Lithium is a key component in a range of innovative industries due to its high energy storage, insulating and heat resistant capabilities.
The increased application of rechargeable lithium-ion batteries, particularly within the automotive industry, is expected to drive demand significantly in the coming years providing an excellent platform for Bacanora’s growth. The global lithium-ion battery market was estimated at $17.5bn in 2013 and this market size is anticipated to quadruple to $70 billion by 2020.
Additionally, SignumBOX forecasts that global demand will reach 400,000 tpa of lithium carbonate equivalent (LCE) by 2025 (2013: 186,000 tonnes of LCE), circa 250,000 tpa, which are forecast to be required by the lithium-ion battery market as players in the electric car industry set strong targets focused on increasing the market penetration of their products. Tesla is aiming to build 500,000 vehicles per year by 2020 and China has set ambitious targets for domestic Electric Vehicle (EV) development and deployment, aiming to have 5 million EVs on the road by 2020. Current forecasts predict the global market for Li-ion batteries in passenger vehicles will grow from $3.2 billion in 2013 to $24.1 billion in 2023.