The limit is all over the screen! The lithium battery plate has not seen the "rising and stopping tide" for a long time, and the new leader of the lithium mine was born?

SMM Sept. 7: after the opening of trading today, the lithium battery plate rose sharply after the shock correction of a few days ago, and the lithium battery index rose more than 3% at one point in intraday trading. By the end of the afternoon, lithium battery stocks once again appeared a long-lost "full screen limit" grand occasion. New Zebang, Shi Da Shenghua, Yongtai Technology, Jiangsu Cathay Pacific and other more than 10 shares rose by the daily limit.

It is worth mentioning that recently, benefiting from the overall improvement of the new energy vehicle market and the state's strong support for the development of the new energy vehicle industry, the supply of superimposed lithium ore resources continues to be tight, and the prices of battery-grade lithium carbonate and lithium hydroxide, as the core raw materials of power batteries, continue to rise.

According to the spot quotation of SMM, as of Sept. 7, the average price of domestic battery-grade lithium carbonate was 127000 yuan / ton, up 38000 yuan / ton from the end of July, or 42.7%. According to SMM research, according to some downstream feedback, lithium carbonate production raw materials in September there is a gap, is still actively looking for sellers, the subsequent transaction prices are expected to continue to rise. From the perspective of supply and demand, the domestic lithium carbonate has been in a gap of about 14% since August, and the market supply may fall short of demand until the end of this year.

"Click to view the spot market of SMM metal.

As for battery-grade lithium hydroxide, as of Sept. 7, the average price of lithium hydroxide was 130000 yuan / ton, up 31000 yuan / ton or 31.3% from the end of July. According to the survey, the lithium hydroxide market is relatively stable relative to lithium carbonate. In terms of supply and demand, production continued to increase month-on-month in September, while domestic demand slowed down, and the price rise is expected to slow down. "View details

Galaxy Securities commented that the prosperity of domestic new energy vehicles continues to be hot, and after entering the peak season of Jinjiu Silver 10, the production schedule of battery factories and cathode material factories in the lower reaches of the industrial chain may jump under the circumstances of new capacity put into production, and lithium demand is expected to continue to rise.

In addition, Galaxy Securities believes that the continuous release of lithium downstream in September and the news stimulation of Pilbara's decision to hold a new round of lithium concentrate auction in the third week of September are very likely to become catalysts for lithium prices to continue to rise in September.

It should be noted that the current lithium resource shortage still continues to ferment, and the known lithium resource increment in the second half of the year only comes from the improvement of capacity utilization of Mt Calltin and Pilbara, the release of Tellyson II capacity and the new capacity increment of SQM. Galaxy Securities believes that domestic lithium concentrate inventory will be nearly depleted by the end of the year. Huaxi Securities predicts that the tight supply of spodumene concentrate will continue until mid-2022.

As a result, lithium mining stocks rose sharply today while the lithium battery plate also continued to rise in the afternoon, among which yesterday it was revealed that Ya Hua Group, which signed a cooperation with Australian miner East Iron Co., Ltd. to develop Trigg Hill tantalum and lithium project, hit the daily limit again after a day's rally, and for a while, there was a lot of talk about its "new leader in lithium mining".

Everbright Securities said that at present, Yahua Group has a total production capacity of about 43000 tons of lithium salt, of which 33000 tons of lithium hydroxide is the second largest in China, as well as lithium carbonate and other lithium salt products. On the other hand, its subsidiary Ya'an Lithium Industry plans to increase its annual output of 50, 000 tons of battery-grade lithium hydroxide and 11000 tons of lithium chloride and its products. It is expected that the comprehensive production capacity of the company's lithium salt products will reach 100000 tons in 2025, ranking first in the domestic echelon.

Not only that, Ya Hua Group also continues to allocate upstream lithium reserves, and its renewed lithium concentrate off-take agreement with Galaxy Lithium has been extended to 2025. According to the agreement, Galaxy Lithium is required to supply no less than 120000 tons of lithium concentrate to Yahhua Group each year, not to mention the layout of lithium concentrate owned by a number of other participating companies. So on the whole, the future of Yahua Group is really worth looking forward to.

As of 14:25, Yahua Group rose 7.28% to 37.13 yuan per share.

Related reading: Ya Hua Group cooperates with Australia Eastern Iron to develop Trigg Hill Tantalum Lithium Project