Lithium News

The world’s largest lithium producers told a major industry conference this week they remain bullish on long-term demand for the electric vehicle battery metal despite the recent price plunge that has forced layoffs and curtailed expansions.

Once a niche metal used primarily in ceramics and pharmaceuticals, lithium demand has grown rapidly over the past decade. But oversupply from China and a softening of aggressive EV adoption rates has dragged lithium prices down more than 80% in the last year.

The mood at the Fastmarkets Lithium Supply and Battery Raw Materials Conference in Las Vegas, the world’s largest, reflected a cautious hope among attendees that the industry can meet an expected demand jump later this decade as EVs and battery storage technologies grow more popular.

The conference had roughly 1,100 attendees, in line with last year and nearly triple 2019 levels, organizers said.

“We’re really focused on the fundamentals of the underlying business,” said Patrick Howarth, head of Exxon’s lithium division, which announced at the conference it would expand its lithium production plans in Arkansas. “We’re not scared off by low prices, and we’re not drawn in by high prices.”

Fastmarkets data show, for example, that US demand for lithium will increase 29% each year through 2030, with jumps also expected throughout the rest of the world.

“Critical minerals are the oil and gas of our energy future,” Ashley Zumwalt-Forbes, the US Energy Department’s deputy director for batteries and critical materials, told the conference.

Zumwalt-Forbes oversees a US government grant program for the critical minerals supply chain and said she was eager to have more lithium companies apply for funding.

The demand projections helped offset the somber mood that has permeated the industry in recent months after layoffs from Lake Resources, Albemarle and others.

“For those of us that are worried about the market sentiments at this moment in time, keep your eye on the long-term trajectory,” said Dale Henderson, CEO of Australian lithium miner Pilbara Minerals.

Global lithium mine supply was more than 1 million metric tons last year, a figure expected to more than double by 2026 largely due to expansions in Africa, China and Australia, according to Fastmarkets data. Yet producers warned that unless prices rise, that supply is unlikely to be available.

“We’re going to be measured and judged in how we react to prices and supply the market,” said Sarah Maryssael, chief strategy officer for Arcadium Lithium, which has development projects across the globe.

Albemarle, the world’s largest lithium producer, started the conference with a stark warning about “concerning” lithium prices, but then mapped out a plan to auction off supplies of its metals to the highest bidder and struck a hopeful tone on demand later this decade.

“I’m not worried about demand,” said Eric Norris, head of Albemarle’s energy storage business. “Ideally it’d be in the US. But if it’s not in the US, no doubt there’ll be demand elsewhere.”

Lithium-ion batteries are becoming more and more popular in many household products, which makes it important that you’re taking proper care of these batteries.

The Sioux Falls Fire Department is reminding people to take proper care of their lithium-ion batteries.

“They say to treat your e-bikes like you would your cell phone,” Amanda Mitchell, Sales Manager for Sioux Falls Bicycle Company said.

If you have a lithium-ion battery, make sure to use the charger that came with the battery. Take the battery off the charger when it’s charged, and store the battery in a cool and dry place.

Otherwise, these batteries can be a danger to you and your home.

“Fires can happen, they can overheat, if they’re overcharged the batteries can overheat and that creates thermal runway which is a chemical process that’s a domino effect within the lithium-ion batteries and they can smoke and it can turn into a fire or an explosion,” Kyle Blakeslee said.

Lithium-ion batteries are becoming more and more popular, particularly with the growth of electronic bikes, one local bicycle store says they’re starting to become a big part of their sales.

“I would say probably a good 40% of our sales are e-bike related, whether that’s purchasing a new e-bike or parts, equipment, accessories,” Mitchell said.

Mitchell also says to make sure you get batteries from a trusted company.

Some of those companies include:

• Bosch
• Shimano
• Bafang
• Hyena
• TQ
• Fazua

The world’s largest EV battery maker is powering up something even bigger. CATL successfully tested a 4-ton electric plane powered by its ultra-high energy density battery. By 2028, CATL expects to reveal an 8-ton civil electric aircraft with around 1,200 to 1,800 miles (2,000 to 3,000 km) range.

After revealing its new Condensed Battery at the Auto Show in Shanghai last April, we knew CATL was up to something big.

With up to 500 Wh/kg energy density in a single cell, twice that of the average EV, CATL said it’s “opening up a brand-new electrification scenario of passenger aircraft.”

CATL has been working with partners like Commercial Aircraft Corporation of China (COMAC) to develop the electric plane. Last summer, CATL set up an aviation unit to design and develop civil aircraft and components like engines and propellers.

According to the most recent news, CATL is already making swift progress. The company successfully completed a 4-ton electric aircraft test flight as work on longer-range models is advancing.

CATL announced Tuesday that it expects to introduce an 8-ton commercial electric aircraft in 2027 or 2028 with a standardized range of around 1,200 to 1,800 miles (2,000 to 3,000 km).

CATL advances long-range electric plane

Robin (Zeng) Yuqin, chairman of CATL, revealed the news at the 15th Annual Meeting of the New Champions of the World Economic Forum (Summer Davos Forum) in China.

Zeng confirmed the electric plane will use CATL’s Condensed Battery. CATL’s high-density batteries are powerful enough for long-range flight, “making them feasible for private and business jets,” Zeng said.

CATL’s chairman also revealed the company is working on next-gen sodium-ion batteries with lower costs, life, and cold performance. These batteries could be launched as early as next year. According to Zeng, on CATL’s 1 to 10 scoring system, the new batteries are already at a 7.

Meanwhile, CATL continues dominating the EV battery market this year. According to South Korean research firm SNE Research, CATL accounted for over 37% of the market through the first four months of 2024. China’s BYD was second with a 15.4% share.

With clients including Tesla, BMW, Mercedes-Benz, Volkswagen, and many others, CATL is expected to continue expanding.

To accelerate growth, CATL wants to add two more overseas plants to the six planned in Germany, Thailand, Hungary, Indonesia, and two in the US (with Ford and Tesla).

Professor Soojin Park, Seoha Nam, a Ph.D. candidate, and Dr. Hye Bin Son from the Department of Chemistry at Pohang University of Science and Technology (POSTECH) have achieved a breakthrough in creating a gel electrolyte-based battery that is both stable and commercially viable. Their research was published in the journal Small.

Lithium-ion batteries are extensively utilized in portable electronics and energy storage, including electric vehicles. However, the liquid electrolytes used in these batteries pose a significant risk of fire and explosion, prompting ongoing research efforts to find safer alternatives.

One alternative is the semi-solid-state battery, which represents a middle ground between traditional lithium-ion batteries with liquid electrolytes and solid-state batteries. By using a gel-like electrolyte, these batteries offer enhanced stability, energy density, and a relatively longer lifespan.

Creating gel electrolytes typically involves a prolonged heat treatment at high temperatures, which can degrade the electrolyte, leading to diminished battery performance and increased production costs. Additionally, the interface resistance between the semi-solid electrolyte and the electrode poses a challenge in the fabrication process.

Previous studies have encountered limitations in applying their findings directly to current commercial battery production lines due to complex fabrication methods and issues with large-scale applications.

Professor Soojin Park’s team tackled these challenges using a bifunctional cross-linkable additive (CIA), dipentaerythritol hexaacrylate (DPH), combined with electron beam (e-beam) technology.

The conventional pouch-type battery manufacturing process includes the electrode preparation, electrolyte injection and assembly, activation, and degassing steps. However, the researchers enhanced DPH’s dual functionality by simply introducing an additional e-beam irradiation step after the degassing process.

The CIA acted as both an additive to facilitate a stable interface between the anode and cathode surfaces during activation and as a crosslinker to form a polymer structure during the e-beam irradiation process.

The team’s pouch-type battery, employing a gel electrolyte, significantly reduced gas generation from battery side reactions during initial charging and discharging processes, achieving a 2.5-fold decrease compared to conventional batteries. Furthermore, it effectively minimized interfacial resistance due to strong compatibility between electrodes and the gel electrolyte.

Subsequently, the researchers developed a high-capacity battery of 1.2 Ah (ampere-hour) and tested its performance at 55 degrees Celsius, an environment that accelerates electrolyte decomposition. In this condition, batteries using conventional electrolytes experienced substantial gas generation, leading a rapid reduction in capacity with swelling of the battery after 50 cycles.

In contrast, the team’s battery showed no gas generation and maintained a 1 Ah capacity even after 200 cycles, demonstrating its enhanced safety and durability.

This research is particularly significant because it enables both the safety and commercial viability of gel electrolyte-based batteries to be rapidly mass-produced within existing pouch battery production lines.

Professor Soojin Park of POSTECH said, “This achievement in stability and commercial viability is poised to be a breakthrough in the electric vehicle industry. We hope this advancement will greatly benefit not only electric vehicles but also a wide range of other applications that rely on lithium-ion batteries.”

China’s Yahua Industrial Group has secured a new order from Tesla for its supply of lithium carbonate, a key raw material for the production of electric vehicle batteries.

Under the purchase agreement dated June 19, Yahua — through its subsidiary Yahua Lithium Ya’an — will supply an unspecified amount of lithium carbonate to Tesla between 2025 and 2027. There is also an option to extend by another year.

The price of lithium carbonate will be determined in accordance with the method agreed upon by the two parties, the agreement reads.

Currently, there is an existing contract signed for Yahua to supply 63,000 to 88,000 tonnes of lithium hydroxide to Tesla from 2021-2025, with a total value of $880 million. In August of last year, the parties extended the contract by 7.5 years for a larger supply of 207,000 to 301,000 tonnes.

By the end of 2023, Yahua had already provided 5.8 billion yuan ($799 million) of lithium products to the US carmaker, according to the group’s annual trading report.

The Sichuan-based Yahua, which mainly manufactures and sells industrial explosives, is heavily involved in the EV battery space and is one of the first in China to produce lithium hydroxide. It currently has established partnerships with Contemporary Amperex Technology Ltd., the largest battery maker in the world, as well as South Korea’s LG and SK On.

The group also has investments in multiple lithium mining projects around the globe, led by the Kamativi mine in Zimbabwe, which has already begun outputting the battery material and is expected to reach full production this year.

It also has offtake agreements with lithium miners including Vancouver-based Sigma and Australia’s Pilbara Minerals.