Ford said it has now sourced about 70% of the battery cell capacity it needs to achieve its annual production rate of more than 2 million by late 2026.

The targeted multi-year nickel supply agreement could start as early as 2025 and may involve additional commodities over time, BHP said.

The partnership will support the transition toward a net-zero future by supplying Ford with materials including lithium, low-carbon aluminum and copper.

ioneer will supply 7,000 tonnes of lithium carbonate annually for five years to BlueOvalSK, Ford's battery joint venture with SK Innovation.

Nickel prices on the LME started their ascent in January as stocks in LME-approved warehouses started to slide due to soaring demand.

Ford said it also has agreed with CATL to explore using the Chinese company's batteries in Ford vehicles sold in the United States, Europe and China.

Canada Nickel is currently advancing its Crawford project in Ontario, which is said to contain the fifth-largest nickel sulphide resource globally.