Sustainable Finance

Toronto Exchange Rolls Out Battery Metals Index

Published on: 7 June 2022 10:03 AM
by KnowESG

The Toronto Stock Exchange launched a battery metals index today to support the minerals sector while also providing insight into the energy transformation.

The S&P/TSX Battery Metals Index will track publicly traded firms in Canada that are involved in the production and exploration of metals such as copper, nickel, cobalt, and lithium, which are used in the manufacturing of batteries that power electric cars.

Loui Anastasopoulos, chief executive of the Toronto Stock Exchange, said:

"Global demand for battery metals continues to gain momentum, and the goal of this new benchmark is to provide investors with increased exposure to and deeper insights into the cleantech and energy transition story."

The new benchmark’s top five constituent firms are Turquoise Hill Resources (TSX: TRQ), Teck Resources (TSX: TECK.B), Sierra Metals (TSX: SMT), and First Quantum Minerals (TSX: FM) and Lundin Mining (TSX: LUN).

Other heavyweights to be tracked are Ero Copper (TSX: ERO), Hudbay Minerals (TSX: HBM), China Gold International (TSX: CGG), and Copper Mountain Mining (TSX: CMMC) and Taseko Mines (TSX: TKO).

In its most recent national budget, the Canadian government set aside C $3.8 billion (about $3 billion) for essential minerals, which are seen as critical building blocks for the country's aim of reaching net-zero by 2050.

Natural Resources Canada (NRCan) is awarding nearly C$11 million ($8.6 million) to companies that win a request for proposals to establish local pilot processing units of critical minerals as part of this strategy.

Source: Mining dot Com

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