Anthony Milewski: Getting Ahead of the Crowd in the Green Transition
Tom welcomes Anthony Milewski, Chairman of Nickel 28 and founder of Carbon Advisors.
Anthony discusses the huge growth in the carbon credit markets and how credits have risen in price massively. He explains the differences between the regulated and voluntary markets. Carbon credit markets are designed to encourage companies to improve their methods and techniques.
Carbon credits can act as offsets that are traded and eventually extinguished. Credits are created through reforestation, wildlife sanctuaries, and methods of sequestration. These plans are submitted, approved, and then re-evaluated on an annual basis.
Long-term there will be pressures put on companies that will encourage additional participants. He believes these markets will be very tight in the coming years. Some of these credits have been tokenized and used with blockchain technology. This seems to be bringing even more demand to the market.
Future mining operations will take into account the sequestration of carbon and will try to create less. Every person and company has a carbon footprint and we want to reduce the amount of resources that we all use.
Lastly, Anthony discusses the coming demand picture for nickel and cobalt. The lack of new mines remains a concern even though prices are reasonable. There seems to be a general lack of interest in mines probably due to the timeframe required and the risks. Where the nickel will come from is concerning and as a result, we’re setting the stage for a mega resource bull market. Mining is just not that interesting in a world of fairly easy liquid returns.
Time Stamp References:
0:00 – Introduction
0:35 – Carbon Credit Growth
5:20 – Behaviour Incentives
7:10 – Emitters & Credits
12:30 – Carbon Capture
14:00 – Token Carbon Credits
17:40 – NFT Madness?
21:50 – China Interest
23:30 – Offsets & Production
28:00 – Future Nickel Demand
32:00 – Cobalt & Batteries
36:40 – Indonesia Exports
37:30 – Direct Investment?
39:30 – Substitution
40:30 – Risks Globally
41:40 – Wrap Up
Talking Points From This Episode
- Carbon Credit growth explosion in the last 12 months.
- Incentivising behavior and how carbon credit markets function.
- Interest from China and demand for metals in electric vehicles & batteries.
- The lack of mines and the lackluster interest by investors.
Anthony Milewski is an entrepreneur and financier. He has spent his career in various aspects of the mining industry, including as a company director, advisor, founder, and investor. In particular, he has been active in commodities that further the decarbonization of society. Mr. Milewski has managed and financed numerous mining investments at various stages of development, including exploration, development, production, and turnaround situations, and across a broad range of commodities. He also serves as a director of both public and private companies.
Mr. Milewski currently serves as the Chairman of Conic Metals. Previously he served as the Chairman and CEO of Cobalt 27, a Managing Director of the investment team at Pala Investments, and before that at Firebird Management LLC. He has lived and worked in Africa and Russia, including a year as a Fulbright scholar, and has spent considerable time in Central Asia.
Anthony holds a B.A. in Russian history from Brigham Young University, an M.A. in Russian and Central Asian Studies from the University of Washington, and a J.D. from the University of Washington. He holds an LLM from the Russian Academy of Sciences.