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Welcome to the March 2024 edition of the lithium miner news.
The past month saw a strong recovery in lithium prices suggesting the lithium price bear market may be over. For example, China spot lithium carbonate prices have increased by 19.9% in the past month, bouncing higher from the mid-February low.
Lithium price news
Asian Metal reported during the past 30 days, the China delivered lithium carbonate (99.5% min.) spot price was up 6.92% and the China lithium hydroxide (56.5% min.) price was up 14.13%. The Lithium Iron Phosphate (3.9% min) price was up 4.93%. The Spodumene (6% min) price was up 12.18% over the past 30 days.
Metal.com reported lithium spodumene concentrate Index (Li2O 5.5%-6.2%, excluding tax/insurance/freight) spot price of USD 1,083, as of March 22, 2024.
China lithium carbonate spot price 5 year chart – CNY 114,500 (~USD 15,839) (source)
Trading Economics
Lithium demand versus supply outlook
China’s CITIC Futures forecasts lithium surpluses in 2024 and 2025 (source) – In 2024 they forecast a China lithium carbonate price average of CNY 100,000/t (~US$14,000/t)
Mining.com courtesy CITIC Futures
Benchmark Mineral Intelligence forecasts lithium surpluses to end 2028, then deficits to increase significantly from 2029 (as of May 2023)(source)
Reuters courtesy BMI
Benchmark Mineral Intelligence forecasts small lithium surpluses then deficits for lithium, nickel & cobalt to increase from 2027 onwards (source)
BMI
Trend Investing v IEA demand forecast for EV metals (IEA)
Trend Investing & the IEA
Lithium market and battery news
On February 21, Dialogo Americas reported:
Russia and China take the lead in rush for Bolivia’s lithium…The Bolivian government has already signed agreements with the Chinese consortium CATL BRUNP & CMOC (CBC), and the company Citic Guoan Group. In mid-December 2023, Bolivia also signed a $450 million deal with Russian state firm Uranium One Group, a subsidiary of Rosatom, giving Russia access to its reserves.
On February 26, NASDAQ (courtesy INN) reported:
Elliott Management’s Hyperion to seek billion-dollar mining assets as metals demand grows. Bargain-hunting billionaire investment firms are chasing undervalued mining stocks…However, with commodities demand forecast to surge as the green transition takes hold, there’s plenty of optimism that tides are set to change, and big-name contrarians are beginning to position ahead of time…Elliott Investment Management (US$65 billion assets under management) is set to launch Hyperion, a new investment company, with a US$1 billion war chest and a mandate to acquire global mining assets on the cheap…Base metals, precious metals and commodities strategic for electric vehicle batteries and renewable energy infrastructure are reportedly on its shopping list — think lithium, nickel, cobalt and copper.
On February 26, Car News China reported:
Li Mega’s CATL Qilin 102 kWh battery charges 10-80% in 10 minutes 36 secs…Li Mega can officially add 500 km in 12 minutes thanks to its fast-charging 5C Qilin battery from CATL. During the road test, Li Auto beat that and showed a 10-80% charging time of 10 minutes and 36 seconds with a peak power of 521.2 kW.
On February 28, Energy Storage News reported: “Spain and Netherlands launch subsidies for battery and PV manufacturing.”
On February 28, CNEVPOST reported:
Svolt Energy’s battery plant in Thailand begins mass production. Svolt Energy expects its Thailand plant to supply more than 20,000 battery packs to local customers this year…The battery maker currently has 11 production sites in China and one overseas production site in Heusweiler, Saarland, Germany, according to its website.
On March 1, the AFR reported:
Global lithium producer signals price rout has ended. The boss of the world’s second-largest lithium producer, Chile’s SQM, says the price of the battery metal will likely lift in the second half of the year, underscoring investor bets that the lithium price rout has ended.
On March 9, Reuters reported:
China’s lithium market set for long-term uptrend, says Ganfeng Lithium. China’s lithium industry would benefit from a stabilization of prices of the battery metal, which is set for a long-term uptrend, said the chairman of Ganfeng Lithium, a major Chinese supplier of the battery metal. Lithium demand from producers of power batteries, energy storage and others will keep growing amid “an irreversible trend” of global energy transition…China and Chinese companies have taken many measures to stabilize prices, Li said, including the launch of a lithium carbonate futures trading platform and companies making purchases via long-term contract to ensure steady supply and prices.
On March 11, Teslarati reported:
Tesla Lithium Refinery construction making progress…While production was initially expected to begin in the first quarter of this year, ramping throughout the latter half of the year, it appears that the site still has some work to do before the plant becomes operational…The refinery is eventually expected to produce 50 GWh of battery-grade lithium per year.
On March 15, Bloomberg reported:
Why the EV industry can count on relatively cheaper lithium. Prices are expected to rise this year, but likely will remain well below their 2022 peak.
On March 15, Mining Technology reported:
Supreme Court suspends key Arcadium Lithium projects in Argentina… The decision comes after an injunction filed by an indigenous community, demanding a suspension of permits for the Fenix expansion and the development of Sal de Vida. These projects, both located in the Antofagasta de la Sierra department, are now on hold until a comprehensive environmental impact study is completed. The provincial mining ministry and the water resources department are tasked with conducting the impact study. This study will assess the potential effects on the landscape, climate, flora and fauna.
On March 16, Bloomberg reported:
Lithium permit freeze limited to new projects, Argentina Province says. Arcadium can keep developing existing projects, official says. Case nonetheless underscores heightened ESG scrutiny on mining. The Argentine province of Catamarca said a court ruling to halt the issuance of lithium permits only affects new projects, leaving companies such as Arcadium Lithium Plc and Posco Holdings Inc. free to continue producing the metal and developing existing projects…While four projects awaiting licenses will be affected by the permitting freeze, existing operations and projects already under development can continue as normal, the official said.
Lithium miner news
Albemarle (ALB)
On March 4, Albemarle announced:
Albemarle announces proposed public offering of depositary shares…of $1.75 billion of depositary shares (“Depositary Shares”), each representing a 1/20th interest in a share of Series A Mandatory Convertible Preferred Stock of the Company (“Preferred Stock”), in an underwritten registered public offering. In addition, Albemarle expects to grant the underwriters in the Offering a 30-day option to purchase up to an additional $262.5 million of Depositary Shares.
On March 6, Albemarle announced:
Albemarle announces upsize and pricing of public offering of depositary shares. Albemarle Corporation (NYSE: ALB) (“Albemarle” or the “Company”), a global leader in providing essential elements for mobility, energy, connectivity, and health, announced that it has priced its previously announced offering (the “Offering”) of 40,000,000 depositary shares (“Depositary Shares”), each representing a 1/20th interest in a share of Series A Mandatory Convertible Preferred Stock of the Company (“Preferred Stock”), at a public offering price of $50 per share, in an underwritten registered public offering…
On March 14, Seeking Alpha reported:
Albemarle sets lithium auction plans in push for market transparency… The company said it will host a bidding event for 10K tons of chemical-grade spodumene on March 26 and 100 tons of battery-grade carbonate on April 2.
Sociedad Quimica y Minera de Chile S.A. (SQM), Wesfarmers [ASX:WES] (OTCPK:WFAFY), Covalent Lithium (SQM/WES JV)
On February 29, Mining.com reported:
SQM expands into lithium glut in bet that buyers will return. SQM, the world’s No. 2 lithium producer, is plowing ahead with expansions in an oversupplied market, building stockpiles of the battery metal to be ready when purchasing rebounds…Reporting an 82% drop in quarterly profit, the Santiago-based firm said the excess inventory that drove down lithium prices is expected to continue this year, keeping prices under pressure and resulting in an increase in its own sales of just 5% to 10% even as global demand rises at least 20%…An expansion in Chile has pushed up its lithium carbonate capacity to 210,000 metric tons, with annual company-wide production set to come in at 220,000 tons to 230,000 tons. That would result in stockpiling of less than 50,000 tons, executives said on a call with analysts Thursday…
On March 20, SQM announced: “SQM informs about the amendment of the MoU with Codelco…”
Upcoming catalysts:
H1, 2024 – Mt Holland spodumene production targeted to begin (SQM/Wesfarmers JV).
H1, 2025 – Production to start and then ramp to 50ktpa Lithium hydroxide [LiOH] at the Kwinana refinery in WA (SQM/Wesfarmers JV).
Arcadium Lithium (ALTM) [ASX:LTM](formed from the Allkem and Livent merger in Jan. 2024)
On February 22, Arcadium Lithium announced: “Arcadium Lithium releases fourth quarter and full year 2023 results and provides 2024 full year outlook.” Highlights include:
- “Merger Between Allkem and Livent Completed on January 4, 2024.
- Arcadium Lithium 2024 outlook highlighted by a 40% increase in Lithium Carbonate and Hydroxide volumes as a combined company.
- Projecting $60 to 80 million of Realized Synergies / Cost Savings in 2024.
- Slowing pace of expansion in light of current market conditions and to optimize capital efficiencies between co-located projects.”
On March 15, Arcadium Lithium announced:
Arcadium Lithium responds to Provincial Court ruling in Argentina…The ruling temporarily halts the issuance of new environmental permits and authorizations for the Los Patos River area until the provincial government completes an environmental impact assessment that takes into consideration the cumulative impact of all projects in the area. The court ruling does not impact Arcadium Lithium’s existing mining operations and expansion activities at its Fenix and Sal de Vida projects. All of the company’s existing permits and Environmental Impact Assessments (EIAs) remain valid.
Ganfeng Lithium [SHE:002460] [HK: 1772] (OTCPK:GNENY)
On March 5, GlobeNewswire reported:
Lithium Argentina announces Ganfeng Lithium agrees to acquire interest in Pastos Grandes for $70M…Ganfeng Lithium agrees to acquire $70 million in newly issued shares of Proyecto Pastos Grandes S.A. (“PGCo”), the Company’s indirect wholly-owned Argentinian subsidiary holding the Pastos Grandes project (“Pastos Grandes” or “Project”) in Salta, Argentina, which is expected to represent an approximate 15% interest in PGCo and the Project…
(Chengdu) Tianqi Lithium Industries Inc. [SHE:002466], Tianqi Lithium Energy Australia (TLEA) is a JV with Tianqi Lithium (51%) and IGO Limited (49%). TLEA owns the Kwinana lithium hydroxide facility in WA
On March 15, Tianqi Lithium announced: “Tianqi Lithium was selected in the S&P ESG Titled Index for the first time…”
Pilbara Minerals [ASX:PLS] (OTC:PILBF)
On March 12, Pilbara Minerals announced: “Pilbara Minerals signs Offtake agreement with Yahua.” Highlights include:
“This offtake agreement commences in calendar year 2024 (CY24) for a three-year term as detailed below:
- CY24 – Pilbara Minerals to supply, and Yahua to take, 20kt of spodumene concentrate (with an option for up to an additional 60kt at Pilbara Minerals’ election) resulting in a total supply in CY24 of between 20kt to 80kt.
- CY25 – Pilbara Minerals to supply, and Yahua to take,100kt of spodumene concentrate (with an option for up to an additional 60kt at Pilbara Minerals’ election) resulting in a total supply in CY25 of between 100kt to 160kt.
- CY26 – Pilbara Minerals to supply, and Yahua to take,100kt of spodumene concentrate (with an option for up to an additional 60kt at Pilbara Minerals’ election) resulting in a total supply in CY26 of between 100kt to 160kt.”
On March 14, Pilbara Minerals announced:
Pre-auction sale…A shipment of 5,000 dry metric tonnes (dmt) was made available for sale to a group of registered BMX participants prior to a proposed BMX auction which was scheduled for 18 March 2024. The Company received a number of pre-auction offers and has accepted a pre-auction offer of US$1,106/dmt on a SC5.5 CIF China basis and has executed a sales contract with the buyer. This offer equates to an approximate price of US$1,200/dmt on a SC6.0 CIF China equivalent basis after adjusting for lithia content and including freight costs. Due to the Company’s existing offtake commitments, the shipment is contracted for the December 2024 quarter…
On March 25, Pilbara Minerals reported:
Downstream partnering outcome – Study commences with Ganfeng. Pilbara Minerals and Ganfeng sign a binding term sheet to complete a joint feasibility study on a ~32 thousand tonnes per annum (ktpa) downstream lithium conversion plant…
Upcoming catalysts:
- End Q2, FY 2024 – P680 Expansion Project set to reach full capacity.
- Q3 FY, 2025 – P1000 Expansion Project set to begin production.
Mineral Resources [ASX:MIN] (OTCPK:MALRF)
Mineral Resources lithium assets include Mt Marion Mine (50% MIN: 50% Ganfeng). Wodgina Lithium Mine (50% ALB: 50% MIN).
On March 18, Mineral Resources announced:
MinRes to develop lithium processing hub. Mineral Resources Limited (ASX: MIN) (MinRes or Company) has entered into a Binding Heads of Agreement subject to conditions with Poseidon Nickel Limited (ASX: POS (Poseidon) to acquire the Lake Johnston nickel concentrator plant and tenure (Lake Johnston). MinRes intends to develop Lake Johnston as a lithium processing hub in the southern Goldfields region. The acquisition aligns with the strategy to process fines from the Company’s Bald Hill and Mt Marion lithium operations, new discoveries made by MinRes in the region and third-party ore in exchange for project equity.
On March 19, Mineral Resources announced: “Lithium Australia commences LieNA® piloting under JDA with Mineral Resources Ltd.”
On March 20, Mineral Resources announced: “Strategic partnership as MinRes farms into Horse Rocks Lithium Project.” Highlights include:
- “Farm-in agreement executed on the Horse Rocks Lithium Project with Mineral Resources Ltd (“MinRes” ASX:MIN).
- Subject to the satisfaction of conditions including MinRes completing satisfactory due diligence on the tenement, MinRes will spend $1 million in exploration, to earn 40% of the Project.
- Strategic partnership builds on previous exploration completed by Lord with the agreement to advance the project through non-dilutive financing.
- MinRes is a globally significant lithium producer, with a portfolio of world-class assets, and significant expertise in lithium project exploration, development and mining.
- Farm-in Agreement allows Lord to maintain exposure to a high-value project while ramping up exploration on its Jingjing Lithium Project.”
AMG Critical Materials N.V. [NA:AMG] [GR:ADG] (OTCPK:AMVMF) (Formerly AMG Advanced Metallurgical Group NV)
On March 13, AMG Critical Materials N.V. announced: “AMG Critical Materials N.V. publishes 2023 annual report…”
Upcoming catalysts:
- H1, 2024 – Stage 2 production at Mibra Lithium-Tantalum mine (additional 40ktpa) forecast to begin, bringing total production capacity to 130ktpa. The lithium concentrate plant shutdown to facilitate the expansion from 90,000 tons to 130,000 tons will take place in the first quarter of 2024.
- 2025-2028 – German LiOH facility expansion plan with Modules 2-5 (100,00tpa LiOH).
Sayona Mining [ASX:SYA] (OTCQB:SYAXF)
On March 1, Sayona Mining announced: “S&P Dow Jones Indices announces March 2024 Quarterly Rebalance of the S&P/ASX Indices.”
On March 14, Sayona Mining announced: “FY24 half year results.” Highlights include:
Operational Highlights
- “NAL ramping up towards steady-state production, with total concentrate output of 65,723 dry metric tonnes (dmt) for the half year ended 31 December 2023.
- Spodumene concentrate shipments commenced, with 72,152 dmt delivered to offtake and international customers in the period.
- Lithium recoveries of 60% achieved for the half year, with a record monthly recovery of 66% achieved in December 2023.
- Major capital projects advanced at NAL, including the Crushed Ore Dome and Tailings Storage Facility 1, to drive increased process plant utilisation and concentrator throughput.
- Extensive exploration programs completed at NAL and Moblan in Québec, Canada and an initial drill program completed at Tabba Tabba in Western Australia, Australia.”
Financial Highlights
- “Maiden revenues of $118 million generated by NAL for the half year.
- Underlying EBITDA of $9 million recorded by the Group for the half year.
- Loss after income tax of $32 million reflecting the impact of non-cash adjustments.
- Non-cash adjustments of $25 million for write down of inventories to net realizable value and $5 million write-off of capitalized project costs.
- Net cash flows from operating activities of $8 million, with expenditure on exploration and capital projects totaling $31 million and $68 million respectively.
- Maintained strong balance sheet with $158 million in cash at end of period.”
Upcoming catalysts include:
- 2024 – Spodumene production ramp up at NAL operations (owned SYA 75%: PLL 25%). Results of costs optimization review expected end Q1, 2024.
Piedmont Lithium (PLL)[ASX:PLL]
Piedmont Lithium 100% own the Carolina Lithium spodumene project in North Carolina, USA; as well as 25% of the North American Lithium [NAL] Project in Canada and up to 40.5% of the Ewoyaa Lithium Project in Ghana (JV with Atlantic Lithium and Ghana Gov + Ghana MIIF).
On March 19, Piedmont Lithium announced:
Further broad and high-grade drill intersections resource extension drilling results Ewoyaa Lithium Project, Ghana, West Africa. 69m at 1.25% Li 2O from 45m returned at Dog-Leg target, outside of current MRE 1…
Upcoming catalysts include:
- Early 2025 – Ewoyaa Project in Ghana (up to 40.5% PLL) targeted to begin.
- 2024-25 – Carolina Lithium (100%) – Permitting, off-take or project funding announcements.
- ?2026 – Tennessee Lithium hydroxide project targeted to begin.
Core Lithium Ltd. [ASX:CXO] [GR:7CX] (OTCPK:CXOXF) (CORX)
Core 100% owns the Finniss Lithium Project (Grants Resource) in Northern Territory Australia.
On February 28, Core Lithium Ltd. announced: “Termination of mining services contract.” Highlights include:
- “…Processing of existing stockpiles is planned to continue until mid CY 2024.
- A cost reduction program as part of the strategic review is ongoing.
- Core will work to identify alternative mining solutions for deployment should a decision to recommence mining be made in the future.”
On March 12, Core Lithium Ltd. announced:
CEO Transition. Following the operational changes which have been put in place as a result of the strategic review and the revised near term path forward for the Company, Core Lithium Ltd (ASX:CXO) (Core or the Company) wishes to announce that Gareth Manderson will step down as Chief Executive Officer. Core is restructuring its business in response to the dramatic decrease in the spodumene price. Consequently, and as previously announced, mining operations at Finniss have been suspended, but the Company continues to process ore stockpiles to produce spodumene concentrate for sale to customers. The BP33 early works have also been suspended. Across the business more broadly, work to preserve cash and the value of the Finniss project are the Company’s current priorities.
On March 12, Core Lithium Ltd. announced:
Interim Consolidated Financial Statements for the half year ended 31 December 2023…As at 31 December 2023, Core had cash of $124.8 million and inventory with a net realizable value of $33.6 million (a majority being the ore stockpiled in preparation for the wet season)…
On March 22, Core Lithium Ltd. announced: “Core delivers excellent exploration results.” Highlights include:
- “Final assays received from 2023 drilling program.
- Exceptional new drilling results at the Ah Hoy and Seadog prospects, including: NMRD095 70m @ 1.40% Li2O from 514m at Ah Hoy. FRC473 78m @ 1.30% Li2O from 270m (to EOH) at Seadog.
- New large-scale, regional targets generated at Finniss by greenfields geophysical and geochemical surveys and scout drilling.
- Encouraging results from initial Shoobridge geochemical survey.
- Updated mineral resource models expected to be announced next month.”
Catalysts include:
- 2024 – Any resumption of mining operations at the Grants open pit at Finniss where mining has been suspended in Jan. 2024.
Sigma Lithium [TSXV:SGML] (SGML)
Sigma is developing a world class lithium hard rock deposit with exceptional mineralogy at its Grota do Cirilo Project in Brazil.
On March 19, Sigma Lithium announced (emphasis added):
Sigma lithium receives initiation letter of arbitration by LG-ES from ICDR…In its request for arbitration, LG-ES is alleging that Sigma Lithium is in breach of certain provisions in connection with the Term-Sheet dated October 5, 2021 relating to offtake arrangements for the purchase of lithium concentrate from the Company. The Term-Sheet was subject to, amongst other things, completion of the negotiation of definitive written agreements between the parties. The Company believes the claims are completely without merit and intends to defend its interests vigorously.
Upcoming catalysts:
- 2024 – Possible acquisition of Sigma Lithium by ? (VW, CATL, BYD).
Lithium Americas (Argentina) [TSX:LAAC] (LAAC)
Lithium Americas Argentina owns the Argentina assets (Cauchari-Olaroz JV, Pastos Grandes, Sal de la Puna) from the LAC split.
On February 26, Lithium Americas Argentina announced:
Lithium Argentina announces appointment of new President and CEO. Lithium Americas (Argentina) Corp. (TSX: LAAC) (NYSE: LAAC) (“Lithium Argentina” or the “Company”) announces the Board’s unanimous decision to appoint Sam Pigott as President and Chief Executive Officer (“CEO”) which will become effective on March 18, 2024…
On March 5, Lithium Americas Argentina announced: “Lithium Argentina announces Ganfeng Lithium agrees to acquire interest in Pastos Grandes for $70M.”
On March 20, Lithium Americas Argentina announced: “Lithium Argentina reports fourth quarter and full year 2023 results.” Highlights include:
- “…Ganfeng, with support of Lithium Argentina, will undertake preparation of a regional development plan for the Pastos Grandes basin and surrounding properties, expected to be finalized by the end of 2024.
- The transaction is expected to close in Q2 2024 with proceeds available to support the Company’s Argentine operations.”
Operational Highlights
- “Production commenced in June 2023 at Caucharí-Olaroz, the largest new greenfield lithium brine project.
- In 2023, approximately 6,000 tonnes of lithium carbonate were produced, achieving 99.5% lithium carbonate content and technical-quality specifications.
- Caucharí-Olaroz is producing at approximately 50% of the 40,000 tonnes per annum (“tpa”) capacity.
- The operation is targeting to reach nameplate capacity on a limited basis by mid-2024 and maintain a level near capacity on a steady state basis by the end of the year.
- 2024 targeted production at Caucharí-Olaroz of 20,000 – 25,000 tonnes of lithium carbonate.
- In the current price environment, the project is expected to generate positive cash flow from operations in 2024.
- While planning for Stage 2 expansion in production capacity continues to advance, the Company has not committed material capital to growth capex at this time.”
Financial Highlights
- “As of December 31, 2023, the Company had $122M in cash and cash equivalents.
- The Company has $259M in convertible debt at 1.75% due in early 2027 and has not drawn on its $75M credit facility with Ganfeng.
- As of December 31, 2023, Minera Exar S.A., the Argentine joint venture company owned by the Company (44.8%), Ganfeng (46.7%) and Jujuy Energia y Mineria Sociedad del Estado (8.5%) had approximately $234M (on a 100% basis, less cash collateral) of local debt tied to funding working capital and startup costs.
- The Company and Ganfeng are in the process of finalizing new credit facilities to refinance a substantial portion of this local debt with longer maturity credit facilities typical of an operating business.
- Cognizant of market conditions in the lithium market, the Company has commenced proactive measures to reduce discretionary exploration and evaluation and general and administrative spending at the corporate level by 25%.”
Upcoming catalysts:
- By mid 2024 – Cauchari-Olaroz lithium production ramp to 40ktpa. From 2025+ a Stage 2 20ktpa+ expansion is planned.
NB: Ganfeng Lithium (51%) and Lithium Americas Argentina (49%) own the JV company Minera Exar S.A., which owns 91.5% interest and is entitled to 100% of the production from the Cauchari-Olaroz Project. The 8.5% interest is owned by Jujuy Energia y Mineria Sociedad del Estado (“JEMSE”) (a company owned by the Government of Jujuy province).
Zijin Mining Group [SHA:601899] [HKSE:2899] (OTCPK:ZIJMF)
Zijin Mining owns 100% of the 3Q Lithium Mine in Argentina, with Stage 1 production started producing 2,903t LCE in 2023 and planning to ramp to 25,000tpa LCE. Zijin Mining is a large diversified mining group with global mines focused on copper, gold, zinc/lead, silver and lithium.
On March 14, Zijin Mining Group announced:
Announcement on the implementation of the repurchase and cancellation of the Restricted A Shares under the Incentive Scheme…
Argosy Minerals [ASX:AGY][GR:AM1] (OTCPK:ARYMF)
Argosy has an interest in the Rincon Lithium Mine in Argentina, targeting a fast-track development strategy. Argosy initially plans to ramp Stage 1 to 2,000tpa lithium carbonate.
On March 1, Argosy Minerals announced: “S&P Dow Jones Indices announces March 2024 Quarterly Rebalance of the S&P/ASX Indices.”
Upcoming catalysts:
- 2024 – Rincon Lithium full ramp-up toward steady-state production targeted, 2,000tpa operation.
Lithium miner ETFs
- Sprott Lithium Miners ETF (LITP) – A pure play lithium ETF
- Global X Lithium & Battery Tech ETF (LIT)
- ProShares S&P Global Core Battery Metals ETF (ION)
- The Amplify Lithium & Battery Technology ETF (BATT)
Global X Lithium & Battery Tech ETF (LIT) 10 year price chart (source)
Seeking Alpha
Trend Investing lithium demand v supply model forecasts
Trend Investing forecasts lithium demand to increase 10.7x this decade.
Note: A Nov. 2020 UBS forecast is for “lithium demand to lift 11-fold from ~400kt in 2021 through to 2030.”
Conclusion
March lithium prices were significantly higher as the lithium rout looks to have ended.
Highlights for the month were:
- Russia and China take the lead in rush for Bolivia’s lithium.
- Elliott Management’s Hyperion to seek billion-dollar mining assets as metals demand grows.
- CATL Qilin 102 kWh battery charges 10-80% in 10 minutes 36 secs.
- Spain and Netherlands launch subsidies for battery and PV manufacturing
- SQM – Global lithium producer signals price rout has ended. SQM boss says the price of lithium will likely lift in the second half of the year.
- China’s lithium market set for long-term uptrend, says Ganfeng Lithium.
- Tesla Lithium Refinery construction making progress.
- Bloomberg – Lithium prices are expected to rise this year, but likely will remain well below their 2022 peak.
- Lithium permit freeze limited to new projects, Argentina Province says. Arcadium can keep developing existing projects, official says.
- Albemarle proposes a $1.75 billion depositary share offering, sets lithium auction plans.
- SQM expands into lithium glut in bet that buyers will return.
- Arcadium Lithium 2024 outlook highlighted by a 40% increase in Lithium Carbonate and Hydroxide volumes as a combined company. Plan to slow the pace of expansion in light of current market conditions.
- Ganfeng Lithium agrees to acquire interest in Pastos Grandes for $70M from Lithium Americas Argentina.
- Pilbara Minerals signs Offtake agreement with Yahua. BMX pre-auction achieves an offer of US$1,106/dmt on a SC5.5 CIF China basis (~US$1,200/dmt SC6.0 CIF). Pilbara Minerals and Ganfeng sign a binding term sheet to complete a joint FS on a ~32ktpa downstream lithium conversion plant.
- Mineral Resources buys nickel concentrator to process lithium.
- Core Lithium reports drilling 78m @ 1.30% Li2O from 270m at Seadog.
- Sigma lithium receives initiation letter of arbitration by LG-ES from ICDR.
- LAAC – In 2023, approximately 6,000t of lithium carbonate were produced, achieving 99.5% lithium carbonate content and technical-quality.
As usual, all comments are welcome.
Editor’s Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.
