World’s No. 2 lithium miner SQM hit by weak prices
Quarterly earnings fell by almost half, even as sales volumes grew.
Quarterly earnings fell by almost half, even as sales volumes grew.
Lithium is a hot commodity in the mining, manufacturing, energy storage, and automobile industries today.
The commodity research group says prices will remain in the single-digit figures due mainly to an avalanche of new supply.
Market conditions for lithium, a key ingredient in the battery industry, have worsened because of lower demand from Chinese customers.
Ganfeng has completed a $160 million deal to raise its stake in the Cauchari-Olaroz project in Argentina to 50%.
The world’s No. 1 lithium producer is delaying plans to add about 125,000 tonnes of processing capacity.
But Fitch analysts remain positive on both lithium and cobalt and expect prices to recover, as EV demand for both metals catches up to supply.
The lithium miner attributed the charge to the Mt Cattlin mine project's development costs related to its acquisition of General Mining Ltd.
Australian producers hit as 33% year-to-date spodumene price decline accelerates with little prospect of short term relief.
The miner said results suggest Youanmi could provide critical local feedstock for its lithium-cathode and battery business units.