Lithium market may bloom on receding oil


CSA Z462 Arc Flash Training – Electrical Safety Compliance Course

Our customized live online or in‑person group training can be delivered to your staff at your location.

  • Live Online
  • 6 hours Instructor-led
  • Group Training Available
Regular Price:
$249
Coupon Price:
$199
Reserve Your Seat Today

Afghanistan Lithium Reserves could fuel EV batteries and electric vehicles, as mining projects, battery manufacturing, and supply chains scale globally, supporting clean energy, hybrid cars, and lithium-ion technology while reducing oil dependence and emissions.

 

Inside the Issue

Afghanistan's lithium deposits that could supply EV batteries, reshape mining, and advance a shift to clean energy.

  • Survey suggests near $1 trillion in Afghan mineral wealth
  • Key feedstock for lithium-ion and next-gen lithium-air batteries
  • EV and hybrid demand drives rapid battery manufacturing growth

 

Lithium is not much to look at. It's a soft and light, silver-white metal known for its use in mood stabilizing drugs. But the 25th most abundant element on earth could, one day, help cure the world of its addiction to oil - as a key ingredient in batteries.

 

U.S. geologists released the results of a survey showing around a trillion dollars worth of minerals in Afghanistan, which could make the war-ravaged state "the Saudi Arabia of lithium", according to a Pentagon memo.

But mining and technology firms have long been looking at lithium, where the geopolitics of car batteries shape investment, through eyes lit with dollar signs.

Lithium-based batteries are used in everything from mobile phones and laptops, to iPods and iPads, as well as military and medical hardware. They have even made their way into the human body, powering pacemakers.

But the main reason companies are betting on lithium is the projected explosion in the number of electric and hybrid electric vehicles, where lithium batteries are key for plug-in cars to adoption.

Nissan, Honda and Toyota are among carmakers now gambling that electric vehicles, with their zero tailpipe emissions, will catch on amid challenges of the electric age and start to drive traditional gas-guzzlers off the road.

All will need batteries, and the Volt's battery advances highlighted that reality across the industry. Lots of batteries.

Lithium-ion rechargeable batteries, and potentially new batteries such as lithium-air, are seen as the best option by many manufacturers over other battery types as they are lightweight and efficient, and can hold more power.

Subbu Bettadapura, Malaysia-based associate director of energy research company Frost and Sullivan, says the battery market is set to grow massively.

The lithium-ion battery market for electric and hybrid vehicles is, he says, conservatively estimated to be set to grow from 2,400 units in 2008 to 1.53 million units by 2015.

"The tide is definitely going out on oil, in the long run," he told AFP. "The world's dependence on oil will decline and will be replaced by other fuels, such as lithium-ion batteries."

The US, the world's second biggest polluter after China, clearly agrees.

President Barack Obama has said he wants a million hybrid electric cars on America's roads by 2015.

And, at a groundbreaking ceremony for a new lithium-ion battery plant on Monday, Vice President Joe Biden said such factories represent a hope for U.S. manufacturing that could reduce US dependence on foreign oil and prevent disasters like the Deepwater Horizon oil leak in the Gulf of Mexico.

"This is the beginning of a revolution in the production of energy in the country," said Biden at the ceremony for Dow Kokam's plant in Midland, Michigan, which will make batteries for 60,000 electric vehicles a year.

Japanese, Chinese and South Korean manufacturers dominate the lithium-ion battery market, and Asia-Pacific lithium mining projects are coming thick and fast.

Australian mining firm Orocobre signed a deal in January with the raw materials arm of motor giant Toyota for a lithium project in Argentina.

This month, a South Korean consortium launched a lithium exploration joint-project with a Canadian mining firm, also in Argentina. There are several other deals either signed or in the pipeline.

Galaxy Resources, an Australian mining and chemicals company, will soon commission the world's second largest spodumene — a source of raw lithium – mine in Western Australia, to be processed at its plant in China.

Oil may have had its day, says Anand Seth, Galaxy's marketing chief, but it will be around for a long time yet.

"Is it the end of oil? I wish!" he told AFP. "But it is not so simple and probably not in our lifetime.

"The lithium batteries for electric vehicles are very much in the nascent stage and need vast improvement as the infrastructure to charge these batteries needs to be developed and installed.

"The next five years with better batteries five years off will be critical in establishing such infrastructure for recharging the batteries and the technology and standardization of batteries is also very important."

 

Related News

Related News

Canada's Ambitious Electric Vehicle Goals

Canada 2035 Gasoline Car Ban accelerates EV adoption, zero-emission transport, and climate action, with charging…
View more

India is now the world’s third-largest electricity producer

India Electricity Production 2017 surged to 1,160 BU, ranking third globally; rising TWh output with…
View more

India Electricity Prices are Spiking

India spot electricity prices surged on Q3 demand, lifting power tariffs in the spot market…
View more

National Grid warns of short supply of electricity over next few days

National Grid power supply warning highlights electricity shortage risks amid low wind output, generator outages,…
View more

Hydro One deal to buy Avista receives U.S. antitrust clearance

Hydro One-Avista Acquisition secures U.S. antitrust clearance under Hart-Scott-Rodino, pending approvals from state utility commissions,…
View more

Net-Zero Emissions Might Not Be Possible Without Nuclear Power

Nuclear Power for Net-Zero Grids anchors reliable baseload, integrating renewables with grid stability as solar,…
View more

Sign Up for Electricity Forum’s Newsletter

Stay informed with our FREE Newsletter — get the latest news, breakthrough technologies, and expert insights, delivered straight to your inbox.

Electricity Today T&D Magazine Subscribe for FREE

Stay informed with the latest T&D policies and technologies.
  • Timely insights from industry experts
  • Practical solutions T&D engineers
  • Free access to every issue

Live Online & In-person Group Training

Advantages To Instructor-Led Training – Instructor-Led Course, Customized Training, Multiple Locations, Economical, CEU Credits, Course Discounts.

Request For Quotation

Whether you would prefer Live Online or In-Person instruction, our electrical training courses can be tailored to meet your company's specific requirements and delivered to your employees in one location or at various locations.