lithium car batteries pie in sky, page-5

Peter, there is a technology receiving much more research funding. It's hi-efficiency petrol with turbo/supercharge in this new era of cheaper fuel.

If you want to analyse this in lithium carbonate terms, then my figures have 0.4Kg used per kWH. A medium size car with range of 400Km needs 50kWH (a la Tesla) giving 20kg, at $AUD8 per kg giving $160 of lithium carbonate.

To this must be added the non-competitive price of converting lithium carbonate to lithium phosphate about which figures seem not to be available. It is at a non-competitive price because this process seems controlled by patent, perhaps amongst several manufacturers who horse trade and then exclude others. Car manufacturers will be involved but will keep the mark-up.

There is certainty that lithium will compete with petrol and that creates a battery price which could mostly be manufacturers margin.

As per my previous note on price elasticity, car manufacturers will only use lithium if its price is stable with increasing demand and that's the problem.