The demand for batteries for electric cars is expected to increase significantly in the coming years. This will also drive up the demand for lithium.
Forecasts project a need of approximately 3,000 gigawatt hours by the year 2030, indicating a rapid growth. In 2022, the lithium market was in a deficit. However, in 2023, there was a significant surplus of lithium, leading to a drop in prices. Now, it appears that inventories in downstream sectors are starting to deplete again. Additionally, there are mine cutbacks, which are pushing the price of lithium back up. According to forecasts, lithium supply from mines is expected to increase by over 16 percent annually from 2023 to 2028. At the same time, demand is forecasted to grow by more than 19 percent annually. Therefore, a lithium deficit is expected to occur again in a few years.
In terms of US dollars, the lithium market is projected to grow from approximately $22 billion in 2023 to around $134 billion in 2032. The rise of electric vehicles is unstoppable. For instance, Stellantis CEO for Europe, Uwe Hochgeschurtz, expects that from 2030 onwards, the fourth-largest automotive group on Earth will only sell electric vehicles. A major German automaker plans to offer an electric vehicle for around €20,000 starting in 2027.
Investment is also flowing into the hydrogen industry. Seven EU countries, including Germany, are supporting this industry with €1.4 billion. Thirteen different projects are slated to receive funding. Private investments are also significant, focusing on high-performance fuel cell technology for ships and trains, as well as hydrogen tanks specifically designed for aircraft. Hydrogen, especially green hydrogen, is a hopeful solution for the energy transition.
With a focus on battery metals and lithium, Sibanye-Stillwater - https://www.commodity-tv.com/ondemand/companies/profil/sibanye-stillwater-ltd/ - is expanding its business scope. The company produces Gold and PGM metals in the USA and South Africa.
Targa Exploration - https://www.commodity-tv.com/ondemand/companies/profil/targa-exploration-corp/ - is solely dedicated to the Lithium resource with its projects in the provinces of Quebec, Ontario, Manitoba, and Saskatchewan.
For current company information and press releases from Sibanye-Stillwater (- https://www.resource-capital.ch/de/unternehmen/sibanye-stillwater-ltd/ -).
According to §34 WpHG, I would like to point out that partners, authors, and employees may hold shares in the companies mentioned, creating a potential conflict of interest. No guarantee is provided for the translation into German. Only the English version of this news is valid.
Disclaimer: The information provided does not constitute any recommendation or advice. The risks involved in securities trading are expressly pointed out. No liability can be assumed for damages resulting from the use of this blog. I would like to emphasize that stocks and especially option investments are generally associated with risks. The total loss of the capital invested cannot be ruled out. All information and sources are carefully researched. However, no guarantee is given for the correctness of all content. Despite the greatest care, errors, especially in terms of numerical data and prices, are expressly reserved. The information contained comes from sources considered reliable but does not claim to be correct and complete. Due to judicial judgments, the content of linked external pages may also be responsible (including, among others, the Hamburg Regional Court, in the judgment of May 12, 1998 - 312 O 85/98), as long as no explicit distancing from these contents occurs. Despite careful content control, no liability is assumed for the content of linked external pages. The respective operators are solely responsible for their content. The disclaimer of Swiss Resource Capital AG also applies additionally: https://www.resource-capital.ch/de/disclaimer-agb/.
Forecasts project a need of approximately 3,000 gigawatt hours by the year 2030, indicating a rapid growth. In 2022, the lithium market was in a deficit. However, in 2023, there was a significant surplus of lithium, leading to a drop in prices. Now, it appears that inventories in downstream sectors are starting to deplete again. Additionally, there are mine cutbacks, which are pushing the price of lithium back up. According to forecasts, lithium supply from mines is expected to increase by over 16 percent annually from 2023 to 2028. At the same time, demand is forecasted to grow by more than 19 percent annually. Therefore, a lithium deficit is expected to occur again in a few years.
In terms of US dollars, the lithium market is projected to grow from approximately $22 billion in 2023 to around $134 billion in 2032. The rise of electric vehicles is unstoppable. For instance, Stellantis CEO for Europe, Uwe Hochgeschurtz, expects that from 2030 onwards, the fourth-largest automotive group on Earth will only sell electric vehicles. A major German automaker plans to offer an electric vehicle for around €20,000 starting in 2027.
Investment is also flowing into the hydrogen industry. Seven EU countries, including Germany, are supporting this industry with €1.4 billion. Thirteen different projects are slated to receive funding. Private investments are also significant, focusing on high-performance fuel cell technology for ships and trains, as well as hydrogen tanks specifically designed for aircraft. Hydrogen, especially green hydrogen, is a hopeful solution for the energy transition.
With a focus on battery metals and lithium, Sibanye-Stillwater - https://www.commodity-tv.com/ondemand/companies/profil/sibanye-stillwater-ltd/ - is expanding its business scope. The company produces Gold and PGM metals in the USA and South Africa.
Targa Exploration - https://www.commodity-tv.com/ondemand/companies/profil/targa-exploration-corp/ - is solely dedicated to the Lithium resource with its projects in the provinces of Quebec, Ontario, Manitoba, and Saskatchewan.
For current company information and press releases from Sibanye-Stillwater (- https://www.resource-capital.ch/de/unternehmen/sibanye-stillwater-ltd/ -).
According to §34 WpHG, I would like to point out that partners, authors, and employees may hold shares in the companies mentioned, creating a potential conflict of interest. No guarantee is provided for the translation into German. Only the English version of this news is valid.
Disclaimer: The information provided does not constitute any recommendation or advice. The risks involved in securities trading are expressly pointed out. No liability can be assumed for damages resulting from the use of this blog. I would like to emphasize that stocks and especially option investments are generally associated with risks. The total loss of the capital invested cannot be ruled out. All information and sources are carefully researched. However, no guarantee is given for the correctness of all content. Despite the greatest care, errors, especially in terms of numerical data and prices, are expressly reserved. The information contained comes from sources considered reliable but does not claim to be correct and complete. Due to judicial judgments, the content of linked external pages may also be responsible (including, among others, the Hamburg Regional Court, in the judgment of May 12, 1998 - 312 O 85/98), as long as no explicit distancing from these contents occurs. Despite careful content control, no liability is assumed for the content of linked external pages. The respective operators are solely responsible for their content. The disclaimer of Swiss Resource Capital AG also applies additionally: https://www.resource-capital.ch/de/disclaimer-agb/.
