Demand for copper, lithium and nickel batteries increases by more than 400%, study finds
These analysts’ forecasts indicate good prospects for the mining companies in the DRC which produce all these minerals.
BloombergNEF (BNEF), a provider of strategic research, has increased its forecast for annual lithium-ion battery demand by more than a third from its previous forecast due to expectations of rapid growth in the passenger vehicle segment, mining.com reports.
According to the BNEF, annual demand for lithium-ion batteries will exceed 2.7 terawatt-hours per year by 2030, a 35% increase over the analysis company’s forecast made last year. Passenger vehicles will account for 72% of the global market, with sales reaching 14 million by 2025, up from just over 3 million last year.
BNEF expects China to extend its lead in the battery supply chain, especially processing and refining. The country accounts for nearly half of the new lithium hydroxide projects brought online this year and holds 55% of the global nickel sulfate market and 80% of the global cobalt sulfate market, according to the report.
On cobalt, BNEF expects the cobalt market to show a small surplus of around 3,300 tonnes this year thanks to increased artisanal and large-scale mining production. The DRC is responsible for around two-thirds of global production, which is expected to reach around 166,434 tonnes in 2021.
From over $ 50,000 per tonne in March, a two-year high, cobalt prices could average $ 45,000 per tonne by the end of the year: “With the market expected to be relatively surplus this decade, BNEF expects prices to hold at an average of $ 44,000 per tonne through 2025, “according to BNEF.
Namely, BloombergNEF (BNEF) is a strategic research provider covering global commodity markets and disruptive technologies leading to the transition to a low carbon economy. BNEF’s team of experts assesses avenues for adapting the electricity, transport, industry, construction and agriculture sectors to the energy transition. BNEF also helps professionals in commodities trading, corporate strategy, finance and policy navigate change and generate opportunity.
