WSJ: Saudi Arabia and America in talks to secure metals for e-‎car industry

Informed sources revealed that the United States of America and Saudi Arabia are in talks to secure the necessary minerals in Africa to help them in the energy transition.

The sources, who declined to be identified in their interview with the Wall Street Journal, pointed out that a Saudi state-backed project will buy stakes in African mining assets worth $15 billion in countries such as the Democratic Republic of the Congo, Guinea and Namibia, which will allow American companies to obtain rights to purchase some of the assets.

The United States is racing to catch up with China in supplies of cobalt, lithium and other metals used in batteries for electric cars, laptops and smartphones.

In a similar arrangement last July, the Saudi Arabian Mining Company (Maaden) and the Saudi Public Investment Fund acquired 10% of Vale’s basic minerals unit, while the US investment firm, Engine No. 1 on 3%.

The newspaper said the Public Investment Fund approached Congo in June about investing in cobalt, copper and tantalum in the country through a $3 billion joint venture with a metals company called Beacon Metals.

Manara also focuses on iron ore, nickel and lithium

The newspaper added that the White House is seeking financial support from other sovereign wealth funds in the region, but talks with Saudi Arabia have made greater progress.