Manitoba minerals sector on GM map Province ‘may well have a role to play’ in future EV supply chain: Canada branch president By: Gabrielle Piché Posted: 6:13 PM CDT Wednesday, Oct. 2, 2024

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General Motors Canada is eyeing Manitoba’s mineral reserves as it ramps up electric vehicle production.

Kristian Aquilina, president of the global brand’s Canadian branch, is scheduled to visit a nickel mine in Thompson on Thursday. Meetings with Premier Wab Kinew and business leaders fill his three-day trip, which ends Friday.

“Much has been said around the very rich resources that are here in Manitoba,” Aquilina told the Free Press on Wednesday. “I’m seeking to understand and learn.”

Over the past four years, General Motors has tabbed roughly $2.6 billion for Canadian manufacturing plants. More than $1.1 billion is earmarked for EV and electric drive motor production.

General Motors is building an electric vehicle supply chain across North America, Aquilina explained. Engineers in Ontario create new products; a Quebec battery component plant should come online within the next 18 months.

Manitoba doesn’t yet contribute, but it “may well have a role to play” in the future.

“We’re interested to learn how that might be,” Aquilina said. “We’re certainly interested in letting Manitobans know what our needs and requirements are.”

Producing batteries for electric vehicles involves metals such as nickel, lithium and cobalt — all of which Manitoba have within its borders.

Aquilina also expressed interest in the keystone province’s hydroelectric power.

“There’s this (EV) industry that is forming and developing on the continent,” he said. “It’s going to come down, now, to where Manitoba will want to take the opportunity.”

Historically, General Motors hasn’t worried much about where its raw materials come from, Aquilina continued. Now, it’s “heavily invested” in making a local supply chain.

There are several reasons: geopolitical uncertainty, security of supplies, an ability to better control costs, more local jobs.

Governments across the continent are willing to promote their resources and be part of the energy transition, which brings “a lot of opportunity,” Aquilina said.

He said Kinew invited him to Manitoba after the New Democrats’ announcement of a $25-million electric vehicle rebate program in July.

“Much has been said around the very rich resources that are here in Manitoba. I’m seeking to understand and learn.”–Kristian Aquilina

General Motors had sent its congratulations upon hearing the announcement.

On Wednesday, Kinew publicly welcomed Aquilina.

“Manitoba is ready to partner with companies like General Motors to fuel our low-carbon economy,” he said in a news release. “We are in a unique position to become a leader in the world’s low-carbon economy.”

General Motors is already partnered elsewhere with Vale, a mining company that runs the Thompson operation Aquilina will visit Thursday.

It’s hard to quantify the minerals needed as General Motors increases its EV production, Aquilina said. It depends on consumer demand.

Last year, EVs accounted for eight per cent of GM’s sales, according to Aquilina. This year, the company is projecting a near-doubling, to 14 or 15 per cent.

In the United States, General Motors hit a record-high for EV sales: it clocked 21,930 deliveries in its second quarter, a 40 per cent year-over-year increase.

A slew of such vehicles — including Cadillac models and Chevrolet pickup trucks — are on the market.

General Motors takes a “bullish” view about the growth of its electric vehicle market, Aquilina said. The next two years will see the further build-out of its North American supply chain, if all goes as planned.

Manitoba has its hurdles, Aquilina noted during a Winnipeg Chamber of Commerce event Wednesday.

One challenge is economically extracting and processing resources. Some mineral deposits are in remote locations, making it difficult to transfer to customers, Aquilina noted. It’s a “very competitive” global market, he added.

He’s heard of Team Manitoba, the label local politicians use when expressing their support and promotion of the province’s economy.

“Team Manitoba is important, but it might be a team of provinces who are combining forces that might be more effective,” Aquilina suggested, adding it could help share the load of large, upfront investments.

The province touts it has 30 of 34 critical minerals highlighted on Canada’s 2024 list. The Mining Association of Manitoba launched an advertising campaign last year, with provincial funding, showcasing various minerals.

Manufacturers have handled the issue of EV driving range, Aquilina told a crowd, adding cars are tested for the cold in North America.

He spoke in front of more than 120 people at the Winnipeg chamber’s first “At the Table” event, a series where leaders deliver talks and answer questions in a theatre setting.

Chamber president Loren Remillard credited General Motors as being on the “cutting edge of productivity.”

gabrielle.piche@winnipegfreepress.com