Caterpillar Inc Heavy Equipment CSR by GineersNow Engineering GineersNow Engineering Magazine November 2016 | Page 77

LITHIUM DEMAND
BOOMS AHEAD
by Farrel Pinto
Photo by EarthsPhysicsTeaching
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Lithium Australia mulls deeper
project and funding in lithium as
potential demand grows in the
emergence of renewable and
portable storage technology. The
Pilgangoora project in Western
Australia is expected to expand
its scope for mining lithium as
the area was confirmed to be a
pegmatite zone. Pegmatite is the
ore containing lithium
“I think we’re talking about a
paradigm shift in the way people
think about power”, Adrian
Griffin, Managing Director of
Lithium Australia, said pertaining
to renewables and storage like
lithium-ion batteries.
The company recently completed
a $6.55 million share replacement
in one of the worst weeks in the
trading history. This however
added potentials to its business
model for a $29 million fundraising
drive. Lithium Australia’s stock
trading jumped 13.3% higher,
representing 80% more since the
mid-January.
The company’s confidence for plan
expansion was led by its recent
successful production of lithium
hydroxide. Lithium hydroxide is an
added chemical used in production
of batteries and represents a big
market at the back of increased
electric car manufacture. Adrian
Griffin believes that lithium can
be traded either as carbonate or
hydroxide and that the market is
hungry for both.
He also added that the lithium
carbonate is at $10,000 per ton
and the lithium hydroxide at
$14,000 per ton spotting a very
significant price increase in the
late 2015. For instance, Lithium
carbonate was at low trade in
early December for $10, 0540 but
increased highly late in December
at $14,362.
It is expected that more
companies will be investing in
lithium production as stocks have
been increasing due to forecasted
demands of lithium batteries in
the future.
NOVEMBER 2016
Mining Engineering and Its Importance
77