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Global Lithium Supply Race Deepens as Zimbabwe Bans Exports

Screen Shot 2022 12 29 at 10.59.04 AM Global Lithium Supply Race Deepens as Zimbabwe Bans Exports

The ever-rising demand for lithium is creating what many experts are calling a lithium supercycle of supply deficits and lasting high prices

Over the past year, lithium prices have more than tripled and many, including the world’s second-largest lithium producer, SQM, see this upward trajectory continuing into the new year and beyond. 

But, as countries around the world race to secure lithium for electric vehicles (EVs) and renewable energy, the supply squeeze is only getting worse.

Zimbabwe just banned the export of raw lithium from its mines in an effort to stop losing billions of dollars in mineral proceeds to foreign companies.1

Learn more about this well-funded Canadian exploration firm with a proven track record of discoveries and a fascinating project in Quebec’s lithium belt. 

The country has made a significant move, and it is now expected to rank among the top exporters of lithium globally. When it completely utilizes its known lithium deposits, the government actually hopes to fulfill 20% of the global demand for lithium.

Of course, the remaining 80% must be covered, which may be difficult. New lithium supply is currently being delayed and has been very slowly coming online.

In order to meet global needs, the lithium sector will need to invest $42 billionaccording to Benchmark.2

Fortunately, governments are responding accordingly, with Canada and the US laying out plans to incentivize domestic production with $2 billion3 and $2.8 billion,4 respectively.

With a number of mines approved and preparing for construction, including Allkem’s James Bay Lithium Project, Quebec, in northern Canada, has been drawing attention as a potential contender in the race for lithium supply.5,6

The mine contains an impressive Indicated Mineral Resource of 40.3Mt at 1.4% Li2O.7

But just a few short miles from Allkem’s lithium mine, which is almost ready for production, might be an even more intriguing property being explored.

Learn more about this well-funded Canadian exploration firm with a proven track record of discoveries and a fascinating project in Quebec’s lithium belt.