Energy storage and electric vehicle demand boost lithium mines
The growing demand for batteries for energy storage and electric vehicles has prompted US companies to consider opening lithium mines in Nevada and other regions, which may increase US lithium production by 2 to 3 times in the next few years. Currently, there is only one lithium mine operating in the United States. The Silver Peak plant in Nevada is owned by Albemarle, which has a production capacity of 5,500 tons per year.
The lithium mine in Nevada will go online in 2022 and will be developed by Lithium Americas with an annual production capacity of 10,000 st/year.（Lithium - Ion Battery Equipment）
At the same time, Blue Eagle Lithium is analyzing data from a railroad valley project near Tonopah, Nevada. The project is said to have similar geological similarities to Albemarle’s Silver Peak plant. 46% of mine output in 2017 was used for batteries. .
According to the U.S. Geological Survey of the U.S. Department of the Interior, the total lithium production in seven countries (excluding the United States) in 2017 was 43,000, an increase of 13% over 2016. According to the U.S. Geological Survey's commodity report, the increase in lithium production is "in response to the increase in demand for battery applications."
The US Geological Survey said that about 46% of the world's lithium is used in batteries, and the rest is used in ceramics and glass, grease, polymer production and other products. The report also stated that in 2017, US lithium imports amounted to 3,430, of which 49% came from Chile and 48% came from Argentina.
Albermarle said that the lithium carbonate produced at its Silver Peak mine is transported from the Nevada mine to Kings Mountain, North Carolina, where it is converted into lithium hydroxide. The company said it sold it from there to Asian companies, which used it to produce cathodes for the manufacture of batteries and battery packs.
Analysts pointed out that even if Tesla and Panasonic manufacture batteries and battery packs at the Gigafactory in Storey County, Nevada, the lithium used in these batteries must still go to Asia for cathode production.
The available conversion capacity is also a core issue in the global lithium supply equation. It is expected that Tianqi Lithium will provide 48,000 st/year Kwinana spodumene converters online in Australia in mid-2019, which is expected to help ease capacity constraints.
By 2025, the battery market is worth 93.1 billion U.S. dollars: On Tuesday, San Francisco-based Grandview Research released a report stating that by 2025, the global lithium-ion battery market is expected to reach 93.1 billion U.S. dollars, with a compound annual growth rate of 17%.
"The rapid growth of the market is attributed to the increase in consumer electronics, grid storage systems and electric vehicles, and the increase in the use of lithium-ion batteries," the report said.
"Automotive original equipment manufacturers and battery manufacturers continue to push the cost of battery components to decline," the report quoted Navigant Research senior research analyst William Tokash as saying. "By improving battery manufacturing processes and an increasingly mature supply chain, this effort is expected to create a market driven by battery electric vehicles, where vehicles equipped with large and small capacity lithium-ion battery packs have significantly improved driving range."
The US Geological Survey reports that the safety of the US "lithium supply" has become the top priority of American and Asian technology companies.
For example, it noted that Argentina, Bolivia, Chile, China and the United States are developing saltwater mining operations, while Australia, Austria, Canada, China, Finland, Mali, Portugal and Spain are developing spodumene mining operations.
In addition to the Nevada facility being developed by Lithium Americas and Blue Eagle, many small development companies are also focusing on the project.
A so-called primary lithium mining company based in Vancouver, Canada, has been committed to developing standard lithium projects in the Smackover area of Arkansas.
Standard chief executive Robert Mintak said in an interview last week that the project will go live and "there may be a surplus of lithium batteries."
Mintak pointed out that about ten years ago, the price of lithium was about US$6,000/ton, but it has climbed to the current price of US$12,000/ton to US$16,000/ton. Even if the price drops to US$10,000/ton, there is still money to be made.
The lithium mine in Nevada will go online in 2022 and will be developed by Lithium Americas with an annual production capacity of 10,000 st/year.（Lithium - Ion Battery Equipment）
At the same time, Blue Eagle Lithium is analyzing data from a railroad valley project near Tonopah, Nevada. The project is said to have similar geological similarities to Albemarle’s Silver Peak plant. 46% of mine output in 2017 was used for batteries. .
According to the U.S. Geological Survey of the U.S. Department of the Interior, the total lithium production in seven countries (excluding the United States) in 2017 was 43,000, an increase of 13% over 2016. According to the U.S. Geological Survey's commodity report, the increase in lithium production is "in response to the increase in demand for battery applications."
The US Geological Survey said that about 46% of the world's lithium is used in batteries, and the rest is used in ceramics and glass, grease, polymer production and other products. The report also stated that in 2017, US lithium imports amounted to 3,430, of which 49% came from Chile and 48% came from Argentina.
Albermarle said that the lithium carbonate produced at its Silver Peak mine is transported from the Nevada mine to Kings Mountain, North Carolina, where it is converted into lithium hydroxide. The company said it sold it from there to Asian companies, which used it to produce cathodes for the manufacture of batteries and battery packs.
Analysts pointed out that even if Tesla and Panasonic manufacture batteries and battery packs at the Gigafactory in Storey County, Nevada, the lithium used in these batteries must still go to Asia for cathode production.
The available conversion capacity is also a core issue in the global lithium supply equation. It is expected that Tianqi Lithium will provide 48,000 st/year Kwinana spodumene converters online in Australia in mid-2019, which is expected to help ease capacity constraints.
By 2025, the battery market is worth 93.1 billion U.S. dollars: On Tuesday, San Francisco-based Grandview Research released a report stating that by 2025, the global lithium-ion battery market is expected to reach 93.1 billion U.S. dollars, with a compound annual growth rate of 17%.
"The rapid growth of the market is attributed to the increase in consumer electronics, grid storage systems and electric vehicles, and the increase in the use of lithium-ion batteries," the report said.
"Automotive original equipment manufacturers and battery manufacturers continue to push the cost of battery components to decline," the report quoted Navigant Research senior research analyst William Tokash as saying. "By improving battery manufacturing processes and an increasingly mature supply chain, this effort is expected to create a market driven by battery electric vehicles, where vehicles equipped with large and small capacity lithium-ion battery packs have significantly improved driving range."
The US Geological Survey reports that the safety of the US "lithium supply" has become the top priority of American and Asian technology companies.
For example, it noted that Argentina, Bolivia, Chile, China and the United States are developing saltwater mining operations, while Australia, Austria, Canada, China, Finland, Mali, Portugal and Spain are developing spodumene mining operations.
In addition to the Nevada facility being developed by Lithium Americas and Blue Eagle, many small development companies are also focusing on the project.
A so-called primary lithium mining company based in Vancouver, Canada, has been committed to developing standard lithium projects in the Smackover area of Arkansas.
Standard chief executive Robert Mintak said in an interview last week that the project will go live and "there may be a surplus of lithium batteries."
Mintak pointed out that about ten years ago, the price of lithium was about US$6,000/ton, but it has climbed to the current price of US$12,000/ton to US$16,000/ton. Even if the price drops to US$10,000/ton, there is still money to be made.
