The CAGR of Global Spodumene Output to Reach 28% in the Next Five Years

SHANGHAI, Sep 7 (SMM) – Total lithium concentrate production capacity at spodumene mines in the world stands at about 2.695 million mt, a year-on-year decrease of about 8%. Lithium concentrate prices fell amid oversupply.

Altura mine was forced to go bankrupt and stopped production due to low prices. Lithium concentrate capacity in Australia totals 2.39 million mt, accounting for 88.7%, which is the main supplier of global spodumene concentrate. The output at mainstream mines stood at about 1.78 million mt in 2020 and the utilisation rates registered 66%. At present, 98% of the mines in production have signed a long-term underwriting agreement, ranging 3-10 years. The output at mines increased amid rising prices of lithium concentrates, and is expected to reach 1.96 million mt in 2021, with the utilisation rates up to 73%.

The output of spodumene concentrate is expected to stand at 657,000 mt LCE in 2025 amid new projects and increment of capacity, with the CAGR being 28% in the next five years