So we will be measuring this and monitoring it closely and we will be carefully pushing forward both projects, and as again, we’re optimistic that the responses will be material, and that they are happening in the near term. And then we’ll come back to the market, as mentioned with the consequences of those actions, when we see them more clearly. So far the signals are reasonably optimistic, but let’s see what happens when the European Union decides and how Norway sort of response to that. Good news is as mentioned also exemplified by announcing the National Norwegian Battery Strategy, when we announced Giga Arctic last year in June, you can imagine that we have reasonably strong access to the relevant decision makers when it comes to understanding how these incentives will be implemented.
So that’s on that piece. When it comes to the OEM interest and, just to be clear, we are aspiring to be an industrialization partner of choice. The 24M technology is relevant for ESS and e-mobility applications today. It could be relevant for EV applications in the not-so-distant future. But in parallel, we have, as mentioned, interest from large battery manufacturers from Asia who want to come to Europe and partner with us and/or partner with large OEMs to develop LFP-based supply. You’re absolutely spot on in indicating that the large OEMs are increasingly looking to LFP supply to drive down cost. Now that battery packs are becoming better, larger and the sort of system level design of these are improving, cost is coming back into the picture and high-nickel content batteries will, to a large extent, be replicate — or replaced by LFP-based solutions.
One conversation we’re having indicates that half of a very large OEM’s needs will now be pivoted to LFP and being an LFP-focused company is providing us with additional opportunities. The final thing I’ll say on this is we have announced our ambition to, over time, localize cathode active material production of LFP in Europe and more specifically in the Nordics. And we have announced our — or it has been announced the partnership that we have with Finnish Minerals Group. So we are looking into localizing large-scale LFP capacity there. And this is also something that we’re not doing in vacuum. We’re doing that together with potentially the large partners, the large OEMs and the others that need localized decarbonized LFP supply into an increasing, let’s call it, need for that.
Today, most of it, if not all of the LFP batteries, are sourced from Asia, and we will be one of the larger producers of LFP batteries as well as potentially material for the same. So this is a very strong situation and setting for us to be in. Exactly how it’s going to turn out is not clear yet. And when it is, we will come back to the market.
Philipp Koenig: Thank you. Maybe if I just ask one quick question on the CQP, it seems like Nidec sort of have — first call on the first sales that come off the line, is that sort of fair to assume because you already have a firm agreement with them to sort of verify and validate the quality of the cells?
Tom Einar Jensen: That is absolutely fair to assume.
Philipp Koenig: Okay. Thank you.
Tom Einar Jensen: Thanks Phillip.
Operator: Thank you. And the next question goes to Nili Eslah of Clarksons Securities. Nili, please go ahead, your line is open.
Nili Eslah: Hi, everyone. How — certainly, I would like to continue on CQP, just any comments on, about financing. And as it says that the ramp-up — the Southern ramp-up of production at CQP will get capitalize different large major milestones, but what part of the financing is just dependent on other will start or ramp up or could you provide guidance on that?
