Lithium World is rapidly changing. Demand for high quality hard rock Li getting high, it`s price is getting high.
Lithium prices have already started showing signs of life in 2019, but this is only the beginning. A big reason lithium prices started to rise is U.S. China and Europep electric vehicle sales soared 81%, but here’s the thing…
Battery technologies and manufacturing lead by Tesla around the World. The Europe, China and United States are taking the lead in electric vehicle sales. The solid state type of batteriy technolgy will be avaailbe in 18 months time.
Australia is leading in the production of lithium. There is some sort of house keeping and A&M badly managed lithium producer, while electric vehicle sales climb around the world, the supply of critical Lithium and rare earth materials is starting to dwindle, creating a very unique opportunity for investors.
If you plan on making any money invest lithium stocks and battery technologies in 2020. High quality hard rock Li and lithium hydoxide is preferred by end users. Lithium carbonate exctraction by ion-excahnge process techology is not nwe and unique.
It is well known Chemical engineering world, it is expensive, it is not environmentally friendly by using HCL, it requires huge amount of fresh water (more than current processing plant)
High quality Li supplier and potential high quality Li supplier such as LTR is prime target for TO. LTR is in perfect position to be major Li supplier.
The market for lithium is anticipated to register a CAGR of 10.10% during the forecast period (2019-2024). Key factors driving the market growth include the accelerating demand for electric vehicles, growing usage and demand from portable consumer electronics, increasing demand from the glass-making industry, and many others.
The growing adoption of electric vehicles (EVs) is driven by the rising concerns for the environment, as these vehicles help reduce carbon emission levels. Governments across the world are implementing stringent emission norms, to control and reduce carbon emissions, thereby augmenting the growth of the market.
Lithium supply is too short to meet the estimated demand growth during the forecast period, which is likely to create an impact on lithium prices in the next few years, thus hindering the market growth.
The EV and energy storage market need much more than current Li supply (at least four times in 2022)
Grid management is a concept where service providers use energy storage to help distribute grid facilities smartly, resiliently, and reliably. Most of the grid management projects being developed are trial projects. The grid management projects are expected to start in the next few years, thus drastically increasing the usage of lithium-ion batteries for energy storage. These applications are projected to act as an opportunity for the market, in the future.
Strong demand from the electric-vehicle sector alongside supply cuts technical, environmental and financial reasons should help Australian lithium miners recover toward the middle of this year, earlier than expected.
Australia produce spodumene type of concentrated lithium ore that accounts for more than half of global lithium supply.
The lithium market will be up form 2020 to 2030.
There are two factors: 1. One is the build-up of the demand picture downstream. The amount of battery plants that are going up, the amount of contracts that we see being signed long-term. The demand picture is getting even stronger 2.On the supply side demand for high quality Li and Lithium hydroxide unstoppable.
Potential supplier in Australia and outside of Australia need reasonably big amount of capital. Particualry quality, quantity, remote location syndrom, transport, water, electricity are playing big role for investors decissions. In this case LTR has very lucky and unique postion.
Current Supplier Matters;
SQM: All brine Lihuge amount of water, which they don`t have it. Chile lithium miner SQM dealt blow by environmental court ruling Court points to 'particular fragility' of Atacama desert's ecosystem in reaching its decision.27 Dec 2019.
SQM has been facing the threat of early termination of lease, due to an arbitration case at its Atacama operations unit. New supply facilities are also facing challenges and delays, such as at Orocobre’s operations in Argentina, which is estimated to produce 200 kilo metric ton/annum of advanced stage development capacity by 2020
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