A new blockchain cobalt traceability solution Re|Source is being piloted by three massive metals and mining firms Glencore, China Molybdenum Co (CMOC) and Eurasian Resources Group (ERG).
Cobalt is an element used in most electric car batteries, with a large proportion sourced from the Democratic Republic of the Congo (DRC), which provides 68% of the world’s mineral. Between 15% and 30% of the DRC’s cobalt comes from small artisan mines which have suffered fatal accidents, violence and in some cases, child labor is used. The World Economic Forum’s Global Battery Alliance (GBA) estimates that the demand for cobalt will grow fourfold by 2030. All three miners are members of the GBA.
The three mining firms founded the Re|Source group in 2019. They are joined by Umicore that produces cathode materials used in electric vehicle (EV) batteries, as well as an un-named car company (described as an EV pioneer) and a battery company. Testing is happening on the ground in cobalt production factories in the DRC through to EV production sites. A final solution is expected to go live in 2022 following this year’s pilot, which will end in December.
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