![](https://www.ai-online.com/wp-content/uploads/2023/04/Caterpillar-and-NMG-Strengthen-their-Zero-Exhaust-Emission-Collaboration-Through-Definitive-Agreemen.jpeg)
On the foundation of their 2021 collaboration agreement and of technical
work achieved together over the past two years, Nouveau Monde Graphite Inc.
(“NMG” or the “Company”) (NYSE: NMG, TSX.V: NOU) and Caterpillar Inc.
(“Caterpillar”) (NYSE: CAT) have signed definitive agreements to supply
NMG’s Matawinie Mine with an integrated solution that covers a zero-exhaust
emission fleet, supporting infrastructure, and service. Caterpillar is set
to be NMG’s supplier of heavy mining equipment, supporting the progressive
transition from traditional models to Cat® zero-exhaust emission machines as
they become available. Moreover, NMG and Caterpillar have signed a
non-binding memorandum of understanding (“MoU”) to advance commercial
discussions targeting NMG’s active anode material. Through this offtake MoU,
a full circular value chain could be established whereas NMG would supply
carbon-neutral graphite materials to Caterpillar for the development of its
secure, resilient, and sustainable battery supply chain that would serve to
electrify heavy vehicles, including NMG’s Matawinie fleet.
Arne H Frandsen, Chair of NMG, said: “Caterpillar is providing NMG with a
comprehensive solution for the Company’s Matawinie Mine, de-risking the
adoption of new technologies, and optimizing operational excellence through
integrated infrastructure. At every stage of development, management has
worked to expand the field of possibilities for sustainability in our
sector. And now, our new commercial relationship for NMG’s battery materials
further elevates the impact of our collaboration with Caterpillar and the
relevance of NMG’s business strategy. Today, we raise the bar again!”
Denise Johnson, Caterpillar Group President, commented: “I’m proud of the
collaboration and work the NMG and Caterpillar teams have accomplished
together in support of the Matawinie site. This project is an exciting one
as it highlights what is possible when an effective energy transition
roadmap is implemented that bridges the traditional product line to an
integrated, electrified site of the future.”
Eric Desaulniers, Founder, President, and CEO of NMG, reacted: “Not only
will we benefit from Caterpillar’s stellar expertise, renowned products, and
latest technological developments, but our team will also be at the
forefront of the electric revolution in the sector, sharing insight, testing
equipment for further optimization, and providing battery materials to
support electrification beyond our mine. This collaboration truly reflects
our vision for leadership and unified efforts to advance responsible mining
practices and global decarbonization. I salute the commitment of Denise and
Caterpillar’s team, without which our ambition would not have materialized
so efficiently.”
Roadmap Toward Zero-Exhaust Emission Mining at Matawinie
As part of the agreements, Caterpillar and NMG have mapped the development,
and testing of equipment and infrastructure at the Company’s Matawinie Mine
in Saint-Michel-des-Saints, Québec, Canada. Equipment in commercial
production will be leveraged at first to support operations during the
pre-production phase and early production years and are set to be
progressively replaced with Cat® zero-exhaust emission machines as they
become available.
With the objective of having realized a complete all-electric transition by
year 5 of Matawinie commercial operations, technical teams will work in
close collaboration to test Caterpillar’s Early Learner models and pilot
units and support technology development. NMG will make use of these
machines in actual mining operations and gather data from on-site
utilization in a variety of weather, terrain, and operational conditions.
Feedback from NMG’s mining operations should help further advance the
development of electrified machines and sites.
Depending on the commercialization of Cat® zero-exhaust emission machines,
Caterpillar will reserve production slots, which should enable the Company
to benefit from timely deliveries and technology enhancements throughout the
duration of the contract. The agreements encompass machines such as
hydraulic excavators, mining trucks, wheel loaders, dozers, and motor
graders, as well as charging and energy storage infrastructure and equipment
maintenance services.
NMG and Caterpillar’s Job Site Solutions have agreed on a novel solution to
reduce NMG’s initial capital intensity for the Matawinie Mine. The solution
provides access to equipment through an hourly fee based on usage and
includes asset management support to help improve uptime, predictability,
and efficiency. Caterpillar, together with Toromont Industries Ltd., an
authorized Cat dealer, will manage the maintenance and repair strategy for
the equipment to maximize machine availability. NMG will also have the
opportunity to lease or acquire machines if desired, through Toromont.
Electrification has made tremendous progress across heavy-industry sectors
in recent years, supported by active innovation and strong decarbonization
commitments (International Energy Agency, May 2022). Indeed, in 2022,
Caterpillar unveiled its first prototype of a battery-powered large mining
truck, demonstrating the most recent advancement in technology and the
extent of electric solutions by operating fully loaded to its rated
capacity. Through this next stage of their collaboration, Caterpillar
intends to help NMG advance the Company’s Net Zero objectives.
NMG’s Active Anode Material
The offtake MoU between NMG and Caterpillar targets NMG’s active anode
material to be produced at the Company’s Matawinie Mine and Bécancour
Battery Material Plant.
Rod Shurman, Caterpillar Senior Vice President with responsibility for the
Electrification and Advanced Power Solutions Division, noted, “A secure,
resilient, and sustainable supply of battery materials is critical to
actualizing the opportunities that electrification represents for our
customers. This collaboration with NMG is an example of how Caterpillar is
intentionally building out our value chain to support our customers’
sustainability objectives and further establish our role in the global
energy transition.”
Establishing a fully integrated and electrified production of natural
graphite, from ore to battery materials, NMG’s solutions have demonstrated
an industry-leading environmental footprint in a recent life cycle
assessment. NMG’s planned all-electric operations powered by renewable
energy combined with clean processing technologies are set to generate
advanced materials with an exceptionally low climate change impact, in line
with global decarbonization efforts.
About Caterpillar
With 2022 sales and revenues of $59.4 billion, Caterpillar Inc. is the
world’s leading manufacturer of construction and mining equipment,
off-highway diesel and natural gas engines, industrial gas turbines and
diesel-electric locomotives. For nearly 100 years, we’ve been helping
customers build a better, more sustainable world and are committed and
contributing to a reduced-carbon future. Our innovative products and
services, backed by our global dealer network, provide exceptional value
that helps customers succeed. Caterpillar does business on every continent,
principally operating through three primary segments – Construction
Industries, Resource Industries and Energy & Transportation – and providing
financing and related services through our Financial Products segment. Visit
us at caterpillar.com or join the conversation on our social media channels
at www.caterpillar.com/en/news/
About Toromont
Toromont Industries Ltd. operates through two business segments: The
Equipment Group and CIMCO. The Equipment Group includes one of the larger
Caterpillar dealerships by revenue and geographic territory – spanning the
Canadian provinces of Newfoundland & Labrador, Nova Scotia, New Brunswick,
Prince Edward Island, Québec, Ontario and Manitoba in addition to most of
the territory of Nunavut. In addition, the Group includes industry leading
rental operations, a complementary material handling business. CIMCO is a
market leader in the design, engineering, fabrication and installation of
industrial and recreational refrigeration systems. Both segments offer
comprehensive product support capabilities. This press release and more
information about Toromont Industries Ltd. can be found at www.toromont.com.
About Nouveau Monde Graphite
NMG is striving to become a key contributor to the sustainable energy
revolution. The Company is working towards developing a fully integrated
source of carbon-neutral battery anode material in Québec, Canada for the
growing lithium-ion and fuel cell markets. With enviable ESG standards, NMG
aspires to become a strategic supplier to the world’s leading battery and
automobile manufacturers, providing high-performing and reliable advanced
materials while promoting sustainability and supply chain traceability.
www.NMG.com
More Stories
New version of Microwave Switch Design Tool from Pickering Interfaces on show at European Microwave Week 2024
Fusion Processing Announces Readiness for Commercialisation of Automated Trucks and Buses
Rita Case Presented with Lifetime Achievement Award from National Association of Minority Automobile Dealers