Latest Update in the SMM Lithium Battery Cathode Precursor and Material Market

In April 2024, South Korea's total export volume of ternary cathode materials (NCM+NCA) was 19,000 mt, down 25% YoY.

Mining and production costs are significant factors in determining lithium prices. Extracting lithium from the earth is an intensive process that involves considerable expenses, including labor, equipment, and energy. The cost of production varies based on the method used—lithium can be mined from hard rock or extracted from brine salts. Each method requires different technologies and incurs varying costs. Additionally, environmental regulations and the geographical location of the mines also play a critical role in shaping production expenses.

Lithium, a unique element in the periodic table, has been known and utilized by humans for various purposes long before its prominence in the energy sector. Initially, lithium salts found applications in psychiatric medicine to treat mood disorders. The metal's lightweight and highly reactive properties soon made it valuable in other sectors, including the production of lubricating grease, glass, and ceramics. Its high energy density, electrochemical potential, and low atomic weight laid the foundation for its future role in energy storage solutions.

SEOUL, June 18, 2024 – POSCO Holdings Inc. is pursuing further lithium deals in Argentina and Chile to secure resources crucial for electric vehicle (EV) batteries.

On 17 June, Australia's Leo Lithium received conditional approval from the Malian government to sell its remaining 40% stake in Mali Lithium BV to China's Ganfeng Lithium for $343 million.

On 19 June, Sociedad Quimica y Minera de Chile S.A. (SQM), the world's second-largest lithium producer, announced a long-term supply agreement with Hyundai Motors and Kia Corporation.

Last week, the average spot price of domestic battery-grade manganese sulfate was around 6,350 yuan/mt.

On June 19, SMM battery-grade nickel sulphate index price was 30,512 yuan/mt, down 287 yuan/mt from the previous working day.