Latest news with #PilbaraMinerals
Sky News AU
6 days ago
- Business
- Sky News AU
ASX 200 up 0.5 per cent, adding more than $15b into local portfolios as US President Donald Trump dumps section 899 revenge tax, mulls tariff deadline
Aussie investors have been buoyed by news the United States' controversial 'revenge tax' will be ditched and Donald Trump's 'Liberation Day' tariffs deadline could be pushed back, adding more than $15b into local portfolios. The index was up 0.5 per cent in the first 40 minutes of trading with aluminium producer Alcoa Corporation rising 6.6 per cent, Capstone Copper jumping 6.5 per cent, Pilbara Minerals adding 5.1 per cent and Liontown Resources up five per cent. Materials stocks are surging on Friday with the sector rising 2.2 per cent, while the telecommunications sector is up 0.9 per cent. It follows White House press secretary Karoline Leavitt saying the July 9 deadline for Trump's sweeping tariffs may be extended. 'The deadline is not critical,' Leavitt said of the steep tariffs. She noted Trump could "simply provide ... countries with (a) deal if they refuse to make us one by the deadline' and set "a reciprocal tariff rate that he believes is advantageous for the United States'. Pressed on this, Ms Leavitt said: 'Perhaps it could be extended but that's a decision for the president.' This comes as US Treasury Secretary Scott Bessent has called on Republican lawmakers to scrap section 899 – known as the 'revenge tax' - after Prime Minister Anthony Albanese and Treasurer Jim Chalmers spoke to him directly. The section 899 in President Donald Trump's 'big beautiful bill' would allow the US to implement retaliatory taxes on nations his administration believes unfairly treats US firms – such as tech giants Meta and Alphabet. On Friday, Bessent posted on X that after months of productive dialogue, a 'joint understanding' among G7 countries would be announced. Bessent said that under the agreement, the 15 per cent global corporate minimum tax would not apply to US companies under "Pillar 2" of the OECD tax deal. He added: "We will work cooperatively to implement this agreement across the OECD-G20 Inclusive Framework in coming weeks and months." Wall Street bounced back on Thursday with the Dow Jones adding 0.9 per cent, the S&P 500 rising 0.8 per cent and the Nasdaq jumping one per cent. London's FTSE 250 Index soared 0.8 per cent, Germany's DAX was boosted 0.6 per cent and the STOXX Europe 600 finished up 0.1 per cent. New Zealand's NZX 50 Index is up 0.5 per cent on Friday while Japan's Nikkei 225 has added 1.2 per cent.
Yahoo
6 days ago
- Business
- Yahoo
Lithium industry bemoans 'paradox' of low prices, rising demand
By Ernest Scheyder LAS VEGAS (Reuters) -An ongoing slide in lithium prices even as demand for the battery metal continues to climb is a frustrating "paradox" not likely to be resolved before at least 2030, the world's largest producers told a major industry conference this week. Once a niche metal used primarily in greases, ceramics and pharmaceuticals, lithium's use in electric vehicles, large-scale battery storage and other electronic applications has grown rapidly, with demand up 24% last year and likely to grow 12% annually for the next decade, according to data from consultancy Fastmarkets. Oversupply from China, however, has dragged prices down more than 90% in the past two years, fueling layoffs, corporate buyouts and project delays across the globe. "We've got market pain, but on the other side is the strategic gain. That is the lithium paradox," Dale Henderson, CEO of Australian lithium miner Pilbara Minerals, told the Fastmarkets Lithium and Battery Raw Materials Conference in Las Vegas. One long-time conference attendee described the mood at this year's conference using the stages of grief as a metaphor. Last year's conference reflected denial, with the sentiment in 2025 one of acceptance, he said. Despite the price drop, attendance at the conference - considered the world's largest annual gathering of lithium investors, executives and consumers - fell only 9% from last year to roughly 1,000, according to organizers. "It's quite hard to imagine a future where lithium doesn't play a central role in the global economy," said Paul Lusty, head of battery raw materials research at Fastmarkets. Chinese miners have stockpiled supply that likely will only come down later this decade and lessen the market imbalance, he added. Others have seen an even longer timeframe. Project Blue, another minerals consultancy, does not expect lithium demand to exceed supply until 2033 at the earliest. "Lithium has no chill mode. It really is more volatile than a lot of other markets out there," said Peter Hannah, head of pricing at Albemarle, the world's largest lithium producer, which has cut staff and delayed expansion projects in response to the price drop. Much of the conference side chatter focused on efforts to curb spending, with various lithium projects - especially direct lithium extraction (DLE) projects - touting efforts to lower costs. "The issues with lithium are which mines can produce the highest quality product at the lowest cost," said Ken Hoffman, a commodity strategist with mining investment bank Red Cloud Securities. EnergyX, a DLE developer backed by General Motors, unveiled a study showing it could produce the metal in northern Chile with operating costs below $3,000 per metric ton. The estimates are preliminary, but underscore the industry's push to spend less. "Innovation is the solution to building a resilient battery supply chain," said Chris Doornbos, CEO of E3 Lithium, which is developing a DLE project in Alberta. Adding to the market tension, SQM - the world's second-largest lithium producer - laid off 5% of its workforce this week. "We do have other factors impacting the behavior of the market participants than just pure economics," Andres Fontannaz, commercial vice president of SQM's international lithium division, told the conference, a reference to how electric vehicles have become a political target in some countries. The tension is even higher for lithium projects under construction and hoping prices rise by the time they open. "This is a really tough industry to be in," said Jon Evans, CEO of Lithium Americas, which is building North America's largest lithium mine in Nevada. "It's periods of euphoria followed by periods of pain and suffering, which we're in now." Sign in to access your portfolio
Reuters
6 days ago
- Business
- Reuters
Lithium industry bemoans 'paradox' of low prices, rising demand
LAS VEGAS, June 26 (Reuters) - An ongoing slide in lithium prices even as demand for the battery metal continues to climb is a frustrating "paradox" not likely to be resolved before at least 2030, the world's largest producers told a major industry conference this week. Once a niche metal used primarily in greases, ceramics and pharmaceuticals, lithium's use in electric vehicles, large-scale battery storage and other electronic applications has grown rapidly, with demand up 24% last year and likely to grow 12% annually for the next decade, according to data from consultancy Fastmarkets. Oversupply from China, however, has dragged prices down more than 90% in the past two years, fueling layoffs, corporate buyouts and project delays across the globe. "We've got market pain, but on the other side is the strategic gain. That is the lithium paradox," Dale Henderson, CEO of Australian lithium miner Pilbara Minerals ( opens new tab, told the Fastmarkets Lithium and Battery Raw Materials Conference in Las Vegas. One long-time conference attendee described the mood at this year's conference using the stages of grief as a metaphor. Last year's conference reflected denial, with the sentiment in 2025 one of acceptance, he said. Despite the price drop, attendance at the conference - considered the world's largest annual gathering of lithium investors, executives and consumers - fell only 9% from last year to roughly 1,000, according to organizers. "It's quite hard to imagine a future where lithium doesn't play a central role in the global economy," said Paul Lusty, head of battery raw materials research at Fastmarkets. Chinese miners have stockpiled supply that likely will only come down later this decade and lessen the market imbalance, he added. Others have seen an even longer timeframe. Project Blue, another minerals consultancy, does not expect lithium demand to exceed supply until 2033 at the earliest. "Lithium has no chill mode. It really is more volatile than a lot of other markets out there," said Peter Hannah, head of pricing at Albemarle (ALB.N), opens new tab, the world's largest lithium producer, which has cut staff and delayed expansion projects in response to the price drop. Much of the conference side chatter focused on efforts to curb spending, with various lithium projects - especially direct lithium extraction (DLE) projects - touting efforts to lower costs. "The issues with lithium are which mines can produce the highest quality product at the lowest cost," said Ken Hoffman, a commodity strategist with mining investment bank Red Cloud Securities. EnergyX, a DLE developer backed by General Motors (GM.N), opens new tab, unveiled a study showing it could produce the metal in northern Chile with operating costs below $3,000 per metric ton. The estimates are preliminary, but underscore the industry's push to spend less. "Innovation is the solution to building a resilient battery supply chain," said Chris Doornbos, CEO of E3 Lithium (ETL.V), opens new tab, which is developing a DLE project in Alberta. Adding to the market tension, SQM ( opens new tab - the world's second-largest lithium producer - laid off 5% of its workforce this week. "We do have other factors impacting the behavior of the market participants than just pure economics," Andres Fontannaz, commercial vice president of SQM's international lithium division, told the conference, a reference to how electric vehicles have become a political target in some countries. The tension is even higher for lithium projects under construction and hoping prices rise by the time they open. "This is a really tough industry to be in," said Jon Evans, CEO of Lithium Americas ( opens new tab, which is building North America's largest lithium mine in Nevada. "It's periods of euphoria followed by periods of pain and suffering, which we're in now."
Yahoo
6 days ago
- Business
- Yahoo
Lithium industry bemoans 'paradox' of low prices, rising demand
By Ernest Scheyder LAS VEGAS (Reuters) -An ongoing slide in lithium prices even as demand for the battery metal continues to climb is a frustrating "paradox" not likely to be resolved before at least 2030, the world's largest producers told a major industry conference this week. Once a niche metal used primarily in greases, ceramics and pharmaceuticals, lithium's use in electric vehicles, large-scale battery storage and other electronic applications has grown rapidly, with demand up 24% last year and likely to grow 12% annually for the next decade, according to data from consultancy Fastmarkets. Oversupply from China, however, has dragged prices down more than 90% in the past two years, fueling layoffs, corporate buyouts and project delays across the globe. "We've got market pain, but on the other side is the strategic gain. That is the lithium paradox," Dale Henderson, CEO of Australian lithium miner Pilbara Minerals, told the Fastmarkets Lithium and Battery Raw Materials Conference in Las Vegas. One long-time conference attendee described the mood at this year's conference using the stages of grief as a metaphor. Last year's conference reflected denial, with the sentiment in 2025 one of acceptance, he said. Despite the price drop, attendance at the conference - considered the world's largest annual gathering of lithium investors, executives and consumers - fell only 9% from last year to roughly 1,000, according to organizers. "It's quite hard to imagine a future where lithium doesn't play a central role in the global economy," said Paul Lusty, head of battery raw materials research at Fastmarkets. Chinese miners have stockpiled supply that likely will only come down later this decade and lessen the market imbalance, he added. Others have seen an even longer timeframe. Project Blue, another minerals consultancy, does not expect lithium demand to exceed supply until 2033 at the earliest. "Lithium has no chill mode. It really is more volatile than a lot of other markets out there," said Peter Hannah, head of pricing at Albemarle, the world's largest lithium producer, which has cut staff and delayed expansion projects in response to the price drop. Much of the conference side chatter focused on efforts to curb spending, with various lithium projects - especially direct lithium extraction (DLE) projects - touting efforts to lower costs. "The issues with lithium are which mines can produce the highest quality product at the lowest cost," said Ken Hoffman, a commodity strategist with mining investment bank Red Cloud Securities. EnergyX, a DLE developer backed by General Motors, unveiled a study showing it could produce the metal in northern Chile with operating costs below $3,000 per metric ton. The estimates are preliminary, but underscore the industry's push to spend less. "Innovation is the solution to building a resilient battery supply chain," said Chris Doornbos, CEO of E3 Lithium, which is developing a DLE project in Alberta. Adding to the market tension, SQM - the world's second-largest lithium producer - laid off 5% of its workforce this week. "We do have other factors impacting the behavior of the market participants than just pure economics," Andres Fontannaz, commercial vice president of SQM's international lithium division, told the conference, a reference to how electric vehicles have become a political target in some countries. The tension is even higher for lithium projects under construction and hoping prices rise by the time they open. "This is a really tough industry to be in," said Jon Evans, CEO of Lithium Americas, which is building North America's largest lithium mine in Nevada. "It's periods of euphoria followed by periods of pain and suffering, which we're in now." Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
News.com.au
25-06-2025
- Business
- News.com.au
Smart money bets on a lithium turnaround as these miners and explorers keep the faith
After gold, instos are most keen on putting their money into ... lithium? While prices are at four year lows, analysts are beginning to focus on when the price recovery will start Miners like Pilbara Minerals boss Dale Henderson and explorer Delta Lithium lifting investment to capture the upside Lithium might be trading at cyclical lows, leading to some pretty grim headlines, but positive signs are emerging. A global survey of 90 institutional investors by London-based mining industry advisory firm Harbour found that roughly half were looking for upside exposure to the energy transition above anything else from equities in the natural resources space. Investors were asked which commodities were the most likely to see increased investment, with more than 80% across Australia, Canada, the US, UK and Europe citing gold as their top pick. While that figure isn't the least bit surprising, given where the price has gone, what jumped out in the research was an enthusiasm for lithium, the price of which has gone in the opposite direction. The research found that lithium edged out copper as the second most likely commodity to attract investment from instos in Australia (65%), Canada (59%), US (61%) and UK/Europe (63%). 'Investors clearly see natural resources equities as a way of getting leveraged exposure to the long-term energy transition thematic,' Harbour managing partner Chris Cann said. 'This largely explains the interest in battery metals and copper coming through in the numbers, but it is also potentially a reflection on a market that is calling the bottom for lithium and nickel.' Recovery coming? A report on the lithium sector from Argonaut last week pointed to positive demand drivers, with electric vehicles being the early driver and battery energy storage systems growing in importance. 'We estimate that global EV sales are up ~30% year-on-year in 2025, up from the ~20% average growth rate seen in 2024,' the report by head of research Hayden Bairstow said. 'Early data suggests that BESS demand growth in CY25 is up +40% YoY, outpacing EV demand growth.' According to Adamus Intelligence, 44,756t of lithium carbonate equivalent was deployed onto roads globally in the batteries of all newly sold passenger EVs combined in April, which was down 11% month-on-month but up 27% YoY. Earlier this month, Rho Motion reported that EV sales in May reached 1.6 million units, up 24% YoY and 8% MoM. Chinese EV sales surpassed one million units in a single month for the first time so far in 2025. EV sales for the first five months of the year reached 7.2 million units, with strong growth in Europe offsetting more sluggish growth in North America. While demand remains strong, the lithium market remains in oversupply. Argonaut forecasts a lithium price recovery to be rapid once the market swings to a modest deficit. 'We now expect spot spodumene prices to peak at US$1500/t in late 2026, which is likely to trigger a restart of existing capacity,' it said. 'A return to a balanced market is then forecast for 2027 before the widening deficit pushes prices higher in the long-term.' Argonaut has a long-term spodumene price of US$1600/t, which is as much as US$1000/t above the current spot price. It has buy ratings on producers Pilbara Minerals (ASX:PLS), IGO (ASX:IGO) and Liontown Resources (ASX:LTR) and speculative buy ratings on advanced developers Core Lithium (ASX:CXO), Wildcat Resources (ASX:WC8) and Patriot Battery Metals (ASX:PMT). True believers Earlier this week, PLS boss Dale Henderson showed he was keeping the faith in a recovery with a substantial on-market share purchase. An ASX filing shows that Henderson acquired 755,000 shares on-market last week for just over $1 million. 'I have strong conviction in the long-term outlook for lithium and the opportunity it creates for PLS,' Henderson said in a statement to Stockhead. 'With a clear strategy, quality assets, and a high-performing team, we're well positioned for the future. 'Given limited trading windows, I took this opportunity to increase my holdings – alongside our shareholders.' It follows a $1.1 million on-market purchase of shares by Henderson in December. In a presentation to the Fastmarkets Lithium Supply and Battery Raw Materials Conference in Las Vegas this week, Henderson said lithium demand was expected to grow at a compound annual growth rate of at least 15% per year between now and 2035. At the smaller end, Delta Lithium (ASX:DLI) is another company not turning its back on the battery metal. The company is spinning out its gold assets into new company Ballard Mining in order to focus solely on its Yinnetharra and Mt Ida lithium resources in Western Australia. Delta even expanded its lithium holdings with recent acquisitions of tenure adjacent to Yinnetharra from Minerals 260 and Zeus Resources. 'Even though the market for lithium is at a really low ebb, it does afford us the opportunity to act countercyclically,' Delta managing director James Croser told Stockhead earlier this month. 'And when you've drunk enough of the Kool Aid that we have in terms of lithium, you really have to believe that the market will improve, and when it does, we hope to be in a much stronger position to capitalise and just win more value for our shareholders – that's what our motivation is.' Other companies to remain defiant in the face of the slump include Anson Resources (ASX:ASN), which this month reported a maiden resource for its Green River lithium project in Utah, Astute Metals (ASX:ASE), which yesterday reported the widest intercept yet from its Red Mountain project in Nevada, and Perpetual Resources (ASX:PEC), which this month kicked off its maiden drill program at the Igrejinha lithium project in Brazil.
