Managem (MNG.CS), a Moroccan mining company, asserted that a comprehensive examination of its water resources revealed no anomalies. This statement follows a report from a German newspaper alleging the presence of toxic arsenic in water samples extracted from mines within the country.
The Bou Azzer mine, operated by Managem, serves as a crucial source of cobalt for German automaker BMW (BMWG.DE), a key component extensively utilized in the production of electric vehicle batteries. Additionally, Managem has strategic plans to extend its supply services to Renault by the year 2025.
In response to revelations by Sueddeutsche Zeitung, in collaboration with broadcasters NDR and WDR, regarding purported serious breaches of environmental and labor protection standards, as well as elevated arsenic levels in water samples at mines in Morocco, BMW informed Reuters on Sunday that it is actively seeking clarification on the operational status of the relevant mine.
Furthermore, the report indicated that Managem was allegedly failing to adhere to international standards concerning the safeguarding of workers and refraining from addressing concerns raised by critical trade unions.
A significant portion, one-fifth, of BMW’s cobalt supply is derived from Morocco. A spokesperson for the automaker disclosed that, amid ongoing substantial discussions with Managem, BMW has initiated two independent audits focused on the Bou Azzer mine. The purpose of these audits is to scrutinize the social and environmental standards in place at the site.