Grid storage and EVs drive lithium recovery
The guests argued that global EV adoption and rapid growth in grid-scale lithium iron phosphate battery storage are driving a structural supply deficit, supporting long-term lithium prices above $20,000 per ton.
The argument
The guests noted that lithium carbonate prices have rebounded 170% year-over-year. They argued that bringing large-scale lithium projects online is difficult, and grid storage has become the fastest-growing demand sector, which will require two to three times the 2024 production levels by 2030.
The thesis, stress-tested
✓ What validates it
- ✓Lithium carbonate prices sustaining above $20,000 per ton
- ✓Albemarle or other major producers meeting their 2030 production targets
▸ Risks discussed
- ▸High difficulty in bringing new lithium projects online
- ▸Potential volatility in EV adoption rates
Hear it yourself
"the supply demand dynamics look like as we sit here today. Karl, I'll go to you for this one. Yeah. Thanks, Jesse. You've seen a very strong re return in the price of lithium, out of China in the past year or so, which is obviously a welcome, from our perspective. And, really, what's driving that is global EV use and any energy storage. So you've got tremendous demands now, and people understand that the lithium supply is just not there. So prices have, really taken a big swing to the upside, which we, are certainly happy with."
01:10
AFFILIATE LINK · ZORTIX MAY EARN A COMMISSION · NEVER A RECOMMENDATION TO TRADE