In what is being described as a world first, Nouveau Monde (TSXV: NOU; NYSE: NMG) has signed a collaboration agreement with Caterpillar, which will develop, test and produce Cat zero-emissions machines with a view to becoming the exclusive supplier of an all-electric mining fleet for deployment at Nouveau Monde’s Matawinie mine by 2028. The project is currently in the construction stage 130 km north of Montreal, Que.
The collaboration between the companies focuses on Nouveau Monde’s goal to fully power the site with zero carbon footprint renewable energy. The project has access to clean hydroelectric power.
The electrification of the mine complements Nouveau Monde’s commitment to provide its clients with high quality, green and carbon neutral anode material.
Caterpillar will work closely with the Nouveau Monde team, using the team’s input to supply tailored solutions. The electric fleet and infrastructure will be tested at Matawinie prior to commercial production.
Nouveau Monde is the 100% owner of the high purity Matawinie deposit. The 2018 feasibility study covers the West zone and has a post-tax net present value of $751 million and a post-tax internal rate of return of 32.2%. The initial capital expenditure will be $276 million for an open pit mine with a life of 25.5 years.
The resource estimate was updated in 2020 to include 120.3 million measured and indicated tonnes with an average grade of 4.3% graphitic carbon. The inferred portion is 4.5 million tonnes at 4.4% graphitic carbon.