"rising endlessly"! The price of lithium carbonate soared 93.7% in two months. How far can enterprises go under the scramble to expand production?

SMM September 27th: since the middle and last ten days of July, the price of domestic battery-grade lithium carbonate has gone up all the way. According to the spot average price of SMM, as of September 27th, the price of domestic battery-grade lithium carbonate has risen to 168,500,170,500 yuan / ton, with an average price of 169500 yuan / ton, up 82000 yuan / ton compared with the same period in July. This also means that the price of domestic battery-grade lithium carbonate has risen by 93.7% since July.

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Under the background of the rising price of lithium carbonate, many enterprises have also heard the wind and continue to expand their layout in the field of lithium carbonate. In the past two weeks alone, according to incomplete statistics, a number of companies, including Mount Qomolangma, Tibet Mining and Shengxin Lithium Energy, have announced their next steps in the field of lithium carbonate.

Mount Qomolangma, Tibet:

On September 26th, Mount Qomolangma in Tibet announced that it is proposed to raise no more than 8 billion for the lithium extraction construction project of Lithium Carbonate Lake of Argentine Lithium potassium Co., Ltd., the mining / annual transformation and expansion project of 6 million tons of mines of Tazhong Mining Co., Ltd., the lithium salt lake resources exploration project of Argentina Tosa Co., Ltd. and supplementary liquidity.

Tibet Mining Industry:

Tibet Mining announced on September 24th that its holding subsidiary, Tibet Xigaze Zabuye Lithium Industry Hi-Tech Co., Ltd., signed an EPC+O framework contract with a tender price of 2.873 billion. The scale of the project includes an annual production capacity of 9600 tons of battery-grade lithium carbonate and 2400 tons of industrial-grade lithium carbonate.

Sheng Xin Lithium Energy:

On September 23rd, Shengxin LiNeng announced that Shengxin International, the company's wholly owned grandson, plans to set up a joint venture with STELLAR in Indonesia, with an investment of US $350 million to build a project with an annual production capacity of 50, 000 tons of lithium hydroxide and 10, 000 tons of lithium carbonate.

Lanxiao Technology:

On September 17th, Lanxiao Technology and Jintai Lithium Industry signed two phases of lithium carbonate production line construction and operation service agreement of 3000t/an and 4000t/a, of which the 3000t/a lithium carbonate production line has been completed and put into production.

Grimmy:

On the same day, Green Mei also signed an investment agreement with the Jingmen municipal government to invest an additional 2.8 billion yuan in the construction of Jingmen new energy materials circular economy low-carbon industrial demonstration park and new energy materials, industrial solid waste comprehensive treatment projects, including 15000 tons of high-purity lithium carbonate.

In addition, on September 12, Jiangte Motor also signed a strategic cooperation framework agreement with Guoxuan Tech to cooperate in the field of battery-grade lithium carbonate. From the above, it is not difficult to see that there are so many enterprises laying out lithium carbonate business in just two weeks, and the popularity of the industry is evident.

As for the reasons for the rising price of lithium carbonate, according to SMM's previous research, in fact, since late July, the tight balance of domestic lithium carbonate has gradually appeared, coupled with the expected hype, mineral prices and demand-side production capacity and other factors, lithium carbonate prices began to rise; In early August, the shutdown and overhaul of the Jiangxi smelter led to a slight decline in supply, superimposed with the continuous consumption of downstream inventory, which continued to support the price of lithium carbonate.

Taken together, the domestic lithium carbonate has a gap of about 14% since August, and SMM expects that the supply and demand of the lithium carbonate market will continue to fall short of demand until the end of this year. In mid-September, stimulated by the news that Pilbara, the main Australian lithium mining company, auctioned spodumene mirror concentrate at historically high prices again, the rising price of lithium carbonate was boosted again, and at that time the price of some smelters even rose to 190000 yuan / ton.

Recently, under the bombardment of local power cuts, according to SMM tracking research, lithium carbonate smelters are not obviously affected by power cuts, only a slight decline in production in some areas of Jiangsu. However, on the demand side, due to the weakening of power constraints and the superimposition of import increments, traders and some smelters begin to gradually increase their sales to the market, and the sentiment of cherishing sales weakens slightly. In the short term, the upward range of lithium carbonate prices will slow down slightly. However, SMM believes that the current impact of power cuts is only temporary, from a long-term point of view, domestic lithium resources will continue to be limited in the fourth quarter, and there is still a small gap in the lithium carbonate market in the second half of the year, so SMM expects the upward trend of lithium carbonate prices to remain unchanged. "View details