For lithium miners across Australia, 2020 began in a much similar manner to 2019, with there being weakness in the pricing and demand that has been forcing mining operators into the position of survival. Lithium is one of the most vital metals utilized in the production of batteries.
For the record, industries for battery ingredients, comprising cobalt and lithium, which scaled up from 2016-2018, went from boom to bust following the rush of new projects which tipped the market into oversupply as well as reductions within Chinese subsidy initiatives. This had apparently put a pause on the electric vehicle revolution, cite sources with knowledge of the matter.
Records state that governments across the globe have commenced rolling out green stimulus initiatives in support of transport electrification, in their push for the post-pandemic recovery. In China, the demand escalated owing to the sales of electric vehicles in collaboration with the assimilation of lithium-ion batteries for the purpose of storing renewable energy.
As per sources, Britain is planning to put a ban on new diesel and petrol car sales from 2030. Europe is also witnessing an escalation towards becoming the largest electric vehicle market at the global level. Additionally, the new President in the United States, Joe Biden, has also formulated plans towards boosting the sector through the launch of 500,000 electric vehicle charging stations, further pledging to make all the federal fleets completely electric.
One of the largest lithium miners in Australia, Pilbara Minerals, exported over 70,609 dry metric tonnes of performance concentrate from the Pilgangoora mine in Western Australia, beating its target, in turn telling investors that a material upsurge in the pricing of lithium chemicals in China had caused an escalation in the prices of the Platts battery-grade carbonate by 35 per cent after downgrading to the bottom in September 2020.