This Week's (11.10-11.14) Overseas Lithium Highlights [SMM New Energy Overseas Weekly Highlights]

[PLS Australia CEO Says Government Support Expected to Strengthen Lithium Supply Chain]

Dale Henderson, CEO of Australian lithium miner PLS, said on Wednesday on the sidelines of the COP30 climate summit in Brazil that intergovernmental collaboration can help optimize the global lithium supply chain, but price intervention policies require careful consideration.

As a core material for EV batteries and renewable energy storage systems, the global refining capacity for lithium is currently dominated by China. However, due to weaker-than-expected growth in the EV industry leading to soft demand, lithium prices have pulled back significantly from their 2022 highs.

Henderson pointed out that the development of trading mechanisms, such as futures markets, will ultimately promote standardization in the industry's pricing system. Australia is currently the world's largest lithium producer, followed by Chile and China.

Regarding discussions on whether governments should implement price support policies, he emphasized in an interview: "This requires careful consideration, as improper intervention could foster uncompetitive projects."

He called on governments to strengthen support for supply chain systems outside China, suggesting "accelerating the formation of new-type supply chains through intergovernmental collaboration to promote industrial park construction and improve trade agreements."

PLS, formerly known as Pilbara Minerals, is expected to release the exploration study report for its Colina lithium mine project in Brazil in Q2 next year. Henderson stated that investment decisions will be made based on the lithium market trends at that time.

Source: mining.com

[Mineral Resources Sells 30% Stake in Lithium Business to POSCO for $765 Million]

Australian mining company Mineral Resources (MinRes) announced on December 11 that it will transfer a 30% stake in its operating lithium business for $765 million through a newly established joint venture with South Korea's POSCO Holdings.

The newly formed joint venture entity will hold a 50% interest in each of MinRes' Wodgina and Mt Marion lithium mines, meaning POSCO will indirectly acquire a 15% interest in each project.

Under the existing cooperation agreement, MinRes will continue to be the operator of both mines.

POSCO will receive spodumene concentrate supply proportional to its 30% equity stake, providing raw material security for its planned new downstream processing facilities.

MinRes stated that this cooperation continues the successful experience of both parties in the Onslow Iron joint venture project and will help meet the growing global demand for Australian lithium resources.

Both the Wodgina and Mount Marion mining areas are located in the core lithium belt of Western Australia. Among them, Wodgina, as one of the world's largest hard-rock lithium deposits, is jointly operated by MinRes and Albemarle Corporation; the Mount Marion project is being developed in cooperation with China's Ganfeng Lithium.

The transaction has been approved by the boards of directors of both parties and is still pending approval from regulatory bodies such as the Australian Foreign Investment Review Board (FIRB).

Source: mining.com

[Emerson and Lithium Americas Reach Automation Cooperation for the Thacker Pass Project]

Emerson recently signed a contract with Lithium Americas to provide comprehensive automation solutions and professional technical services for the Thacker Pass lithium mine project in northern Nevada.

By deploying automation systems, Emerson will assist in the construction of the project's mining and mineral processing facilities, advancing the layout of the US domestic lithium battery raw material supply. As a core battery material for EVs, renewable energy storage, and data centers, lithium demand is continuously rising. With the popularization of EVs and renewable energy, lithium demand (often referred to as "white gold") is projected to surge fivefold by 2040. The US holds the world's third-largest known lithium resource reserves, and projects like Thacker Pass are significant for ensuring energy security and promoting employment.

Leveraging decades of mining experience and technological accumulation, Emerson provides Lithium Americas with an integrated automation platform, efficient project execution strategies, and localized technical support to ensure the Thacker Pass project achieves safe, efficient, and stable operation. Jonathan Evans, CEO of Lithium Americas, stated, "Partnering with Emerson will help us develop the Thacker Pass lithium resources in a safe and sustainable manner. Their automation technology will help North America reduce its reliance on external critical minerals and create long-term value for stakeholders."

The Thacker Pass project possesses the world's largest proven and probable lithium resource reserves. The first phase is expected to produce 40,000 mt of battery-grade lithium carbonate annually, sufficient to meet the battery capacity demand for 800,000 EVs. Ram Krishnan, Chief Operating Officer of Emerson, emphasized, "Thacker Pass is a landmark project for North America's electrification process. Our goal is to assist Lithium Americas in achieving safe commissioning and stable operation, empowering the US innovation industry."

Emerson's integrated automation architecture encompasses intelligent field measurement instruments, process control hardware and software, terminal control and isolation valves, and reliability technologies, aiming to optimize production efficiency, enhance worker safety, reduce downtime, and lower environmental impact. Its modern technology solutions also focus on capital efficiency, which can significantly reduce the project's total life cycle cost.

Emerson's strategic partner in the region, Carl Controls, will provide technical support through its local valve and instrument maintenance service center, ensuring rapid response, unified engineering standards, and emergency maintenance. The project has now commenced construction, and both parties are actively advancing on-site commissioning preparations.

Source: mining.com

[Codelco and SQM Lithium Venture Receives Chinese Antitrust Approval, Clearing Final Major Hurdle]

Chile's state-owned copper company Codelco and local lithium producer SQM's joint production plan received approval from China's antitrust regulator on Monday, paving the way for the joint venture to take effect. The clearance by China's State Administration for Market Regulation marks the fulfillment of the final key condition for the two enterprises. The deal, initially announced two years ago, aims to expand government control over the sector and increase production by leveraging lithium resources from Chile's Atacama Salt Flat.

Since the business involves global markets, the agreement required approval from multiple national regulatory authorities. Chile, as the world's second-largest lithium producer, has lithium resources that are crucial for the electric vehicle and ESS battery industries.

Chinese regulators required Codelco and SQM to commit to guaranteeing a base supply to Chinese customers under fair terms, with pricing not exceeding a specific percentage above market benchmarks; related details were marked as confidential. China also demanded that the two enterprises avoid sharing sensitive information with other lithium industry participants and adhere to specific corporate governance norms. China's State Administration for Market Regulation emphasized in a statement: "In the event of significant supply changes, both parties shall use reasonable best efforts to continue supplying lithium carbonate products to Chinese customers... and shall not refuse, restrict, or delay supply." The decision incorporated feedback from government departments, industry associations, competitors, and downstream consumers.

SQM stated in regulatory filings that the above conditions are consistent with its existing commercial practices in China.

Codelco indicated in a separate statement that the joint venture can take effect after obtaining approval from Chile's Comptroller General, which is widely viewed as a procedural step. Codelco insiders expected the approval to be completed by year-end. Chile's new Minister of Economy, Alvaro Garcia, said in August this year that the transaction is expected to be finalized before the end of the current government's term in 2026.

To date, competition regulators in Chile, the EU, Brazil, Japan, South Korea, and Saudi Arabia have approved the cooperation. The joint venture plan previously faced opposition from legislators and SQM's major shareholder, China's Tianqi Lithium, which did not immediately respond to requests for comment.

Source: mining.com