Eurobattery Resources has bought a 100pc stake in the Vulcan Hautalampi (VHOy) nickel-cobalt-copper project in Finland.
Under the agreement, Eurobattery will provide cash financing to invest in the mining project and acquire all the shares in VHOy for €8.6mn ($9.4mn), to be paid over the next two years.
In a press release, Eurobattery said this was a strategic acquisition since the VHOy project is adjacent to an exploited copper deposit belonging to Outukumpu in a tier 1 Finnish mining location. Moreover, the project is estimated to have around 3.2mn mt of ore consisting of 0.43pc nickel, 0.35pc copper, and 0.12pc cobalt.
The company plans to produce high-value concentrates of these metals at the project, especially for the batteries industry. The mine is also likely to yield gold and silver as by-products, which could complement Eurobattery’s strategy to produce high value metals for the electric vehicle batteries industry in Europe.