PRESS

If you thought lithium was exciting, try the super-hot metal story of 2017

Andy Home - The Globe and Mail - April 10, 2017

Lithium was the super-hot metals story of 2016. A spectacular price rally propelled lithium out of the metallic shadows onto the global investment stage. This year it is the turn of cobalt. The price of cobalt traded on the London Metal Exchange (LME) has exploded from $33,000 per ton to $55,000 since the start of January. This time last year, the price was bombed out at multi-year lows below $25,000 per ton. As with lithium, cobalt’s story is all about batteries and the green technology revolution. The lithium-cobalt battery is already standard in many electronic applications and both metals are expected to see usage accelerate thanks to the rapidly evolving electric vehicle and grid storage sectors. READ MORE

 

The rush for cobalt in Cobalt, Ont: Mining companies snap up land in the north

Marina von Stackelberg - CBC News  - Mar 25, 2017

There's an old school gold rush underway in northern Ontario, but the demand is for a special metal that is used in everything from smart phones to electric cars. More than a dozen mining companies are staking out claims in Cobalt, Ont. as price of the mineral with the same name rises, according to the Northern Prospectors Association. READ MORE

 

Tech giants pledge to keep children out of cobalt mines that supply smartphone and electric-car batteries

Peter Whoriskey and Todd C. Frankel  - The Washington Post  - Dec 20, 2016

Separate groups of the world’s leading technology companies are launching two initiatives to curb “the worst forms of child labor” and other abusive practices in the supply chain for cobalt, a key ingredient in lithium-ion batteries that power smartphones, laptops and electric cars. READ MORE

 

Cobalt in Canada and Europe

Michael Schuss  - Investing News  - Dec 8, 2016

Cobalt has recently come to the forefront of the materials used to make lithium batteries. While the lithium and graphite stories are well known, those materials are, in comparison to cobalt, plentiful and easy to process. There are no pure cobalt mines, only copper and nickel mines relatively enriched in cobalt to make it viable to recover it as a by-product. The large nickel copper complexes such as Sudbury, Norilsk and the copper–cobalt deposits in Central Africa really are dependent on buoyant prices for copper and nickel to determine how much cobalt will be produced in the end. The cobalt produced is also the net result of a complex smelting and refining process to produce sellable copper and nickel. These huge complexes require a large and long life copper/nickel deposit to support its large capex and long amortization period. READ MORE

 

Tesla's Evolving Cobalt Nightmare

John Petersen - Seeking Alpha  - Nov 30, 2016

Over the last 10 years, we've been deluged with news stories and investment analyses extolling the virtues of electric vehicles, or EVs, powered by high energy lithium-ion batteries. The stories pontificate on theoretical environmental benefits and speculate on how EVs could forever change the world's energy landscape. While the occasional realist questions the availability of enough lithium to satisfy soaring battery industry demand, everybody overlooks or ignores the more critical mineral constraint - cobalt. It's a gargantuan challenge. A veritable Gigarisk! READ MORE

 

VITAL METALS TO SUSTAIN AN URBANIZING PLANET (PDF)

Robert Friedland - Clean Teq  - Nov 28, 2016

In 2007, the people on earth crossed a historic divide. There was no Big Bang in the middle of the night. But, say UN number crunchers, 1007 is when we first had more people around the planet living in urban areas than in rural areas. Get used to it. Our world is gaining about 83 million people every year. By 2030, Earth will have a projected 8.5 billion people. About 5 billion are expected to live in urban areas. READ MORE

 

Cobalt Is Keeping Battery Makers Awake At Night

Sebastien Gandon - seekingalpha.com  - Nov 18, 2016

A new era. The next decade is poised to see a major revolution in energy storage and transportation. As often the case with major technological disruptions, a new supply chain is emerging and the development of reliable sources of raw material become critical. Electric Vehicles (EVs) in particular need batteries to maintain power and downstream players are just starting to fully appreciate the supply chain for critical rare minerals. Lithium received much of the media attention in recent years, but Cobalt is the one keeping battery makers awake at night. READ MORE

 

Minor Metal – Major Impact

Stockhouse Editorial  - Nov 4, 2016

Humans have been producing the major metals for thousands of years. Gold, copper, silver, iron ... the big hitters. The “minor metals” are those that have relatively small global production, and are primarily a by-product of a base metal. No one would be surprised to hear that tellurim, for example, is a minor metal. A by-product of gold, lead or copper mining, global production of tellurim is a miniscule 220 tonnes a year. READ MORE

 

AcTivists attack cobalt supply

Cecilia Jamasmie - mining.com  - Oct 28, 2016

Activists in the Democratic Republic of Congo are pressing the government to revive plans for a new mining code, claiming the country, which is Africa’s top copper producer and the world’s largest source of cobalt, needs the higher revenues a revised legislation would generate. Congo began reviewing the 2002 mining code in 2012 and last year it proposed hiking profit taxes to 35% from 30%, raising the state’s free share of new mining projects to 10% from 5% and royalties on copper and cobalt revenue to 3.5% from 2%. READ MORE

 

The Cobalt Supply Crunch Is Coming

Palisade Research  - Oct 20, 2016

Cobalt is already in a deficit.  Looking at the state of current cobalt production, there is not enough supply to satiate the coming green revolution. There are no large scales copper or nickel projects with cobalt by-products poised to break ground in the near future, it will be up to the Democratic Republic of the Congo to shoulder the burden of the supply load moving forward. There is nowhere for cobalt to go but up. READ MORE

 

Germany calls for a ban on combustion engine cars by 2030

Jon Fingas, engadget  - Oct 8, 2016

Germany isn't content with relying on financial incentives to usher in an era of pollution-free cars. The country's Bundesrat (federal council) has passed a resolution calling for a ban on new internal combustion engine cars by 2030. From then on, you'd have to buy a zero-emissions vehicle, whether it's electric or running on a hydrogen fuel cell. This isn't legally binding, but the Bundesrat is asking the European Commission to implement the ban across the European Union... and when German regulations tend to shape EU policy, there's a chance that might happen. READ MORE

 

Talking Mines and Money With Rick Rule and Frank Holmes

Jeff Nielson, Stockhouse  - Sept 26, 2016

The UK-based Mines and Money show is now in its 13th year of operation. For the first time; the show is coming to North America, specifically Toronto. For a lot of Canadian mining companies, the timing couldn’t be better. The event bills itself as the place “where mining deals get done.” With the mining sector coming back to life after five very tough years, there is a lot of pent-up energy among companies in this sector to move forward on projects and/or reorganize their balance sheets. READ MORE

 

Jon Hykawy on the Cobalt Shortage

Greg Klein - Sept 16, 2016

Making its Western Hemisphere debut in Toronto from September 26 to 28, Mines and Money kicks off with a full day dedicated to battery metals. That would seem to cast a resoundingly positive vote in lithium’s boom-or-bubble debate. But while conference speaker Jon Hykawy sees an enduring case for the celebrated commodity, he counsels investors to tread carefully. READ MORE

 

Why Lithium Isn’t the Big Worry for Lithium-Ion Batteries

Jason Deign Greentech Media - June 23, 2015

Lithium-ion battery production is more likely to be constrained by cobalt or nickel supplies than by lithium availability, experts believe. Li-ion battery makers use both metals in greater quantities than lithium, which has been the subject of significant supply concerns as battery production ramps up. In fact, none of these minerals are worryingly scarce in nature. READ MORE

 

What's in your smartphone? Watch out for the next ‘conflict minerals'

Katy Marnato CNBC - August 29, 2016

Leonardo DiCaprio's 2006 movie "Blood Diamond" shed light on the sometimes dubious origins of luxury goods. The movie highlighted increasing concern about human rights violations in the supply chain and the diamond industry has been put under pressure to eliminate minerals of unknown or dubious sources. Now, attention is shifting to metals and other commodities that are mined using child or slave labor, or in dangerous conditions. READ MORE

 

COBALT PRICE GAINS BEGIN, H2 SURGE LIKELY

Benchmark Mineral Intelligence - August 24, 2016

Tightening supply and growing demand has finally sparked the beginning of a recovery in cobalt prices which is likely to escalate throughout H2 2016. Increases of between $0.5-$1.5/lb have been reported across the market, led by price hikes in China at the start of the August as suppliers scaled down their efforts to destock.  READ MORE

 

LEARN MORE ABOUT COBALT INVESTING & PROPERTIES

Investing News

Take a moment to read through these articles to gain a better understanding of the current and ongoing  state of the cobalt industry.  READ MORE

 

Global Shortage of Cobalt (PDF - page 52)

Resource World  - August/September 2016

Energy-related metals, specifically lithium, have been attracting market attention in recent months as the lithium-ion battery market expands due to developments in the electric vehicle and stationary storage markets. The specialty metal cobalt is also critical for the production of lithium-ion batteries. READ MORE

 

Cobalt prices spike by 5%

Mark Burton - August 01, 2016

Metal Bulletin’s low-grade cobalt prices rallied by as much as 5.5% in the week ended July 29 as unseasonably strong consumer enquiries and news that Ambatovy will miss production targets encouraged sellers to target higher prices. READ MORE

 

COBALT SUPPLY TIGHTENS AS BATTERY DEMAND LOOMS

Benchmark Mineral Intelligence - July 14, 2016

Political tensions amidst the wider slump in global commodity markets, look set to continue the onslaught on cobalt production in the Democratic Republic of Congo (DRC) moving into H2 2016. Cobalt production in the DRC, home to over 60% of the world’s mined output, is estimated to have fallen by over 20% in Q1 2016 in reaction to falling copper prices. READ MORE

 

Trouble Looming for Congo Miners

Jocelyn Aspa - July 7, 2016

Things aren’t looking good in the Democratic Republic of the Congo’s mining industry. In June, the country’s chamber of mines announced the loss of 3,000 direct and at least 10,000 subcontractor jobs. A mining conference in Lubumashi had government officials and mining CEOs rally together to figure out how to save a failed copper mine. So, what exactly is going on in the Congo? Last September, Glencore‘s (LSE:GLEN) Katanga copper mine, which is one of the Congo’s biggest, announced an 18-month suspension. It hasn’t even been a year yet, and analysts are already expecting an extension, according to Reuters. READ MORE

 

ALPHANORTH FUND REVIEW - GREEN SWAN CAPITAL (PDF)

AlphaNorth - June 30, 2016

Fund Review The Fund returned 4.4% in June. In comparison, the TSX Venture index and TSX Total Return index returned 7.7% and 0.3% respectively during the month. The strong gains for the TSX Venture index have been lead primarily by the precious metal sector which has rebounded strongly from very depressed levels. READ MORE

 

Power Up! Dundee's Lithium and Electric Metals Conference Lithium, Graphite, Cobalt and LeaD (PDF)

Dundee Capital Markets - June 28, 2016

Lithium, graphite, cobalt and lead are key components required for the emerging battery boom. Battery grade raw material supply lags demand and prices have started to rise in response, as demonstrated by the recent 47% surge in lithium prices over the last year. This supply/demand imbalance is set to intensify with construction of up to 12 new mega-factories which is forecasted to triple battery manufacturing capacity by 2020. As the supply shortage for raw materials persists, competition between manufacturers to secure supply should intensity. With little new lithium, graphite, cobalt and lead production on the horizon, emerging and near-term developers are well-positioned to benefit. READ MORE

 

Battery-conscious hedge funds buy cobalt metal, look for more

Metalbulletin - June 27, 2016

Hedge funds and other private investors have bought cobalt metal in anticipation of higher prices as a result of expected stronger demand for batteries for electric vehicles, which contain cobalt, physical traders told Metal Bulletin this week. READ MORE

 

Petersen critiques Tesla’s cobalt, lithium and graphite disclosure for EV batteries

InvestorIntel - May 20, 2016

It’s been a fascinating week as one of my readers forwarded copies of a May 12 Commodities Comment from Macquarie Wealth Management that focused on China’s recent efforts to shore up its cobalt supply chains and a May 16 report from Morgan Stanley that focused on expected growth in global demand for lithium, graphite, cobalt, and copper from the electric vehicle (EV) and lithium-ion battery sectors. READ MORE

 

China aggressively acquiring gold, copper and cobalt assets

InvestorIntel - May 16, 2016

China Molybdenum (CMOC) has long earned its reputation as a highly acquisitive company. In 2015, it made its intentions known that it would pump around $2bn into acquiring mining assets outside of China. Traditionally a molybdenum and tungsten producer, CMOC has targeted copper in recent years, paying $820m for Rio Tinto’s Northparkes copper mine in New South Wales in 2013 and bidding for Barrick’s Zadivar mine in 2015. READ MORE

 

Farquharson confirms coming cobalt deficit, outlines Formation’s mine timeline

InvestorIntel - May 5, 2016

Formation Metals Inc. (TSX: FCO | OTCQX: FMETF | FWB: FOQ) ) is a Canadian mineral exploration and mine development company that through its wholly owned subsidiaries has interests in base and precious metals and uranium projects in Canada, United States and Mexico. The company’s primary asset, located in the mining friendly state of Idaho, is the 100% owned, fully-permitted Idaho Cobalt Project which is comprised of the mine and mill near Salmon, Idaho, and the proposed Cobalt Production Facility for refining mine concentrate. The mine site is now prepared to commence underground development contingent on successful conclusion of mine financing. READ MORE

 

John Petersen on the cobalt crisis — and what is wrong with EVs and battery technology

InvestorIntel - April 27, 2016

Lithium-ion battery and battery storage expert John Petersen this year created something of a sensation on InvestorIntel by putting his finger on a critical problem: there is not enough cobalt available to meet the demand from the growing lithium-ion battery industry. The key point is that just 6% of cobalt comes from primary production, the rest coming as a by-product of nickel and copper mining. If those latter mines are mothballed due to low prices, consequently that cobalt by-product disappears. “Without cobalt they can’t make their batteries,” he says. READ MORE

 

Cheap Lithium-ion Batteries for EVs vs. The Cobalt Cliff

InvestorIntel - April 15, 2016

Since early March I’ve written five articles that focus on supply and demand dynamics in the cobalt mining sector and explain why I believe the lithium-ion battery industry is facing a raw materials shortage of epic proportions. Today I’ll drill down into market dynamics within the lithium-ion battery industry and explain why I believe cheap lithium-ion batteries for electric vehicles (EVs) will be the first casualties of the Cobalt Cliff. READ MORE

PRESS

If you thought lithium was exciting, try the super-hot metal story of 2017

Andy Home - The Globe and Mail - April 10, 2017

Lithium was the super-hot metals story of 2016. A spectacular price rally propelled lithium out of the metallic shadows onto the global investment stage. This year it is the turn of cobalt. The price of cobalt traded on the London Metal Exchange (LME) has exploded from $33,000 per ton to $55,000 since the start of January. This time last year, the price was bombed out at multi-year lows below $25,000 per ton. As with lithium, cobalt’s story is all about batteries and the green technology revolution. The lithium-cobalt battery is already standard in many electronic applications and both metals are expected to see usage accelerate thanks to the rapidly evolving electric vehicle and grid storage sectors. READ MORE

 

The rush for cobalt in Cobalt, Ont: Mining companies snap up land in the north

Marina von Stackelberg  - CBC News  - Mar 25, 2017

There's an old school gold rush underway in northern Ontario, but the demand is for a special metal that is used in everything from smart phones to electric cars. More than a dozen mining companies are staking out claims in Cobalt, Ont. as price of the mineral with the same name rises, according to the Northern Prospectors Association. READ MORE

 

Tech giants pledge to keep children out of cobalt mines that supply smartphone and electric-car batteries

Peter Whoriskey and Todd C. Frankel  - The Washington Post  - Dec 20, 2016

Separate groups of the world’s leading technology companies are launching two initiatives to curb “the worst forms of child labor” and other abusive practices in the supply chain for cobalt, a key ingredient in lithium-ion batteries that power smartphones, laptops and electric cars. READ MORE

 

Cobalt in Canada and Europe

Michael Schuss  - Investing News  - Dec 8, 2016

Cobalt has recently come to the forefront of the materials used to make lithium batteries. While the lithium and graphite stories are well known, those materials are, in comparison to cobalt, plentiful and easy to process. There are no pure cobalt mines, only copper and nickel mines relatively enriched in cobalt to make it viable to recover it as a by-product. The large nickel copper complexes such as Sudbury, Norilsk and the copper–cobalt deposits in Central Africa really are dependent on buoyant prices for copper and nickel to determine how much cobalt will be produced in the end. The cobalt produced is also the net result of a complex smelting and refining process to produce sellable copper and nickel. These huge complexes require a large and long life copper/nickel deposit to support its large capex and long amortization period. READ MORE

 

Tesla's Evolving Cobalt Nightmare

John Petersen - Seeking Alpha  - Nov 30, 2016

Over the last 10 years, we've been deluged with news stories and investment analyses extolling the virtues of electric vehicles, or EVs, powered by high energy lithium-ion batteries. The stories pontificate on theoretical environmental benefits and speculate on how EVs could forever change the world's energy landscape. While the occasional realist questions the availability of enough lithium to satisfy soaring battery industry demand, everybody overlooks or ignores the more critical mineral constraint - cobalt. It's a gargantuan challenge. A veritable Gigarisk! READ MORE

 

VITAL METALS TO SUSTAIN AN URBANIZING PLANET (PDF)

Robert Friedland - Clean Teq  - Nov 28, 2016

In 2007, the people on earth crossed a historic divide. There was no Big Bang in the middle of the night. But, say UN number crunchers, 1007 is when we first had more people around the planet living in urban areas than in rural areas. Get used to it. Our world is gaining about 83 million people every year. By 2030, Earth will have a projected 8.5 billion people. About 5 billion are expected to live in urban areas. READ MORE

 

Cobalt Is Keeping Battery Makers Awake At Night

Sebastien Gandon - seekingalpha.com  - Nov 18, 2016

A new era. The next decade is poised to see a major revolution in energy storage and transportation. As often the case with major technological disruptions, a new supply chain is emerging and the development of reliable sources of raw material become critical. Electric Vehicles (EVs) in particular need batteries to maintain power and downstream players are just starting to fully appreciate the supply chain for critical rare minerals. Lithium received much of the media attention in recent years, but Cobalt is the one keeping battery makers awake at night. READ MORE

 

Minor Metal – Major Impact

Stockhouse Editorial  - Nov 4, 2016

Humans have been producing the major metals for thousands of years. Gold, copper, silver, iron ... the big hitters. The “minor metals” are those that have relatively small global production, and are primarily a by-product of a base metal. No one would be surprised to hear that tellurim, for example, is a minor metal. A by-product of gold, lead or copper mining, global production of tellurim is a miniscule 220 tonnes a year. READ MORE

 

AcTivists attack cobalt supply

Cecilia Jamasmie - mining.com  - Oct 28, 2016

Activists in the Democratic Republic of Congo are pressing the government to revive plans for a new mining code, claiming the country, which is Africa’s top copper producer and the world’s largest source of cobalt, needs the higher revenues a revised legislation would generate. Congo began reviewing the 2002 mining code in 2012 and last year it proposed hiking profit taxes to 35% from 30%, raising the state’s free share of new mining projects to 10% from 5% and royalties on copper and cobalt revenue to 3.5% from 2%. READ MORE

 

The Cobalt Supply Crunch Is Coming

Palisade Research  - Oct 20, 2016

Cobalt is already in a deficit.  Looking at the state of current cobalt production, there is not enough supply to satiate the coming green revolution. There are no large scales copper or nickel projects with cobalt by-products poised to break ground in the near future, it will be up to the Democratic Republic of the Congo to shoulder the burden of the supply load moving forward. There is nowhere for cobalt to go but up. READ MORE

 

Germany calls for a ban on combustion engine cars by 2030

Jon Fingas, engadget  - Oct 8, 2016

Germany isn't content with relying on financial incentives to usher in an era of pollution-free cars. The country's Bundesrat (federal council) has passed a resolution calling for a ban on new internal combustion engine cars by 2030. From then on, you'd have to buy a zero-emissions vehicle, whether it's electric or running on a hydrogen fuel cell. This isn't legally binding, but the Bundesrat is asking the European Commission to implement the ban across the European Union... and when German regulations tend to shape EU policy, there's a chance that might happen. READ MORE

 

Talking Mines and Money With Rick Rule and Frank Holmes

Jeff Nielson, Stockhouse  - Sept 26, 2016

The UK-based Mines and Money show is now in its 13th year of operation. For the first time; the show is coming to North America, specifically Toronto. For a lot of Canadian mining companies, the timing couldn’t be better. The event bills itself as the place “where mining deals get done.” With the mining sector coming back to life after five very tough years, there is a lot of pent-up energy among companies in this sector to move forward on projects and/or reorganize their balance sheets. READ MORE

 

Jon Hykawy on the Cobalt Shortage

Greg Klein - Sept 16, 2016

Making its Western Hemisphere debut in Toronto from September 26 to 28, Mines and Money kicks off with a full day dedicated to battery metals. That would seem to cast a resoundingly positive vote in lithium’s boom-or-bubble debate. But while conference speaker Jon Hykawy sees an enduring case for the celebrated commodity, he counsels investors to tread carefully. READ MORE

 

Why Lithium Isn’t the Big Worry for Lithium-Ion Batteries

Jason Deign Greentech Media - June 23, 2015

Lithium-ion battery production is more likely to be constrained by cobalt or nickel supplies than by lithium availability, experts believe. Li-ion battery makers use both metals in greater quantities than lithium, which has been the subject of significant supply concerns as battery production ramps up. In fact, none of these minerals are worryingly scarce in nature. READ MORE

 

What's in your smartphone? Watch out for the next ‘conflict minerals'

Katy Marnato CNBC - August 29, 2016

Leonardo DiCaprio's 2006 movie "Blood Diamond" shed light on the sometimes dubious origins of luxury goods. The movie highlighted increasing concern about human rights violations in the supply chain and the diamond industry has been put under pressure to eliminate minerals of unknown or dubious sources. Now, attention is shifting to metals and other commodities that are mined using child or slave labor, or in dangerous conditions. READ MORE

 

COBALT PRICE GAINS BEGIN, H2 SURGE LIKELY

Benchmark Mineral Intelligence - August 24, 2016

Tightening supply and growing demand has finally sparked the beginning of a recovery in cobalt prices which is likely to escalate throughout H2 2016. Increases of between $0.5-$1.5/lb have been reported across the market, led by price hikes in China at the start of the August as suppliers scaled down their efforts to destock.  READ MORE

 

LEARN MORE ABOUT COBALT INVESTING & Properties

Investing News

Take a moment to read through these articles to gain a better understanding of the current and ongoing  state of the cobalt industry.  READ MORE

 

Global Shortage of Cobalt (PDF - page 52)

Resource World  - August/September 2016

Energy-related metals, specifically lithium, have been attracting market attention in recent months as the lithium-ion battery market expands due to developments in the electric vehicle and stationary storage markets. The specialty metal cobalt is also critical for the production of lithium-ion batteries. READ MORE

 

Cobalt prices spike by 5%

Mark Burton - August 01, 2016

Metal Bulletin’s low-grade cobalt prices rallied by as much as 5.5% in the week ended July 29 as unseasonably strong consumer enquiries and news that Ambatovy will miss production targets encouraged sellers to target higher prices. READ MORE

 

COBALT SUPPLY TIGHTENS AS BATTERY DEMAND LOOMS

Benchmark Mineral Intelligence - July 14, 2016

Political tensions amidst the wider slump in global commodity markets, look set to continue the onslaught on cobalt production in the Democratic Republic of Congo (DRC) moving into H2 2016. Cobalt production in the DRC, home to over 60% of the world’s mined output, is estimated to have fallen by over 20% in Q1 2016 in reaction to falling copper prices. READ MORE

 

Trouble Looming for Congo Miners

Jocelyn Aspa - July 7, 2016

Things aren’t looking good in the Democratic Republic of the Congo’s mining industry. In June, the country’s chamber of mines announced the loss of 3,000 direct and at least 10,000 subcontractor jobs. A mining conference in Lubumashi had government officials and mining CEOs rally together to figure out how to save a failed copper mine. So, what exactly is going on in the Congo? Last September, Glencore‘s (LSE:GLEN) Katanga copper mine, which is one of the Congo’s biggest, announced an 18-month suspension. It hasn’t even been a year yet, and analysts are already expecting an extension, according to Reuters. READ MORE

 

ALPHANORTH FUND REVIEW - GREEN SWAN CAPITAL (PDF)

AlphaNorth - June 30, 2016

Fund Review The Fund returned 4.4% in June. In comparison, the TSX Venture index and TSX Total Return index returned 7.7% and 0.3% respectively during the month. The strong gains for the TSX Venture index have been lead primarily by the precious metal sector which has rebounded strongly from very depressed levels. READ MORE

 

Power Up! Dundee's Lithium and Electric Metals Conference Lithium, Graphite, Cobalt and LeaD (PDF)

Dundee Capital Markets - June 28, 2016

Lithium, graphite, cobalt and lead are key components required for the emerging battery boom. Battery grade raw material supply lags demand and prices have started to rise in response, as demonstrated by the recent 47% surge in lithium prices over the last year. This supply/demand imbalance is set to intensify with construction of up to 12 new mega-factories which is forecasted to triple battery manufacturing capacity by 2020. As the supply shortage for raw materials persists, competition between manufacturers to secure supply should intensity. With little new lithium, graphite, cobalt and lead production on the horizon, emerging and near-term developers are well-positioned to benefit. READ MORE

 

Battery-conscious hedge funds buy cobalt metal, look for more

Metalbulletin - June 27, 2016

Hedge funds and other private investors have bought cobalt metal in anticipation of higher prices as a result of expected stronger demand for batteries for electric vehicles, which contain cobalt, physical traders told Metal Bulletin this week. READ MORE

 

Petersen critiques Tesla’s cobalt, lithium and graphite disclosure for EV batteries

InvestorIntel - May 20, 2016

It’s been a fascinating week as one of my readers forwarded copies of a May 12 Commodities Comment from Macquarie Wealth Management that focused on China’s recent efforts to shore up its cobalt supply chains and a May 16 report from Morgan Stanley that focused on expected growth in global demand for lithium, graphite, cobalt, and copper from the electric vehicle (EV) and lithium-ion battery sectors. READ MORE

 

China aggressively acquiring gold, copper and cobalt assets

InvestorIntel - May 16, 2016

China Molybdenum (CMOC) has long earned its reputation as a highly acquisitive company. In 2015, it made its intentions known that it would pump around $2bn into acquiring mining assets outside of China. Traditionally a molybdenum and tungsten producer, CMOC has targeted copper in recent years, paying $820m for Rio Tinto’s Northparkes copper mine in New South Wales in 2013 and bidding for Barrick’s Zadivar mine in 2015. READ MORE

 

Farquharson confirms coming cobalt deficit, outlines Formation’s mine timeline

InvestorIntel - May 5, 2016

Formation Metals Inc. (TSX: FCO | OTCQX: FMETF | FWB: FOQ) ) is a Canadian mineral exploration and mine development company that through its wholly owned subsidiaries has interests in base and precious metals and uranium projects in Canada, United States and Mexico. The company’s primary asset, located in the mining friendly state of Idaho, is the 100% owned, fully-permitted Idaho Cobalt Project which is comprised of the mine and mill near Salmon, Idaho, and the proposed Cobalt Production Facility for refining mine concentrate. The mine site is now prepared to commence underground development contingent on successful conclusion of mine financing. READ MORE

 

John Petersen on the cobalt crisis — and what is wrong with EVs and battery technology

InvestorIntel - April 27, 2016

Lithium-ion battery and battery storage expert John Petersen this year created something of a sensation on InvestorIntel by putting his finger on a critical problem: there is not enough cobalt available to meet the demand from the growing lithium-ion battery industry. The key point is that just 6% of cobalt comes from primary production, the rest coming as a by-product of nickel and copper mining. If those latter mines are mothballed due to low prices, consequently that cobalt by-product disappears. “Without cobalt they can’t make their batteries,” he says. READ MORE

 

Cheap Lithium-ion Batteries for EVs vs. The Cobalt Cliff

InvestorIntel - April 15, 2016

Since early March I’ve written five articles that focus on supply and demand dynamics in the cobalt mining sector and explain why I believe the lithium-ion battery industry is facing a raw materials shortage of epic proportions. Today I’ll drill down into market dynamics within the lithium-ion battery industry and explain why I believe cheap lithium-ion batteries for electric vehicles (EVs) will be the first casualties of the Cobalt Cliff. READ MORE