Interesting article in today's smh financial section
Better than expected global demand for lithium hydroxide has encouraged China's Tianqi Lithium Corporation to consider spending about $371 million to double the capacity of the lithium hydroxide plant it is building in Western Australia.
The major lithium producer said it was studying adding a second phase to its new plant, which is under construction in Kwinana, 38 kilometres south of Perth.
The expansion would double the plant's annual capacity to 48,000 tonnes of battery grade lithium hydroxide and bring the total cost of the plant to $771 million.
Tianqi Lithium Australia general manager Phil Thick said the acceleration of the second phase was "being driven by stronger than expected growth in lithium hydroxide demand globally".
Citing lithium industry analyst Roskill, Mr Thick said global demand for lithium hydroxide was forecast to rise from 31,000 tonnes a year in 2015 to 64,000 tonnes in 2020 and 129,000 tonnes in 2025.
Lithium hydroxide is a processed lithium compound developed from a raw material for use in lithium-ion battery components. Other lithium compounds are lithium carbonate and lithium chloride.
Macquarie analysts this week did a "substantial" upgrade of their price forecasts for battery raw materials Lithium received upgrades of up to 19 per cent over the coming few years, while their long-term forecast was lifted by 17 per cent to $US7000/tonne for carbonate.
This was "on the back of stronger than expected spodumene pricing", although they added that they still "see pressure on prices" in the second half of 2017.
Construction of Tianqi's lithium hydroxide plant is underway in Kwinana, WA. Photo taken June 2017. Source: Supplied - Tianqi Photo: Supplied
- Forums
- ASX - By Stock
- GXY
- Macq Bank upgrades $GXY
Macq Bank upgrades $GXY, page-84
-
- There are more pages in this discussion • 11 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)