Category
🗞
NewsTranscript
00:00Investors have their eyes fixed on Africa's lithium deposit, and Hydro is not left out
00:04of the action as the critical mineral remains a key ingredient in the global race towards
00:09electric vehicles and renewable energy solutions.
00:12Can the country leverage the right policies and strategic partnerships to future-proof
00:16this resource for sustainable development?
00:18Well, Mr Fahadu, the Chief Executive Officer of Electric Motor Vehicle Company, joins me
00:23now for more on this.
00:24Thanks a lot for joining us on the show today.
00:26And that's the big question really, Mr Fahadu, at this moment.
00:28Now we're looking at whether or not we can future-proof this critical mineral that we
00:32have deposited here in the continent.
00:35But for you now, how would you assess our positioning at this moment on the back of
00:39the individual national agenda, and then how we're speaking as a collective to ensure that
00:45whatever investment we are eyeing from the global space and then narrowing down into
00:50the different countries here, we are taking the right steps.
00:54We are strategic, we are tactful, and we are ensuring that sustainable development
00:59comes out of all of these at the end of the day.
01:02Thank you very much for having me here, and good afternoon to the world and to Africa.
01:08Basically, I think Nigeria has proven deposits of lithium, especially in Kogui State, Nasarawa
01:15State, Niger, and other states around the Middle Belt, and we're at an infancy stage
01:22in terms of the development of the lithium sector.
01:25We have over 20 million tons of proven reserves, so it's very important.
01:30And Nigeria has one of the largest deposits.
01:33Critical minerals are very essential towards the development of new technology, gadgets,
01:39all our smartphones, everything, and future technologies are dependent.
01:44Electric vehicles, where we play a critical role, being the largest e-mobility players
01:48in Nigeria, is also critical with our need for lithium-ion batteries, lithium-phosphate
01:53batteries.
01:54So lithium is a critical element that is needed for the development, and Nigeria, because
01:59of how well-positioned we are in terms of the African market, in terms of how our ability
02:06to, I guess, leapfrog technology, I think that with the proper investment in this sector,
02:12Nigeria can make a huge impact in not just Africa, but in the world.
02:16If you look at, for example, what we're talking about, electric vehicles, today new technology
02:23requires a lot of lithium deposits, and because Nigeria is not, at this stage, fully developing
02:28it, we cannot key into our full potential.
02:31There's a factory that has been started by the Kaduna State Government that is the only
02:36factory actually doing some level of processing.
02:38We had a commission last day in Nassara State as well now, and this also brings the conversation
02:42into how is Nigeria also pacing itself, to ensure that we have all of the deliverables
02:48coming at the right time, because at the end of the day, when we also look at the quest
02:51or the race for this lithium rush here in Africa, it also has inherent risks.
02:57We've had conversations as to how Nigeria also countered Tesla in terms of their proposal
03:01earlier on in 2022, but going forward now, how do we counter the risks and look at the
03:06prospects ahead?
03:07Just to clarify that the investment in Nassara State is actually mining, it's carried out
03:12by Avatar.
03:13Avatar, one of the largest investors in lithium, but again, it's more lithium mining rather
03:19than processing.
03:20Processing, yeah.
03:21Everything has to do with actually adding value, so we must be able to add value locally.
03:26That would create jobs, help in establishing safe mining practices, these sustainability,
03:33these are very critical for us to meet our 2016 net zero target.
03:37It's very important.
03:38Nigeria needs to take that step forward, knowing that we hold a vast majority of the deposits
03:45in Africa.
03:46It's very critical we play that role.
03:49That is very important in the chain of what we're doing.
03:53If we're able to pass the right policies that encourage local investment by giving tax incentives,
03:59giving a lot of incentives to the local players, bringing in foreign investors and merging
04:04them, creating a marriage between local players and foreign players, I think it would be very
04:08essential.
04:09That would be a bigger muscle.
04:10Now, let's talk about private investment.
04:11You're a player there, EMVC.
04:12Now, what's the near-term plan and how are you also looking to take opportunities here?
04:17Because at the end of the day, we have to also look at how we're also leveraging technology
04:20around battery technology, how are we improving, upskilling at this moment.
04:25So what's EMVC doing right now?
04:27What's on the table and near-term expansion plans?
04:30Thank you very much for that.
04:31I think that's an essential question.
04:33We are doing it two-folds.
04:35One is embedding a lot of technology in our vehicles, so like battery management.
04:41In your fleets, yeah.
04:42Yes, in our fleet of vehicles, battery management system.
04:45So if you're here, for example, you can open our app, see the performance of your vehicle,
04:49see how your batteries are performing, different things in that category.
04:53We're doing that part.
04:54And then where we're thinking of going into next is recycling of the actual lithium batteries
05:00that are available in-country, because it's one thing to produce these products out of
05:07the raw materials.
05:08It's another thing to make sure that it's sustainably disposed of or reused.
05:12This is where having a recycling plant comes into play.
05:16This is the angle we want to take it from.
05:18The cost of investment is slightly lower than if you were to invest wholly in the entire
05:23value chain.
05:24So I must add that there are only two, three companies in the world, and mainly based in
05:30China, CATL, BYD, developing lithium-ion phosphate batteries from the raw materials.
05:38Most people just focus on one part of the value chain.
05:41So it's very important that Nigeria identifies the part of the value chain that we want to
05:45play in first.
05:47From there, then we can begin to develop the entire value chain.
05:51And then because a lot goes in from the raw materials all the way to the actual finished
05:56battery that goes into your electric vehicle or your renewable home system.
06:00So it's very critical.
06:01Well, I'd love to have touch on your charging point as well now and how you're also pricing
06:05this energy.
06:06But in a wrap, 30 seconds, how are you doing that right now?
06:09To be honest, we're working with, okay, there are a number of state governments, for example,
06:13that are procuring the vehicles from us.
06:15So as EMVC, we're going about deploying the charging stations.
06:21And the good thing about it, I think this is what a lot of people are unaware of, that
06:26as long as you have the sun, as long as you're in a location where the sun is, you actually
06:32have, yes, you actually have the ability to actually charge and recharge your vehicle
06:37because it's a battery system.
06:39So if you have a phone in Nigeria and it's working, you can have an electric vehicle
06:44that is working.
06:45And this transition will help develop the industry, not just for EVs, but other critical
06:50minerals that are essential in all new technologies today.
06:53Well, we'll have to leave the conversation here for now, Mustafa.
06:55Thanks a lot for your time on the show today.
06:57That was Mustafa Aldo, the Chief Executive Officer of Electric Motor Vehicle Company.