Lithium abundance

Lithium abundance
  • Pininvest Analysis

Is a widely available commodity a good investment ?  The short answer is … maybe…

Availability of lithium

According to the US Geological Survey, based on 2016 estimates, the world’s very large reserves (14 million metric tons) are located in the Atacama Desert, the so-called ‘lithium triangle shared by Chile (7.5 million metric tons), Argentina (2 million metric tons) and Bolivia; further reserves are found in China (3.5 million tons) and Australia (1.6 million metric tons).

Known resources are higher still, estimated at 40 million metric tons globally

Demand for lithium

The run-up in price from $2 000 per ton in 2000 to $10/12 000 per ton at the end of 2017 peaked in March 2018 at $23 750 per ton in China according to prices tracked monthly by Benchmark Mineral Intelligence (BMI)

Driven by an expected break-through in electrical vehicles powered by Li-ion batteries, the market assumed a fast uptake of the new technology, bottlenecks in additional extraction capacity and absence of better battery technology in the foreseeable future

The supply-and-demand balance for lithium fell into deficit in 2020 and it is expected to continue in 2021 due to lack of investment in mines after prices declined following the boom until 2018, with prices surging back to approx. $13 500, as of March '21

Lithium abundance • Updated:

Name Ticker Exchange Sector Industry Currency Cur.Price Mkt.Cap Perf. Momentum Vol. Risk Contrib. MDD
 
Albemarle ALB NYSE Industrial Goods Chemicals - Specialties USD 163.87 19 B 109.4% Neutral 49%   5% -24%
Critical Elements Lithium CRECF OTC Basic Materials Specialty Mining and Processing USD 1.30 - 319.4% Strong Up 91%   7% -22%
Galaxy Resources GALXF OTC Basic Materials Specialty Mining and Processing USD 2.65 - 364.1% Neutral 75%   9% -34%
Ganfeng Lithium GNENF OTC Basic Materials Specialty Mining and Processing USD 13.54 - -6.2% Weak Up 54%   4% -42%
Lithium Americas LAC NYSE Basic Materials Specialty Mining and Processing USD 13.60 1.4 B 189.4% Neutral 101%   12% -55%
Mineral Resources MALRY OTC Basic Materials Specialty Mining and Processing USD 38.61 - 198.1% Weak Up 45%   2% -18%
Neo Lithium NTTHF OTC Basic Materials Specialty Mining and Processing USD 2.16 - 515.4% Neutral 92%   10% -41%
Orocobre OROCF OTC Basic Materials Specialty Mining and Processing USD 4.48 - 172.3% Neutral 60%   7% -29%
Piedmont Lithium (ADR) PLL NASDAQ Technology EVs, Batteries & Electronics USD 68.83 - 1,026.5% Weak Up 160%   17% -33%
Pilbara Minerals PILBF OTC Basic Materials Specialty Mining and Processing USD 1.03 - 469.1% Weak Up 81%   8% -32%
Sayona Mining DMNXF OTC Basic Materials Specialty Mining and Processing USD 0.05 - 844.6% Strong Up 187%   16% -51%
Sociedad Quimica Y Minera S.A. SQM NYSE Basic Materials Specialty Mining and Processing USD 44.21 6.3 B 70.1% Neutral 44%   5% -31%