Time To Get Real: Back To $100m MC..., page-77

Lithium prices definitely staying stronger for longer!



Now the June edition of the Resource and Energy Quarterly has bullishly forecast Australia’s lithium production “to rise by more than half over the outlook period, rising from 278,000 tonnes of lithium carbonate equivalent (LCE) in 2021–22 to 438,000 tonnes of LCE in 2023–24.”And that will see a more than doubling in the value of lithium exports in the next two years.The Quarterly says Australia’s lithium export earnings are projected to more than double over the period, from $4.1 billion in 2021–22 to $9.4 billion in 2023-24.The size of the boom can be seen in the very big upgrades in export revenues for 2021-22 and 2022-23 in the past three months.

Spodumene (a key lithium ore) “prices are forecast to rise from an average US$675 a tonne in 2021 to US$2,235 a tonne in 2022, before easing to about US$1800 a tonne in 2024.”“Lithium hydroxide prices are forecast to rise from US$17,370 a tonne in 2021 to US$35,570 a tonne in 2022, before easing to about US$28,810 by 2024.”“Spot prices for lithium hydroxide (delivered to China) averaged US$68,900 a tonne in May 2022, down slightly from the April average of US$74,688, but still more than eight times the US$7,984 average of January 2021,” the Quarterly said.