Date: 31 August 2021 ، the watch 02:49
News ID: 10333

Cobalt producers in race to cover the growing supply gap – report

The exponential demand growth for cobalt is placing pressure on producers to increase supplies to cover the growing supply gap as electric vehicle (EV) penetration rates in auto production rise above 50% by 2030, new analysis by Bank of America Global Research has found.

The bank’s Global Commodity Research team suggests three routes to bridging the supply gap: production increases at miners and refiners; improved processing technology; and recycling.

Sibanye-Stillwater (JSE: SSW), which is repositioning its portfolio towards MIFTs (metals important for future technologies), outlined in its 1H21 results that an increase of “requirements for EV production is already starting to have substantial implications for battery metal supply and is expected to accelerate.”