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Battery Technology Innovation/Electric Vehicles

Lithium prices have crashed this year, squeezing margins at Australian miners – by Clint Jasper (Australian Broadcasting Corporation – September 2, 2024)

https://www.abc.net.au/

It is an essential element of the green energy transition and just a few years ago Australia was in the front seat of a lithium boom, but a new wave of supplies has put their competitive edge under pressure.

Consumers are increasingly opting to drive EVs, and governments continue to invest in solar and wind projects, yet lithium miners have spent the last year watching the price of their ore sinking. Last week, the financial pain inflicted by a year of declining lithium prices was revealed as Australia’s major producers opened their balance sheets up for investors.

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BHP has nothing good to say about nickel prices – by Frik Els (Mining.com – August 27, 2024)

https://www.mining.com/

BHP’s relationship with its Western Australian nickel operations has been something of an on-and-off affair. In 2014, Melbourne-based BHP excluded Nickel West from its South32 spin-off, created to house the company’s non-core assets. Today South32 is worth $9.5 billion, 50% more than on its debut, and senior management in Perth may well feel that in the end that was a blessing.

Later that year the world’s top mining company, more than $30 billion clear of its nearest rival, also waved away bidders for Nickel West, said to be Glencore and Chinese nickel group Jinchuan, in a sale put as high as $1 billion.

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Ottawa to impose 100-per-cent tariff on Chinese-made EVs – by Pippa Norman and Marieke Walsh (Globe and Mail – August 27, 2024)

https://www.theglobeandmail.com/

Canada said it will impose major tariffs on Chinese-made electric vehicles and steel and aluminum products to protect a fast-growing domestic EV industry while joining forces with the United States and Europe against what Prime Minister Justin Trudeau called China’s “unfair” trade approach.

On Monday, the federal government announced a 100-per-cent tariff on Chinese-made EVs, as well as a 25-per-cent tariff on steel and aluminum products from China – both of which will come into effect in early October. The EV tariff applies to some hybrid passenger cars, trucks, buses and delivery vans, and is in addition to a pre-existing import tariff of 6.1 per cent that already applies to Chinese-made EVs coming into Canada.

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EVs sales and production clash with market realities – by Derek Burney (National Post – August 27, 2024)

https://nationalpost.com/

High costs and low performance undermines green agenda

EV sales in North America face new market realities and automakers are shifting their production to meet actual, rather than anticipated demand. After being encouraged by government policy to invest tens of billions of dollars to transition to electric vehicles, companies are rapidly changing gears.

As Sam Fiorani, Vice President of AutoForecast Solutions observed in March, “Getting the first 10 per cent of the electric vehicle market is relatively easy with a good product and a market that wants that product. The next 90 per cent will be much harder to convert.”

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Lithium mine closures just ‘tip of the iceberg’ – by Alex Gluyas (Australian Financial Review – August 26, 2024)

https://www.afr.com/

The lithium sector is facing a wave of mine closures as prices for the battery material continue to decline despite some companies already delaying future projects.

UBS slashed its lithium price forecasts for the 2025 and 2026 calendar year by up to 23 per cent on Monday as it cautioned that not enough supply was being deferred, and global demand for electric vehicles was softening.

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Mining bosses issue M&A warning as forecasts of dealmaking boom mount – by Harry Dempsey (Financial Times – August 25, 2024)

https://www.ft.com/

Companies want commodities critical for clean energy such as copper that could drive deals

Mining bosses have warned against plunging into the mergers and acquisitions market and repeating mistakes of the past as forecasts mount that the industry is on the verge of a dealmaking boom.

Rio Tinto chief executive Jakob Stausholm was the most outspoken as he hinted at the experience of his predecessor Tom Albanese, who was ousted from the top job in 2013 after an ill-fated acquisition.

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Opinion: We are wasting $2 trillion a year chasing ‘green’ fantasies – by Bjorn Lomborg (New York Post – August 11, 2024)

https://nypost.com/

Despite much hype, the much-vaunted green energy transition away from fossil fuels isn’t happening. Achieving a meaningful shift with current policies turns out to be unaffordable. We need to drastically change policy direction.

Globally, we are already spending almost $2 trillion annually to try to force an energy transition. Over the past decade, solar and wind energy use have increased to their highest-ever levels. But it hasn’t reduced fossil fuels — on the contrary, we have added even more fossil fuels over the same time.

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Sudbury’s mining operations impress US Consul General – by Hugh Kruzel (Sudbury Star – August 23, 2024)

https://www.thesudburystar.com/

‘There is a lot of interest from US companies here,’ Baxter Hunt says

Visiting dignitaries are always asked why they are in Sudbury. This week, The Sudbury Star met with Baxter Hunt, US Consul General, during his multi-day tour of the area. Hunt had met Greater Sudbury Mayor Paul Lefebvre at PDAC in Toronto earlier this year. Lefebvre invited him to visit.

“I promised him I was going to get up here soon,” said Hunt, who started in this role in the fall of 2023. It is a three-year assignment. Back in July, the Hunt family drove up to Lake Temagami. He called the area “spectacular” and since he has heard of Killarney, he seems keen to experience more of the north.

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Judge blocks Arizona lithium drilling that tribe says is threat to sacred lands – by Scott Sonner(Associated Press – August 21, 2024)

https://apnews.com/

A federal judge has temporarily blocked exploratory drilling for a lithium project in Arizona that tribal leaders say will harm land they have used for religious and cultural ceremonies for centuries.

Lawyers for the national environmental group Earthjustice and Colorado-based Western Mining Action Project are suing federal land managers on behalf of the Hualapai Tribe. They accuse the U.S. Bureau of Land Management of illegally approving drilling planned by an Australian mining company in the Big Sandy River Basin in northwestern Arizona, about halfway between Phoenix and Las Vegas.

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Broken Promises: Western Hypocrisy in the Global Minerals Scramble – by Alex Kopp (Foreign Policy In Focus – August 22, 2024)

https://fpif.org/

Western governments need to enforce strong regulation that ensures responsible mining and holds accountable all companies involved in extracting and sourcing minerals.

Western governments have finally realized that the energy transition is happening—and that the resources needed are mostly in Chinese hands. Transition minerals, by some dubbed the “new oil,” are the key ingredients for renewables technologies like EV batteries, solar panels, and wind turbines that make the transition happen.

A large share of those minerals are extracted in the Global South, but China controls their value chains to a large degree. China processes over 90 percent of rare earth elements, almost 100 percent of graphite, over 75 percent of cobalt and over 60 percent of lithium.

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Pentagon invests US$20 million in Temiskaming cobalt refinery project – by Ian Ross (Northern Ontario Business – August 20, 2024)

https://www.northernontariobusiness.com/

Electra Battery Materials pockets Defense Department funding to finish refinery construction

Electra Battery Materials has snagged a US$20-million ($27.4 million) grant from the U.S. Department of Defense (DoD) to finish construction of its cobalt refinery in the Temiskaming area.

It’s a huge endorsement for a small and ambitious Toronto company that most investors and industry watchers would have to undertake a Google search on to find out its particulars. Electra is out to displace China as the world’s dominant player in critical minerals processing.

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How Governments Impact the Global Mineral Supply – by Gregory Wischer & Lyle Trytten (Real Clear Energy – August 19, 2024)

https://www.realclearenergy.org/

Mineral demand is expected to grow significantly, with mineral shortages possible later in this decade. Governments are increasing this mineral demand with policies targeting the manufacture and deployment of mineral-intensive technologies like electric vehicles.

Governments impact the mineral supply too, through policies that grow, stifle, or moderate the mineral supply. They also inadvertently affect the mineral supply when government actions unrelated to the mineral industry result in public backlash against the industry.

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SQM profit down 63%, anticipates continued weak lithium prices – by Cecilia Jamasmie (Mining.com – August 21, 2024)

https://www.mining.com/

Chile’s SQM (NYSE: SQM), the world’s second-biggest lithium producer, reported a sharp 63.2% decline in quarterly profit on the back of slumping prices of the key metal used in the batteries that power electric vehicles and high tech devices.

The company, which also manufactures fertilizers and industrial chemicals, said it expects the downward trend in lithium prices to continue for the rest of the year. SQM’s second-quarter net profit came in at $213.6 million, or 75 cents per share, falling short of analysts’ prediction of $296.7 million, or 95 cents per share, according to LSEG data.

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A trip to El Teniente, the largest underground copper mine in the world – by María Victoria Agouborde (English El Pais – August 16, 2024)

https://english.elpais.com/

The red metal deposit located in the Chilean region of O’Higgins, which is controlled by the state copper company Codelco, is moving towards green mining: it reuses tires and uses 100% electric buses

Just over 30 miles east of the city of Rancagua, in the O’Higgins Region in central Chile, after traveling a zigzagging road with the semi-white hills of the Andes mountain range as a backdrop, you reach El Teniente, the largest underground copper deposit on the planet. The mine, which has 2,800 miles of underground tunnels, is controlled by the state copper company Codelco, the largest copper supplier in the world.

From the surface, with wind blowing relentlessly, it is difficult to imagine the bustling world under the 2,200-meter-high hill, which began to be mined in 1905. From El Teniente, around 350,000 fine metric tons (ft) of copper are mined each year: it is the Codelco division that provides the largest contribution of the red metal.

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Maximizing the Benefits of the Renewed Global Interest in Africa’s Strategic Minerals – by Folashadé Soulé (Carnegie Endowment – August 15, 2024)

https://carnegieendowment.org/

Negotiations between African governments and foreign investors are often characterized by the various skills, technical capacities, and information asymmetries that shape the balance of power and influence outcomes. The dynamics of these negotiations—in pursuing extractive and infrastructure projects, in particular—merit a special focus, as agreements to carry them out often bind African countries for several decades.

Africa is home to a substantial share of the world’s reserves of mineral resources needed for the clean energy transition and could therefore be the main theater for the global race among China, the United States, European countries, Persian Gulf countries, and others to secure access. The International Energy Agency estimates that manufacturers of clean energy technologies will need forty times more lithium, twenty-five times more graphite, and about twenty times more nickel and cobalt in 2040 than in 2020.

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