG’s efforts towards sustainability and supply chain resilience, the podcast provides valuable insights for anyone interested in the future of electric vehicles and renewable energy.

Notable Quotes:

1. Graphite Discovery and Mission:

   • “We discovered a deposit and we are now building the mine, building the transformation of the concentrate that will go out of the mine to serve the lithium ion battery market.” [02:06]

2. Impact of Geopolitics:

   • “When China flex muscle and they say that they may not give graphite to North America, that's it should be very worrisome.” [26:57]

3. Sustainability Commitment:

   • “We are proud to say we're carbon neutral since inception and we intend to remain so in the future.” [28:55]

4. Community Engagement:

   • “We have a restoration plan that is approved by the government and we pay it in advance... 30km of mountain bike track.” [49:20]

5. Personal Motivation:

   • “For me it's easy today to wake up and always have the motivation to make sure we deliver this project and we deliver more projects like that because... many of those.” [53:17]

Join the Conversation: Listeners are encouraged to engage in discussions and debates in the comments section, contributing to the broader dialogue on mining, sustainability, and the future of electric vehicles.

Stay Connected: Don’t miss out on future episodes and live shows—check the description box for details on upcoming events in Sydney and beyond. Support the podcast by liking, commenting, and subscribing to help continue sharing crucial insights into the clean energy transition.

Credits:

• Host: Robert Llewellyn
• Guest: Eric Desognier, CEO of Nuvomond Graphite
• Editor: Katie

Thank You for Listening!