Atlas raises $27M for North American nickel plant
Illustration: Megan Robinson/Axios
London-based Atlas Materials raised a $27 million Series A to design a low-emissions nickel plant for North America.
Why it matters: The plant is yet another example of the Inflation Reduction Act drawing foreign manufacturing investment to North America, as automakers and battery manufacturers race to buy raw materials that comply with the climate law's domestic sourcing requirements.
What's happening: Atlas plans to build a pilot plant in the U.S. or Canada by 2027.
- It'll produce 1,800 tons of nickel annually, likely sourced from New Caledonia, a French territory off Australia.
Of note: The company will need further funding to build the plant, CEO Jeremy Ley told Reuters.
How it works: Atlas says it's developed a method to process nickel ore with few emissions and no waste.
- It says the approach also produces 50% more ore for battery-grade nickel than conventional methods.
State of play: Nickel production is concentrated in Indonesia and the Philippines, where it's driving deforestation and disruption of Indigenous communities.
Meanwhile, metals processing generates as much as 10% of global greenhouse gas emissions.
- The Nickel Institute has said that nickel production accounts for a fraction of that total, though it also generates harmful local air and water pollution.
Details: Grantham Environmental Trust and Voyager Ventures participated in the round.
- The Series A brings Atlas's total funding to $33 million, per Reuters.
