Eye on Lithium: Chinese chemical prices continue to decline
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All your lithium news, Thursday March 30.
Despite all the buzz about lithium from Liontown rejecting Albermarle’s takeover bid and Pilbara Minerals committing to a big capacity expansion, Chinese lithium chemical prices have fallen again during the assessment period March 22-29, 2023, on the back of sustained sluggish demand from battery-end markets.
Cathode manufacturers continued to destock lithium inventories with some adopting a just-in-time approach to procuring lithium chemicals, purchasing material only to fulfil orders, rather than maintaining an inventory buffer.
Some electric vehicle manufacturers in China have also reportedly reduced employee working hours due to quiet market activity.
Benchmark Mineral Intelligence noted that lithium carbonate prices had dropped 10.6% to US$41,975/t while lithium hydroxide was down 4.5% to US$55,100/t.
Hydroxide prices in Asia remained stable week-on-week as low spot market liquidity led to insufficient trades being recorded.
Lithium continued to outperform with 58 companies in the green while another 50 companies ended the day flat. Just 29 companies were swimming in red.
Askari Metals has completed the acquisition of an initial 80% interest in EPL 8535, which forms part of the Uis lithium project in Namibia where reverse circulation exploration drilling is currently underway.
Completion of the acquisition of an initial 90% interest in EPL 7345 is progressing well and expected to be completed shortly.
The current drill program is aimed at demonstrating the potential scale of mineralisation at Uis.
Due diligence sampling in EPL 8535 had returned assay results of up to 3.3% lithium oxide, 3.2% tin, 4,280 parts per million tantalum and 7,980ppm rubidium.
Patriot has continued its string of drilling successes with its latest results extending the high-grade Nova zone within its Corvette property in Quebec, Canada, to the east.
Notable results include: 83.7m at 3.13% Li2O (222.7m to 306.4m), including 19.8m at 5.28% Li2O and 5.1m at 5.17% Li2O (CV23-105), and 132.2m at 1.22% Li2O (274.1m to 406.3m), including 1AS1.2m at 2.99% Li2O and 6.0m at 2.92% Li2O (CV23-106).
Drilling is continuing to delineate the Nova Zone and overall CV5 Pegmatite with six rigs currently active.