Supply response
All existing suppliers are planning expansions. Recently, Albemarle's MARBL joint venture with Minerals Resources in Western Australia announced plans to restart one of the Wodgina mine's three 250,000 mt/year processing lines in Q3 2022.
Livent resumed its expansion plan and will add 5,000 mt of lithium hydroxide capacity in the US, which is expected to reach commercial production by Q3 2022. It is also adding an initial 10,000 mt lithium carbonate in Argentina, although this is only due to reach commercial production in the first quarter of 2023, with another 10,000 mt to be added in the second phase by the end of 2023.
The 25,000 mt/year Stage 2 expansion of Allkem's Olaroz brine project in Argentina is continuing and is expected to be completed during the first half of 2022. Production at the 25,000 mt/year expansion is slated for the second half, bringing the project's total capacity to 42,500 mt/year.
SQM targets to reach a total capacity of 180,000 mt/y next year in its Chilean brine operation, with total production expected to achieve 140,000 mt in 2022. These represent increases of approximately 60,000 mt/year and 40,000 mt, respectively, from 2021.
Pilbara Minerals is forecasting production capacity of approximately 180,000-200,000 dmt/year from its Ngungaju plant at the Pilangoora operation in Western Australia from mid-2022, as it ramps up.
This will complement existing production capacity from the adjacent Pilgan Plant, which is also increasing capacity from around 330,000mt/year to 360,000-380,000 mt/year through improvement works.
New projects should also start up next year, including Lithium Americas' 40,000 mt/year carbonate operation in Argentina and Sigma Lithium's 330,000 mt/year spodumene project in Brazil.
