At the end of 2022, the price of lithium, which is used in batteries, rose to a record level, but has since fallen more than sevenfold, to pre-energy crisis levels. Rosatom expects the price of the metal to rise when Russia’s largest deposit opens in 2029.
If in December 2022 the price of lithium on world stock exchanges exceeded $79,000 per ton, in October it fell below $10,000. The metal is actively used in green energy and is one of the main elements in batteries. Therefore, urgent demand decreased only after its production and supply in the market increased considerably.
A further price reduction is expected in 2025-27, according to the joint venture of Rosatom and Norilsk Nickel – Polar Lithium. Chief geologist of the joint venture Valentin Kriazhev As reported by Interfax in the presentation, a shortage is expected again from 2027 and all products will be in demand. By 2035, to meet growing world consumption, it will be necessary to put into operation about 50 fields at the Kolmozersky level, according to forecasts, said the chief geologist.
“Not as many fields will be introduced. Therefore, we hope that our products will be in demand.” – said Valentin Kryazhev.
Rosatom and Norilsk Nickel have created a joint venture to develop Russia’s largest lithium deposit, Kolmozerskoye. Its reserves are estimated at 75 million tons (18.9% in Russia). Polar Lithium expects the fishery to be launched in 2029 and in 2030 to reach its design capacity of 45 thousand tons.
The deadline for the protection of reserves had to be delayed by six months due to frequent suspensions of work at the request of the indigenous population to forecast the reindeer herds, Valentin Kryazhev added. According to him, the design and approval of the reserves at the State Reserves Committee will end in 2026 and construction will begin the same year. The capital costs of the field are expected to amount to 91 billion rubles.
As reported EADaily During the energy crisis, the entire world experienced a price shock for metals such as cobalt and lithium, which are actively used in green energy for battery production. However, the shortage disappeared when Chinese companies phenomenally increased production and sales.
“While most metals experience demand growth of 2-3% annually, consumption of cobalt and lithium grows between 10-20%. From a demand perspective, critical metals are the envy of the commodities industry. However, supply is also growing at a dizzying pace.” – wrote Bloomberg.
The agency noted that Chinese companies have increased cobalt and lithium production so much, both at home and abroad, that it will take 18 to 24 months or more to eliminate the surplus.
At the end of 2020, a report from the Accounts Chamber stated that Russia imports a third of strategic minerals and 60% of scarce minerals. According to the department, in 2018-2020, Russian needs for manganese, chromium, titanium and lithium were fully covered by imports.
In parallel with the development of lithium deposits, Rosatom companies plan to build, for example, a “gigafactory” of energy storage devices using lithium in the Kaliningrad region.
“The largest Russian plant will meet the needs of domestic manufacturers of electric vehicles for traction lithium-ion batteries, and will also produce stationary energy storage systems for the power grid complex and industrial enterprises. The first “gigafactory” in Russia with a design capacity of 4 GWh per year (total capacity of launched devices), designed using the latest advanced technologies, will make it possible to produce world-class products: lithium-ion batteries (cells), from which the battery modules will then be assembled”, — describes the Rosatom project.
