This has appeared in the Australian...

This has appeared in the Australian today.........................

Battery metals positives building

Positives around battery metals including lithium, nickel, cobalt and graphite continue to build ahead of Tesla’s “Battery Day” next Tuesday, where CEO Elon Musk has said will be “one of the most exciting days in Tesla’s history”. Global commodities consultancy Wood Mackenzie said last week that nearly 800 kilotones of extra lithium supply would need to come online in the next five years to meet the needs from the battery sector, based on its accelerated energy transition scenario, where global warming is limited to 2.5 degrees celsius. It also sees battery demand for nickel going from 5pc of supply now to 20pc in 2025 and 30pc by 2030, meaning an extra 1.3 million tonnes of nickel suitable for the battery sector would be required by then. The cobalt market would need to double by 2025, with an additional 8 mines the size of Glencore’s Katanga needed, while battery demand for graphite will be more than 35pc by 2030, implying an extra 1.6m tonnes needed by then.

Meanwhile Morgan Stanley notes that the price of Lithium hexafluorophosphate (LiPf6) rose about 10 per cent recently, according to Baiinfo.Galaxy Resources is up 3pc at $1.39 today after hitting a 27-month high of $1.485 last week.