If there is something they have in common Jeff Bezos (Amazon), Bill Gates (Microsoft) and Elon Musk (Testa, and now also Twitter) they have money, a lot of money. In addition to being connected by technology, now also maintain a common business: cobalt. KoBold Metals, a company of mineral exploration which has the participation of all of them, has announced that it will drill in Greenland to look for materials that are used in electric vehicles, such as cobalt and nickel.
These elements, known as the minerals of the futureThey are the new object of desire. The company relies on artificial intelligence and machine learning to find them. Last year, KoBold took over the 51% stake in the Disko-Nuusuaq project, on the western coast of Greenland. To do this, they will use drones to carry out a high-resolution magnetic study of the area.
The objective is drill nearly 3,000 meters this year, at depths between 150 and 400 meters, where these metals are found. Specifically, cobalt has become in recent years a vital component for the transition to a greener and more ecological world.
a high value
That is why, as a consequence, its value has skyrocketed: from $29,000 per metric ton in July 2020 to $82,000 today. Not surprisingly, it is present in many of today’s technological products: from a large part of lithium-ion batteries, to iPhone or Tesla. And the forecast, by the end of this decade, is that the market for electric vehicles and consumer electronics will triple.
The problem now is that there is no infinite availability. And it is something that comes into direct conflict between the great powers, especially between China and the United States for the economy. “The objective is to look for massive metals from the group of nickel, copper, cobalt and platinum“, the executive director of Bluejay Mining (the operator of the project), Bo Steensgaard, explains to Reuters.
Nickel rises its price due to the war
Another of the sought-after minerals, nickel, which is used in the stainless steel and electric car batterieshas raised its price. In fact, have doubled after the start of the war between Ukraine and Russia, a country that supplies about 10% of the world’s needs for this material. “Recent and unfortunate geopolitical events clearly demonstrate that the Western world needs new deposits of these critical metalsSteensgaard says.
KoBold has significant economic support behind it, thanks to the contribution of Andreessen Horowitz, one of the leading venture capital funds in Silicon Valley. This allowed it, in 2019, to have funds available for four years, in which to carry out explorations in various places, among which is Greenland.
Forecasts for increased demand could grow this funding, in turn attracting new projects. “To achieve that lofty goal we must accelerate our efforts to find the key materials for the electric vehicle revolution“explains the director of the company.
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The material in which Bezos, Elon Musk and Bill Gates invest