GreenReport Blog
Graphite is Poised to be the Next Lithium
In recent years, lithium has been all the rage in the energy industry. However,
there’s a new mineral on the rise that could soon eclipse lithium in popularity—
graphite. The black rock-like mineral has become increasingly sought after due to
its ability to store and transmit energy more efficiently than many other minerals.
Let’s take a closer look at why graphite is poised to do a lithium.
The Driving Force Behind Graphite’s Rise in Popularity
The primary factor driving graphite’s newfound popularity is its use in rechargeable
batteries. Graphite is one of the most efficient materials for storing large amounts
of energy over long periods of time—making it ideal for use in electric vehicle (EV)
batteries. This is especially true when compared to lithium-ion batteries, which tend
to lose their capacity over time. This means that EV owners will be able to rely on
their batteries longer if they are using graphite instead of lithium.
Another benefit of graphite is that it can be used as a replacement for cobalt in EV
batteries, which is important because cobalt is much more expensive than graphite
and also requires far more resources to extract from the ground. Additionally, cobalt
presents certain ethical sourcing issues due to its prevalence in conflict zones and
child labor markets—issues that can be avoided with graphite.
Graphite Mining Is Expected To Increase Dramatically
As demand for graphite increases, so too does the need for mining operations
around the world to increase production levels. Currently, China accounts for about
70% of global production, with India supplying another 20%. However, several
countries are now looking into developing their own mining operations due to
Reference:
“Graphite poised to do a lithium”. Nov. 23, 2022/mining.com
Copper Producers Benefit from the Surging Molybdenum Price
Copper producers are enjoying a new year rally due to the surging molybdenum
price. As one of the most widely used critical minerals, molybdenum is a key
component in steel production and industrial activity. It also plays an important role
in copper ore extraction. With demand soaring and prices following suit, investors in
copper producers are seeing big gains this year. Let’s take a closer look at how the
surging molybdenum price is affecting the copper industry.
The Role of Molybdenum in Copper Ore Extraction
Molybdenum is an essential element for extracting copper from ore, as it helps to
break down sulfide ores into their constituent elements. In order to extract copper
from ore, sulfuric acid is used to break down the ore particles and then separate out
the desired metal from other impurities. Molybdenum helps catalyze this reaction,
making it more efficient and cost-effective for copper producers.
Impact on Copper Producers
The rising demand for molybdenum has had a direct impact on copper production
costs, particularly for smaller scale miners who do not have access to advanced
extraction technologies. These miners are having to purchase molybdenum at
higher prices than before, resulting in higher costs for them to produce each unit of
copper. This increase in production costs has meant that smaller miners have had
to scale back their production activities or even close down altogether over recent
months. On the other hand, larger miners with advanced extraction technology
have been able to benefit from increased demand and higher prices while keeping
their costs low enough that they can continue producing at high levels without
incurring significant losses on their operation margins.
Impact on Investors
The surge in molybdenum prices has been beneficial for investors in copper stocks
as well as producers themselves. While smaller miners may be struggling due to
increased production costs associated with the rise in molybdenum prices, larger
miners benefit from being able to sell their product at higher prices due to rising
demand and limited supply of raw materials like molybdenum. As such, investments
in larger scale miners offer good potential returns as long as market conditions
remain favorable for them over time.
At the same time, investors are seeing big gains thanks to increased sales revenues generated by these
large-scale miners which enables them to reap good potential returns going forward provided market
conditions remain favorable over time. All signs point towards continued growth within this sector so now
could be an excellent time for those interested in investing in critical minerals such as copper stocks!
Conclusion:
The surge in molybdenum prices has been beneficial for both large-scale copper
producers and investors alike this year. With demand continuing to soar, larger
scale miners have benefited from higher revenues while still managing their costs
effectively so that they can continue producing at high levels without suffering
Reference:
“Surging molybdenum price adds weight to new year rally for copper
producers”. Jan. 10, 2023/mining.com (https://bit.ly/3XfkMw2 )
Volkswagen and Mercedes-Benz Partner With Canada On Battery Metals Push
Volkswagen and Mercedes-Benz have recently announced a partnership with the
Canadian government to invest in battery metals. This is an important step forward
for both automotive companies, as it will allow them to become more sustainable by
reducing their reliance on fossil fuels. The partnership seeks to create new jobs,
reduce emissions, and increase the use of renewable energy sources. Let’s take a
closer look at how this partnership could benefit both automakers and Canadians.
The Benefits Of Battery Metals For Automotive Companies
Battery metals are essential components of electric vehicles, as they are used to
store energy from the battery pack that powers the car. By investing in these
materials, both Volkswagen and Mercedes-Benz will be able to produce more
efficient electric vehicles at a lower cost. This could lead to increased sales for both
companies, as well as improved sustainability measures for their operations.
Additionally, investing in battery metals will help both companies lower their
reliance on fossil fuels and reduce their carbon footprint over time.
The Benefits Of Battery Metals For Canada
For Canada, this investment represents an opportunity for economic growth and job
creation in the mining sector. The country has abundant deposits of lithium, cobalt,
nickel, graphite, manganese, and other key materials used in producing electric vehicle batteries.
Investing in these resources could create thousands of jobs throughout the supply chain while helping to
diversify Canada’s economy away from its traditional dependence on natural resources such as oil and gas.
Additionally, it would provide an opportunity to develop new technologies related to clean energy production that could be exported around the world.
Conclusion:
By entering into this agreement with Volkswagen and Mercedes-Benz, Canada is
taking a leadership role in advancing clean energy solutions while creating
thousands of new jobs along the way. This is a major step forward towards
transitioning away from fossil fuels while still providing economic stability for
Canadians involved in the mining industry. It remains to be seen what kind of
impact this investment will have on the industry overall but it is certainly an
encouraging sign for the future of sustainable transportation solutions around the
world!
Reference:
Volkswagen, Mercedez-Benz team up with Canada in battery
metals push (mining.com – Aug 23, 2022 - https://bit.ly/3dUxLCJ )
Electric Vehicles Surpass Phones as Top Driver of Cobalt Demand
The rise of electric vehicles and their growing demand for battery-generated power
is dramatically altering the market for a key component of these vehicles, cobalt.
According to a new report published by CRU Research, the usage of cobalt in
batteries for EVs will surpass that of phones as the primary driver behind demand
for this material by 2024. This shift has been spurred on in large part by the rapid
adoption of electric cars, which now make up 30% of all new car sales in the United
States. The growth of EV adoption has also helped accelerate demand for cobalt,
which is used in their lithium ion batteries. As more consumer electronics
companies begin producing handsets with smaller batteries, they are also
increasing their demand for cobalt as well.
EV Growth is Driving Up Demand for Cobalt
The usage of lithium ion batteries has accelerated exponentially in the last decade,
and the adoption of electric cars has been a key driver behind this growth. Once a
novelty, EV sales have nearly doubled in the last four years alone. By 2024, EV sales
are expected to be 5x the size they are today, driving up the demand for cobalt
even further. Cobalt is an essential mineral that is used in the production of lithium
ion batteries. These batteries are the key component in all electric vehicles and also
have a wide range of other uses, including electric airplanes, medical equipment,
and renewable energy systems. The increasing popularity of EVs is placing a greater
demand on lithium ion batteries, which is driving up the demand for more cobalt.
Consumer Electronics Upcoming Demand Drivers
The growing use of electric vehicles is the primary driver behind the demand for
cobalt. However, this increase in EV demand is being further bolstered by the
increasing demand for cobalt in the production of consumer electronics. As the
electronics industry moves away from traditional silicon-based materials, such as
silicon and polysilicon, a growing number of manufacturers are turning to newer and
more expensive materials, including cobalt. The demand for cobalt in this segment
has been further boosted by the increasing demand for batteries in the smart home,
which is an emerging market.
Battery Manufacturing is the New hot Spot for Cobalt
Cobalt is used in a variety of industrial applications, such as batteries for industrial
applications, wind turbines, and electric vehicles. However, the increasing demand
for EV batteries has been the primary driver behind the increased demand for
cobalt in batteries. Furthermore, the supply of cobalt is relatively limited and is
projected to increase in the near future, which is further fueling the demand for this
material.
Smartphone OEMs Increasing Demand for Cobalt
Like other mobile device companies, smartphone manufacturers have also been
rapidly ramping up their adoption of electric vehicles. This has pushed up the
demand for cobalt in the production of batteries. In fact, smartphone companies are
now the leading driver of future demand for cobalt, accounting for over 65% of
future demand.
Key Takeaway
The demand for cobalt will continue to rise, driven primarily by the growing demand
for EV batteries, consumer electronics, and the production of smartphone batteries.
By 2024, the usage of cobalt in EV batteries will exceed that of phones as the top
driver behind demand. The growing use of consumer electronics, including
smartphones and other devices powered by lithium ion batteries, will also place
increased demand for cobalt, especially in the production of batteries. The cobalt
supply is also expected to grow, which will cause the price of this element to rise
even further. The article above provides a high-level overview of the potential
future demand for cobalt. As the demand for EV batteries increases, the demand for
cobalt used in EV batteries will also rise. The same goes for the demand for cobalt
in the production of smartphones and other consumer electronics.
Reference:
Electric Vehicles surpass phones as top driver of cobalt demand
(mining.com – May 17, 2022 - https://bit.ly/3mf3sYf)
Canada Sets Sights on Electric Vehicles with New Mandate
To reduce emissions and promote sustainability, Canada has taken a major step towards a cleaner future by announcing plans to mandate electric vehicle (EV) sales starting in 2025. This move, which is the first of its kind in North America, reflects the country's commitment to reducing its carbon footprint and addressing the pressing issue of climate change.
The announcement was made by the Canadian Minister of Transport, Omar Alghabra, who stated that the government plans to work with the auto industry to implement the mandate in a way that will not disrupt the economy or put undue pressure on consumers. The exact details of the mandate have not yet been released, but it is expected to include measures such as tax incentives for EV purchases, investment in charging infrastructure, and the development of EV supply chains.
The transition to EVs is seen as a crucial step in reducing the country's greenhouse gas emissions, which are a major contributor to climate change. According to the Canadian government, transportation is responsible for 25% of the country's emissions, and switching to EVs will play a key role in reducing this figure. In addition, the mandate is expected to create new jobs and stimulate economic growth in the EV and clean energy industries.
Canada's move towards EVs is part of a larger global trend, as countries around the world look for ways to reduce their carbon footprint and transition to cleaner forms of transportation. The European Union, for example, has set a target of having at least 30% of new car sales be EVs by 2030, while the United Kingdom has set a target of ending the sale of new gasoline and diesel cars by 2030.
In conclusion, Canada's mandate for EV sales is a significant step towards a cleaner and more sustainable future. It will not only help reduce emissions and address the issue of climate change, but it will also stimulate economic growth and create new jobs. The government's commitment to working with the auto industry to implement the mandate in a way that will not disrupt the economy or put undue pressure on consumers is commendable, and we look forward to seeing the details of the plan as they are released.
Reference:
Canada moves to mandate electric vehicle sales starting in 2026 - https://bit.ly/3wbcwSH (CTVnews.ca/autos/; Dec. 21, 2022)
The Future Value of Critical Minerals: A Look into the Importance of Rare Elements
In today's world, critical minerals play a crucial role in enabling modern technology and industry. From smartphones to electric vehicles, these rare and valuable minerals are essential components of a wide range of products. In this blog, we will explore the future value of critical minerals and their growing importance in the global economy.
One of the most critical minerals in the world today is lithium, a light metal that is widely used in batteries for electric vehicles and energy storage systems (Gandolfi, A., et al., 2017). With the growing demand for electric vehicles and renewable energy, the demand for lithium is expected to increase dramatically in the coming years (Gandolfi, A., et al., 2017). This trend is already evident in the market, as lithium prices have risen significantly in recent years (Gandolfi, A., et al., 2017).
Another critical mineral that is gaining attention is cobalt, a metal that is widely used in batteries and superalloys (Klein, C., et al., 2018). Cobalt is a critical component of lithium-ion batteries that power many electric vehicles and consumer electronics (Klein, C., et al., 2018). With the growing demand for these products, the demand for cobalt is expected to increase in the coming years (Klein, C., et al., 2018). However, cobalt is also facing challenges due to its limited supply and the human rights concerns associated with its mining in some countries (Klein, C., et al., 2018).
A third critical mineral that is important to the technology industry is indium, a rare metal that is widely used in LCD screens and touchscreens (Sato, K., et al., 2016). Indium is a critical component of many electronic devices, and its demand is expected to increase in the coming years as the demand for these products continues to grow (Sato, K., et al., 2016). However, indium is also facing challenges due to its limited supply and the high cost of production (Sato, K., et al., 2016).
Finally, we cannot talk about critical minerals without mentioning rare earth elements, a group of 17 elements that are essential components of many high-tech products, including electric vehicles, wind turbines, and consumer electronics (Zhou, Z., et al., 2019). These elements are critical components of many modern technologies and are essential for enabling the transition to a low-carbon economy (Zhou, Z., et al., 2019). However, rare earth elements are also facing challenges due to their limited supply and the environmental concerns associated with their mining (Zhou, Z., et al., 2019).
In conclusion, the future value of critical minerals is immense. From lithium to cobalt, indium to rare earth elements, these minerals are critical components of the modern economy and essential for enabling the transition to a low-carbon future. With the continued growth of the technology industry and the demand for sustainable energy solutions, the importance of critical minerals is only set to increase in the coming years.
References:
Gandolfi, A., et al. (2017). The lithium-ion battery: A perspective on the current state of the technology and future prospects. Journal of Power Sources, 359, 42-56.
Klein, C., et al. (2018). Cobalt: A critical component of the lithium-ion batteries driving the electric vehicle revolution. Journal of Cleaner Production, 170, 754-764.
Sato, K., et al. (2016). The future of indium: A critical analysis of supply and demand. Journal of Materials
Western Countries Forge Green Alliance for Obtaining Electric Vehicle Minerals
Electric vehicles (EVs) have become increasingly popular in recent years due to their environmentally friendly benefits. However, the production of EVs requires specific minerals that are crucial to their operation, such as lithium, cobalt, and nickel. These minerals are mainly found in countries outside of the western world, creating a dependency on foreign nations for their supply. To reduce this dependency, a green alliance has been formed by several western countries.
The alliance, which includes countries such as the United States, Europe, and Australia, aims to secure a stable and sustainable supply of EV minerals. The goal is to ensure that these minerals are obtained through environmentally responsible methods that adhere to ethical and social standards. This will also help to reduce the carbon footprint of the EV industry, making it even more environmentally friendly.
One of the main challenges faced by the alliance is the limited availability of EV minerals. Many of the countries that possess these minerals have poor environmental and labour standards, leading to concerns about the sustainability of their supply. The alliance hopes to address these concerns by working with countries that produce EV minerals to promote sustainable mining practices and improve environmental and social conditions.
In addition to promoting sustainable mining practices, the alliance is also focused on developing new technologies for EV production. This includes investing in research and development of alternative materials that can be used in place of traditional EV minerals. For example, researchers are exploring the use of recycled materials and alternative minerals, such as graphite, that can be used to produce EVs.
The formation of the green alliance is a positive step towards reducing the dependency on foreign nations for EV minerals. By promoting sustainable mining practices and developing alternative materials, the alliance is helping to make the EV industry more environmentally friendly and socially responsible.
Reference:
Western countries forge green alliance for getting electric vehicle minerals - https://bit.ly/3knWdPK (mining.com; Dec. 12, 2022)
Canada's Mining Minister Wants Minerals Projects Built Within a Decade
The Canadian Minister of Natural Resources, Seamus O'Regan, has expressed his desire to see more mineral projects built in the country within the next decade. In a recent interview with Mining.com, O'Regan emphasized the importance of the mining industry to Canada's economy and the need for the government to support its growth.
"Mining is a critical part of Canada's economy and a source of well-paying jobs for Canadians," said O'Regan. "We need to make sure that we're supporting the development of new mineral projects so that we can continue to benefit from this important industry for years to come."
O'Regan's comments come at a time when the mining industry is facing several challenges, including a shortage of skilled workers and declining investment in new mineral projects. The Minister believes that the government can play a role in addressing these challenges by providing the necessary support and resources to help the industry grow.
One of the key ways that the government can support the mining industry is by streamlining the approval process for new mineral projects. This could include reducing red tape, improving the transparency of the approval process, and providing more certainty for investors. By doing so, the government can help to attract more investment in the industry and encourage the development of new mineral projects.
In addition to streamlining the approval process, O'Regan also believes that the government can support the mining industry by investing in research and development. This could include funding for new technologies that can help to make the industry more efficient and sustainable. By investing in research and development, the government can help to ensure that the mining industry remains competitive and continues to contribute to the Canadian economy for many years to come.
In conclusion, the Canadian Minister of Natural Resources, Seamus O'Regan, is committed to supporting the growth of the mining industry in Canada. By streamlining the approval process for new mineral projects and investing in research and development, the government can help to ensure that the industry continues to thrive and contribute to the Canadian economy for years to come.
Reference:
Mining.com. (December 2022). Canada's Mining Minister Wants Minerals Projects Built Within a Decade. [online] Available at: https://www.mining.com/web/canadas-mining-minister-wants-minerals-projects-built-within-a-decade/
The Threat of Graphite Supply Shortage and its Impact on the Electric Vehicle Rollout
Introduction
Electric vehicles (EVs) have been gaining popularity in recent years due to their environmental benefits and lower operating costs compared to traditional gasoline-powered vehicles. However, the production of EVs relies on the availability of a critical component - graphite. Graphite is a key material used in the production of lithium-ion batteries, which are the most used type of batteries in EVs.
The Threat of Graphite Supply Shortage
According to a recent report by S&P Global Market Intelligence, the threat of a graphite supply shortage looms over the electric vehicle rollout. Graphite is primarily sourced from China, which accounts for more than 70% of the global production of the material. The increasing demand for graphite in the EV industry has led to a shortage of material in the market. This shortage could potentially slow down the production of EVs and impact the growth of the industry.
Impact on the Electric Vehicle Rollout:
The shortage of graphite could lead to higher prices for the material, which in turn could increase the cost of producing EVs. This could make EVs less affordable for consumers and hinder the growth of the industry. Moreover, the shortage could also lead to production delays, as manufacturers struggle to secure enough supply to meet their production needs.
Conclusion
The threat of a graphite supply shortage is a significant concern for the electric vehicle industry. The shortage could impact the production of EVs and slow down their rollout. The industry needs to find ways to secure a stable and reliable supply of graphite to ensure the continued growth of the EV market.
References:
S&P Global Market Intelligence. (Jan. 2022). The threat of graphite supply shortage looms over electric vehicle rollout. Retrieved from https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/threat-of-graphite-supply-shortage-looms-over-electric-vehicle-rollout-68335809
Battery University. (2021). Lithium-ion battery. Retrieved from https://batteryuniversity.com/learn/article/lithium_ion_batteries
U.S. Energy Information Administration. (2021). Electric vehicles in the United States. Retrieved from https://www.eia.gov/energyexplained/electricity/electric-vehicles/
Multi-Billion Investments Boost Canada’s Battery Supply Chain Credibility
The Canadian battery supply chain is seeing a surge in credibility because of a wave of multi-billion-dollar investments and partnerships. This has put the country in a strong position to capitalize on the growing demand for batteries in the renewable energy sector.
According to a recent report by the National Post, several companies and organizations have announced significant investments in the Canadian battery supply chain. For example, the governments of Ontario and Quebec have pledged to invest over $1 billion each in the development of a domestic battery industry. Furthermore, companies such as Tesla, Canadian Lithium, and Li-Cycle are investing in the development of battery recycling facilities in the country.
These investments are expected to bring about several benefits for Canada, including the creation of new jobs, the development of a domestic battery supply chain, and the reduction of the country's dependence on foreign battery suppliers. Additionally, the development of a domestic battery industry is expected to support the growth of the renewable energy sector, as batteries are an essential component in the storage of renewable energy.
One of the key drivers behind these investments is the growing demand for batteries in the renewable energy sector. With the increasing popularity of electric vehicles (EVs) and renewable energy sources such as wind and solar power, the demand for batteries is only expected to increase in the comingyears. This presents a significant opportunity for Canada, which has the natural resources and skilled workforce required to develop a thriving battery industry.
In conclusion, Canada's battery supply chain is seeing a surge in credibility because of a wave of multi-billion-dollar investments and partnerships. These investments are expected to bring about several benefits for the country, including the creation of new jobs, the development of a domestic battery supply chain, and the reduction of the country's dependence on foreign battery suppliers. Furthermore, the growing demand for batteries in the renewable energy sector presents a significant opportunity for Canada to capitalize on and further establish itself as a leader in the development of clean energy solutions.
References:
National Post. (Nov. 21, 2022). Canada's battery supply credibility jumps as multi-billion announcements keep coming. Retrieved from https://nationalpost.com/pmn/news-pmn/canada-news-pmn/canadas-battery-supply-credibility-jumps-as-multi-billion-announcements-keep-coming
Canada Unlikely to Join OPEC-Like Group for Nickel
Nickel is a crucial metal used in the production of stainless steel and other alloys, and its demand has been on the rise in recent years. The Organization of the Petroleum Exporting Countries (OPEC), which controls the supply of crude oil, has been a successful example of countries coming together to regulate the supply of a commodity. The idea of creating an OPEC-like group for nickel has been floated, but it seems that Canada, one of the world's largest nickel producers, is unlikely to join such a group.
According to a government source, Canada is not interested in joining an OPEC-like group for nickel because the country values its relationships with its trading partners and does not want to be seen as controlling the market. Additionally, the source noted that the nickel market is much smaller and more diverse than the oil market, making it more challenging to regulate.
Canada is a significant producer of nickel, with mining operations spread across the country, including the Sudbury Basin in Ontario and Voisey's Bay in Labrador. The country is also home to several large mining companies, including Vale, Glencore, and Teck Resources, which control a significant portion of the world's nickel production.
Despite Canada's decision not to join an OPEC-like group for nickel, the idea of creating such a group has gained traction in other countries. In 2020, Indonesia, the world's largest nickel producer, proposed the creation of a nickel cartel to regulate the supply of metal. The proposal was met with opposition from other nickel-producing countries, including Australia and the Philippines.
In conclusion, Canada is unlikely to join an OPEC-like group for nickel due to its stance on maintaining good relationships with trading partners and the complexity of regulating the diverse nickel market. The idea of creating such a group has been met with opposition from other countries, and it remains to be seen if it will become a reality.
References:
"Canada very unlikely to join OPEC-like group for nickel: govt source." Mining.com, Nov. 17, 2022, https://www.mining.com/web/canada-very-unlikely-to-join-opec-like-group-for-nickel-govt-source/.
"Nickel Production by Country 2021." WorldAtlas, https://www.worldatlas.com/articles/top-nickel-producing-countries.html.
"What is OPEC?" OPEC, https://www.opec.org/opec_web/en/about_us/25.htm.
The Rise of Battery Metals: A Direct Result of the Growing Electric Vehicle Market
According to a recent report by Mining.com, the deployment of battery metals has seen a significant rise as the sales of electric vehicles (EVs) continue to increase. Battery metals, including lithium, cobalt, nickel, and manganese, are critical components in producing EV batteries. The growing demand for EVs has led to a surge in the demand for these metals, driving up their prices and making them more attractive to investors.
The report highlights that the global EV market has been growing rapidly in recent years, with sales increasing by 40% in 2020 alone. This growth is expected to continue in the coming years, with many countries and companies setting ambitious targets for the deployment of EVs. For example, the European Union has set a target of 30 million EVs on the road by 2030, while major automakers such as Tesla, Volkswagen, and General Motors have announced plans to significantly increase their EV production.
The increased demand for EVs is having a significant impact on the demand for battery metals. According to the report, the demand for lithium is expected to increase by nearly 50% by 2025, while the demand for cobalt is expected to double by 2030. This growth in demand is leading to a surge in investment in battery metal mining and production, with many companies looking to increase their capacity to meet the growing demand.
One of the challenges facing the battery metal industry is the need for a secure and sustainable supply of these metals. Many of the countries that produce these metals, such as the Democratic Republic of Congo, have faced challenges in terms of political stability and environmental sustainability. To address these challenges, companies and governments are working to develop new and more sustainable sources of these metals, such as recycling and reusing existing batteries.
In conclusion, the rapid growth of the EV market is significantly impacting the deployment of battery metals. The increased demand for these metals is driving up prices and attracting investment, but also presents challenges in terms of securing a sustainable supply. As the market continues to grow, it will be important for companies and governments to work together to address these challenges and ensure a secure and sustainable future for the battery metal industry.
References:
"Battery Metals Deployment Rises as EV Sales Continue to Climb." Mining.com, Nov. 6, 2022, https://www.mining.com/battery-metals-deployment-rises-as-ev-sales-continue-to-climb/
"European electric car sales up 40% in 2020." European Alternative Fuels Observatory, 6 Jan 2021, https://www.afo.auto/news/european-electric-car-sales-up-40-in-2020
Boost in Nickel and Lithium Battery Chemistries along with Global EV sales
An increase of up to 83% year-on-year global Electric Vehicles (EVs) sales was observed by Adamas Intelligence based on its 2021 analyses. Reports also showed that 268.2 GWh of electricity was spent on EVs, particularly in the plug-in electric vehicles alone, which include both battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEV), recording a 113%-increase in the deployed EVs, globally.
Chemistries at play on these batteries showed that 54% of these newly deployed plug-in EVs was powered by high nickel cathode chemistries or NCM 6-, 7-, 8-series, NCA, and NCMA in the American Region; 26% by low nickel cathodes or NCM 5-series and lower, as explored by the European Region, and 20% by no nickel cathodes, primarily LFP, as seen in the Asia Pacific Region, particularly, China. Due to these differences in the battery composition per region, the demand for the other chemical precursor, such as lithium hydroxide and lithium carbonate, also varied, where the former was recorded at 51% in Europe, and 30% in Asia Pacific, respectively, in 2021.
Although differences in nickel demands were observed in the regions, StrategX Elements Corporation is consistent with its aim to advance ethical explorations of critical minerals and metals to provide support to the global supply chain for green innovations and renewable energies.
Reference:
"Global EV Sales Jumped In 2021, As Did Deployment of High Nickel Battery Chemistries". 2022. MINING.COM. (https://bit.ly/3p21lZt)
Call for Vanadium deposit exploration to bring down supply-demand curve
While the need for Vanadium intensifies over the years, as seen in the 45% increase in its demand in 2020, the shortage in its known deposits gatekeeps the supply chain into fully utilizing its promising properties in defense and steelmaking, aerospace, nuclear power, and potential long term energy storage for grid-scale electricity. Only three countries, namely South Africa, China, and Russia, have control in the supply chain of this metal, making Vanadium be classified as a critical strategic metal on the rest of the world since its lack of availability during a national emergency would affect the economic and defensive capabilities of the countries.
This status quo calls for the exploration of new Vanadium mines that can be sources of vanadium pentoxide and ferrovanadium. With this, as one of the main drivers of the StrategX Elements Corporation, its projects will help reduce the supply and demand curve to such an extent that the price of the metals is attractive for both producers and consumers while ensuring that its supply suffices the global demand of the emerging green technology industry.
Reference:
"Vanadium: The Metal We Can’t Do Without and Don’t Produce". 2022. MINING.COM. (https://bit.ly/3sQCjh1)
Prices of key metals for EV to soar higher over the next years
With the growing demand for electric vehicles (EVs) worldwide, a “war for raw materials” has been budding over the years, recording all-time high in the prices of the three key metals – lithium, nickel, and cobalt. Leading innovators and forecasters of transportation electrification that use these metals, such as Tesla and Rho Motion, respectively, are closely monitoring the foreseeable supply shortage that drives these metal price uptrends.
Starting with accelerated sales of the lithium-based batteries for the EVs from 610,000 tonnes this year, versus to 490,000 tons last year that was priced at $50,000 a tonne in China, a high probability of shortage for the coming years is projected, as the “supply struggles to keep up with the demands, given long lead times between the first production from the lithium resources to the market,” according to BMI analyst George Miller. Working around these numbers, a 26,000-ton deficit as compared to last year's 12,000 tons is expected.
Along with this, worldwide nickel and nickel briquette stock supplies have fallen by 65% and 67% since April 2021 at around 88,812 and 65,676 tons, respectively. The demand, around this time, was about 2.8 million tonnes. Fortunately, despite this rattle in the equilibrium of the supply chain, this year’s projection estimates a demand of 3 million tons with a price increase of 14.5%, which would mean a surplus over demand of 43,000 tons as compared to the 159,000-ton deficit in 2021, as forecasted by Macquire analyst Jim Lennon.
Lastly, delays in the cobalt shipment of the Democratic Republic of the Congo, which extracts more than 70% of the world’s supply of cobalt affected the domestic stocks, had increased the demand this year at about 177,500 tonnes, amounting to around $70,000 per tonne today. This has been the highest level since July 2018 and is expected to continue under the deficit premise.
Combating these complications in the supply chains of these “new black gold” of the EV industry, StrategX Elements Corporation fundamentally aims to boost the global supply through its exploration projects and discoveries of ethically sourced critical mineral resource deposits.
Reference:
"Key Components for Tesla: Lithium, Nickel And Cobalt Price Evolution | Torque News". 2022. Torque News. (https://bit.ly/33vk9Zw)
Canada: Becoming supply giant to achieve climate goals
To combat the rapid regression of climate change, Prime Minister Trudeau continues to emphasize the importance of climate action and the potential key role of Canada in the production of critical minerals, specifically those new deposits for new electric batteries and modern technologies, in the new session of Parliament last January 31, 2022.
With the forecast of the World Bank of having up to 500% increase in the production of multiple mineral and metals required for the clean technology to hinder the rise in global temperatures to two degrees Celsius above the pre-industrial levels, Canada is pushed to seize the opportunity to utilize its production of the lowest carbon-intensity minerals and metals and establish policies that would strengthen its commitment to this mandate. Initial steps require: 1) enhancing public geoscience investment that is focused on supporting mineral exploration, and 2) supporting the downstream fabrication of inputs into battery manufacturing to attract investors to further solidify Canada’s role in the emerging green industry.
The country has the upper hand in increasing the domestic production of key critical minerals and metals, therefore, reducing its reliance on imports and more importantly, becoming one of the pillars that will support the international supply-chain security. With this in vision, StrategX Elements Corporation supports the national government’s mandate to become a global leader in the mineral space and become the supplier that the world needs.
Reference:
Gratton, Pierre, View author, Brendan Marshall, and View author. 2022. "Canada Must Invest In Critical Minerals". Policy Options. - (https://bit.ly/3oDHAaj)
Nickel and Zinc are now on the Critical Minerals List
Nickel and zinc are now considered as critical metals by the US Geological Society (USGS) since more and more countries depend on the exports of only a few capable host countries such as Indonesia, South Africa, and Russia for Nickel, China, Peru, and United States for Zinc, and Canada and Australia for both metals. It is also undeniable that these metals are fast gaining traction as the world propels to transportation electrification and galvanization, respectively. The growing prospect of nickel is reflected in its pricing, as its price on the London Metals Exchange doubled from around US$10,000 a tonne to US$21,670 in the last five years. Zinc, on the other hand, rebounded to $2,965 per tonne in May 2021 from a two-year decline, representing a 50% increase year-over-year, and is expected to have slow steady growth in the next years, according to the World Bank.
In addition to their high abundance in nature despite limited processing initiatives of the rest of the world, nickel and zinc are known to have excellent recyclability. Thus, these metals play a huge part in the circular economy, since the ores of these metals can be repurposed repeatedly without losing the quality. This means that nickel and zinc recycling industries can complement their respective primary productions which is greatly beneficial in delivering to the fast gaining traction of these now-considered critical metals. This advantage in metal production is fully realized by the StrategX Elements Corporation, as it takes its first step in exploring Canadian deposits that are rich in nickel and zinc, as well as other transition metals for greener technological advancements.
Reference:
"Nickel and Zinc have Joined the Critical Minerals List - Here’s why they’re important". 2022. Proactiveinvestors UK. https://bit.ly/3PUMjzc
Automotive Manufacturing Processes to boost Zinc’s Demand
The exploration of the StrategX in highly mineralized areas of Canada, specifically Northwest Territories and Nunavut, leads to the discovery of different transition elements, mainly cobalt. But along with this, the abundance of zinc is expected to be observed as the occurrence of this metal is known to be correlated with cobalt.
With its appealing low price to the decorative and automotive industry, zinc undeniably tops the market due to its inherent and superior anti-corrosive properties, as it is mainly used in galvanization. This process involves its addition as a coating on steel or iron to prevent premature rusting. Its application provides strong corrosion defense that can able to withstand up to 1,000 hours of salt spray testing that is especially beneficial in harsh winter climates where the road is applied for the safety of the travels of the motorists. Additionally, it is also used as a barrier coating and also as a sacrificial coating that conserves the integrity of the underlying metal surface by attracting oxidation until it is fully consumed.
To fully enhance its already superb anti-corrosion properties, it is famously alloyed with nickel, another transitional element that occurs with cobalt. The addition of nickel in its component system improves its aesthetics as the surface becomes more lustrous, as often used in automotive manufacturing.
Reference:
"Zinc Plays A Prominent Role In Today's Automotive Manufacturing Processes - Sharretts Plating Company". 2022. Sharretts Plating Company. https://bit.ly/3Ja8te3.
Nickel demand for electric vehicles, an opportunity for new nickel exploration
The increasing worldwide acceptance of electric vehicles, or EVs, to support the switch towards transport electrification and lessening the dependency on oil and petroleum means an upsurge in demand for the extraction and development of energy-efficient and cost-effective battery materials. Nickel is one of these important materials in EV batteries such as rechargeable nickel-cadmium batteries and nickel-metal hydride batteries. This currently comprises 33% by mass of the battery unit. In the world’s annual nickel supply, only 3% is consumed for the manufacturing of electric vehicle batteries. However, it is expected that this percentage of nickel use may rise in the coming years since increasing the amount of nickel to 80% by mass in the battery will make it more energy-efficient.
With this rising new opportunity of nickel, the need for high-grade nickel deposits needed for EV batteries that are generally mined in places like Australia and the Arctic is expected to cause a ripple in the supply chain. At present, exploration of new mining locations for the extraction of high-grade nickel deposits in places such as Greenland, Russia, and Canada will be expected and could supply the nickel demand for these electric vehicle batteries.
Intending to contribute to the green energy sector and emerging low carbon economy, StrategX Elements Corporation takes part in the global supply chain by providing ethical discovery and sourcing of critical mineral resource deposits such as nickel. The economic situation of nickel and transportation electrification is an opportunity for StrategX Elements Corporation to ultimately contribute to a larger effort of greening the globe through exploration discoveries.
Reference:
"Blog – Arctic Nickel, Not Oil, Could Soon Power The World's Cars". 2022. Eye On The Arctic. https://bit.ly/3rzItCP.
Exploration partners for vanadium mineral to recharge looming shortage
Vanadium is another material in lithium-based batteries that is also highly demanded. Its addition is known to promote better energy storage and is termed as “supercharged” batteries. In an Audi A2 electric car developed by DBM Energy and German utility Lekker Energie that is running on a lithium-vanadium battery, a distance of 600 kilometers was completely covered in just a single charge. Vanadium batteries were able to penetrate the marketplace and Vanadium Flow Batteries (VFB) are considered as one of the promising energy storage systems. They have an excellent charge and discharge mechanism that can provide electricity instantly, prevent self-discharging while idle and generating heat when charging, can charge and discharge simultaneously and has a charging cycle of more than 10,000.
However, the success of the commercialization of VFBs entirely depends on the certainty of price and supply of high-purity vanadium which is at more than 98.4% for battery application. This is an emerging opportunity for vanadium producers to supply this increasing demand for electric vehicle batteries. With the pressure from both government mandates and the commercial sector and limited vanadium supply on the horizon, a vanadium shortage is impending. According to the United States Geological Society (USGS), the annual worldwide production and reserves of vanadium last 2009 was near 63 million tons which is equivalent to 112,000 tons of V2O5. Additionally, China, representing 40% of the world’s vanadium supply, has switched from being the world’s largest producer to the world’s largest consumer which greatly affected the supply chain.
Partners are now needed for the discovery and exploration of vanadium for the shooting up demand for electric vehicle batteries. StrategX Elements Corporation is ready to commit to becoming a strategic partner in the discovery and sourcing of critical mineral resource deposits such as vanadium. StrategX Elements Corporation envisions a greener globe through their efforts on responsible mineral discovery for clean energy sources.
Reference:
"About Vanadium | Next Source". 2022. bit.ly. https://bit.ly/3rCekTC.