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· Posted on
September 27, 2022

EV maker NIO snaps up a major stake in Aussie lithium miner Greenwing Resources cos' lithium is the new gold

Chinese EV maker NIO wants to produce more cars... so it invested in a small Australian lithium miner.

What's the key learning?

  • NIO is a Chinese electric vehicle company that launched back in 2014 and has listed on the New York Stock Exchange worth $1.8 USD.
  • Rather than just partnering with lithium miners, NIO is investing $12 million into a small Australian lithium miner called Greenwing Resources.

👉 Background: NIO is a Chinese electric vehicle company that launched back in 2014. It has created electric SUVs, sedans, coupes and even has an electric minivan on the way.

👉 What happened: In 2018, NIO listed on the New York Stock Exchange worth $1.8 billion USD. Like many EV makers, NIO is desperately trying to source lithium… because it needs to produce a hell of a lot of cars.

👉 What else: Now, NIO has invested $12 million into a small Australian lithium miner called Greenwing Resources...and lil old Greenwing saw its share jump over 70%.

What's the key learning?

💡Desperate lithium times call for desperate lithium measures. Rather than just partnering with lithium miners, EV makers are now jumping into bed with miners through significant investments.

💡It helps the lithium miners accelerate their lithium developments with bags of cash but it also means EV car makers could secure long term supply deals with hard-to-get resources.

💡That’s why Ford recently provided a $300 million loan to Aussie lithium producer Liontown Resources. And also, Volkswagen invested in a nickel producer in Indonesia.

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