Specifically Tailored Lithium
Lithium chemical symbol = Li
A small soft silver-grey metal
The lightest metal in the periodic table
Li promises high operating voltage, low weight, and high energy-storage density
It's the perfect material for batteries—light and energetic
Lithium is a specialty industrial product bought and sold under contract, and the chemistry is specifically tailored to the customers needs. Supply contracts are useful towards predicting cash flow and securing project finance.
Although lithium is used in over 70 types of products, the growth in battery usage has driven lithium demand skyward. Electric vehicles and grid storage, such as Tesla’s Powerwall and Powerpack residential and commercial battery systems, are very high growth areas.
Demand is predicted to be as high as 125% of supply by 2020 driven by electric vehicles and grid storage.
The price of lithium has increased by 300% since 2003.
The development timelines of Pure Energy’s Clayton Valley Brine Project are aligned with the anticipated high-growth demand in lithium.
LITHIUM SUPPLY & DEMAND
Driven by power storage demand (everything from power tools and handheld devices to electric vehicles), the global lithium industry should, we believe, enjoy a CAGR of roughly 12% through the end of the decade (starting in the mid/high single digits and accelerating afterwards as the EV market enjoys further penetration)”
“We estimate lithium consumption in 2013 was of the order of ~160k tonnes of LCE”
“Supply will be short: There have been investor concerns about the supply side of the equation given a number of announced projects in the lithium industry. Upon a detailed review of the projects, we believe the risk is that demand will actually outstrip supply as we approach the later part of the decade, with demand potentially as high as 125% of total capacity”
*Source: Credit Suisse Equity Research. American Region Specialty Chemicals 27 May, 2014
The most important use of lithium is in rechargeable batteries for electric vehicles, energy grid storage, mobile phones, laptops, digital cameras and other small electronic devices. Lithium is also used in some non-rechargeable batteries.
Lithium metal is combined with aluminum and magnesium to form strong and lightweight alloys for armour plating, aircraft, trains and bicycles.
Optics, Glassware and Ceramics
Lithium is used to produce optics, glassware, and ceramics.
Lithium chloride is one of the most hygroscopic materials known, and is used in air conditioning and industrial drying systems.
Lithium stearate is used as an all-purpose and high-temperature lubricant.
Lithium carbonate is used in medications to effectively treat manic depression.
Lithium hydroxide and lithium carbonate are both consumed in battery cathodes. The high energy content and light molecular weight of lithium makes it an ideal energy source for transportation.
Lithium Market – Source
Economically accessible sources of lithium are relatively rare, and commercial production comes from brine and rock.