Tianqi Lithium Corporation: The Fundamental Outlook for The Lithium Industry Will Continue to Improve Over The Next Few Years

On March 29, Kanglongda announced that it jointly signed an "Agreement to Terminate the Binding Terms Sheet Regarding the Purchase of Spodumene from the Bougouni Lithium Project" with Kodal Minerals PLC (referred to as "KODAL"), Hainan Mining and its controlling subsidiary, Kodal Mining UK (referred to as "KMUK"). According to the agreement, KMUK will pay Suay Chin a total of 14 million US dollars in termination fees in two installments. After receiving the first installment of 7 million US dollars, the "Bougouni (Bougouni) Mine Project Spodumene Sales Binding Term Memorandum" signed by Suay Chin and KODAL in 2017 will terminate, meaning Suay Chin will give up the priority right to underwrite no less than 80% of the concentrate products for the first three years after the Bougouni carp mine project starts production; KMUK needs to complete the payment of all termination fees before the first batch of spodumene is shipped from Mali or before October 31, 2024 (whichever comes first).

Lithium Iron Phosphate Contract Negotiations Underway at End of March, Significant Improvement in Order Outlook Expected [SMM Weekly Review]

Spot market stable at 107,500-112,000 yuan/ton, futures rose 0.88% to 108,500 yuan/ton, with 199,520 lots traded.

The electric vehicle industry is facing the challenge of fluctuating lithium prices, and a diversified strategy is necessary to cope with this dilemma. Strengthening market analysis, technological innovation, industry chain collaboration, and flexible adjustment of business decisions, as well as deepening international cooperation and exchanges, are all key to the industry's stable development. Against the backdrop of the booming new energy sector and the transformation of the global energy structure, the electric vehicle industry has a broad development prospect, but it also needs to be alert to the risks associated with lithium price fluctuations. Utilize the SMM website and other resources to get timely information on lithium prices to protect the industry's development.

Lithium price volatility has become a factor that cannot be ignored in the wave of global energy transition. Governments, enterprises and the international community need to work closely together to overcome the difficulties. The government will strengthen lithium resource exploration and development, and promote technological innovation; enterprises will increase R&D investment and explore new energy technologies; and the international community will stabilize the supply and demand relationship in the lithium market through cooperation and coordination. SMM website provides timely and accurate lithium price data to help all parties make scientific decisions. Only by working together can we overcome the challenges posed by lithium price volatility and drive the global energy transition towards a more sustainable future.

On March 18th, lithium carbonate futures increased by 3.00% to 116,900 yuan/ton, with spot prices mildly rising to an average of 112,550 yuan/ton, amidst strategic market adjustments.

Multiple lithium producers in Australia have operational or strategic updates this week, adding to their recent earnings calls, many of which stress the importance of cautious plannings, near-term flexibilities, and long-term optimism in this lithium cycle downturn.

On March 12th, lithium carbonate futures surged 4.13% to 119,850 yuan/ton, and spot prices rose to an average of 110,000 yuan/ton, amid market optimism and supply-demand adjustments.

Cobalt and nickel price review and forecast

From January 1, 2024, to December 31, 2024, individual consumers who scrap or transfer (excluding change of registration) a non-commercial passenger car registered under their name in Shanghai, and purchase a new pure electric passenger car from an automobile sales institution registered with the Shanghai Market Supervision Administration, for non-commercial use, can apply for a one-time subsidy of 10,000 yuan for the purchase of the car.