Common Motors Co. is competing for a stake in Brazilian mining big Vale SA’s base metals unit, folks conversant in the matter mentioned, underscoring automakers’ want for simple entry to the supplies wanted for electrical automobile batteries.

GM has superior to the following spherical of bidding for a minority stake within the enterprise, the folks mentioned, asking to not be recognized discussing confidential info. Vale may elevate greater than $2 billion from a deal, in response to the folks.

Bloomberg Information reported in November that Saudi Arabia’s Public Funding Fund and Japanese buying and selling home Mitsui & Co. have been additionally weighing making provides for a slice of the nickel and copper operations. Deliberations are ongoing and Vale has made no remaining selections a few sale, the folks mentioned.

Representatives for Common Motors and Vale declined to remark.

Vale is separating the bottom metallic belongings from its iron ore operations and desires to unveil a strategic associate for the brand new entity within the first half of 2023, administration mentioned final yr. The Rio de Janeiro-based firm is making the transfer as a shift away from fossil fuels spurs demand for supplies key to manufacturing EV batteries.

Automakers have been stepping up efforts to lock in nickel and copper provides, together with by way of direct offers with producers of those metals. Vale already provides nickel for Tesla Inc. batteries. GM reached its personal settlement with Vale final yr to purchase provides of the metallic.

In January, Common Motors and Lithium Americas Corp. agreed a $650 million pact to develop the most important US lithium deposit, on the Thacker Move mine in Nevada. The deal provides GM unique entry to the primary section of manufacturing, which is predicted to start in 2026 and forecast to provide as many as 1 million EVs per yr.