Mining in focus
T
he debate around battery metals and the raw
minerals required for such metals has
become a hot topic in the mining industry.
This topic was up for a panel discussion at the 2018
Junior Indaba.
Junior Indaba is an annual conference
predominantly aimed at small mining companies.
During the two-day conference, stakeholders in
the mining industry, such as CEOs, entrepreneurs,
investors, and mining professionals, gather to
discuss issues and challenges facing junior miners.
The panel discussion titled “Battery metals: the
flavour of the month”, discussed what effect battery
metals had on the mining industry, and what
implications this would have for junior miners.
Lithium, cobalt, lead, and vanadium were discussed
by panellists from different aspects in the junior
mining space.
Demand for battery metals
Panellists at the Junior Indaba discussing battery metals.
The arrival of battery electric
vehicles (BEVs) on the market
has seen a knock-on effect on the
demand for battery metals used in
the production of batteries for such
vehicles, writes Dineo Phoshoko.
According to Aleksander Popovic, a senior
consultant from CRU Group, lithium, cobalt,
vanadium, and lead acid batteries tell a bullish
story in the markets. “Ultimately, the market for
batteries is going to be much bigger than it is
today, there is no question about that. There are
going to be different types of batteries catering to
different types of needs,” Popovic commented. All
technologies dealing with batteries are expected to
get some share in the market.
Ratings agency Moody’s echoed Popovic’s views,
predicting a surge in the demand for batteries to
produce BEVs, predominantly by the automotive
industry. The forecasted demand in batteries implies
that there would be an increase in the demand for
the raw materials, including minerals, used to make
the batteries.
Montero CEO and president, Tony Harwood,
explained that lithium was used in small batteries
and cars, whereas vanadium was used for bigger
storage capacity. Both would be in demand going
forward, not forgetting copper and nickel, which are
included in the battery metals space.
“Everything we looked at in the vanadium
space pointed to a market that was getting into
a sustainable structural deficit,” said Fortune
Mojapelo, CEO of Bushveld Minerals. When
Bushveld decided to pursue the Vametco vanadium
mine and plant in 2016, vanadium commodity
prices were very low. However, Bushveld was
encouraged by the demand and the supply picture
indicated a present deficit in the market —
implying a solid demand that is growing. “From that
point of view, we were confident that we would see a
turn,” Mojapelo added.
Timing and mineral choice
“Timing is absolutely imperative. You have to
have the right team, the right deposit, the right
AUGUST 2018 MINING MIRROR
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