The energy transition is set to benefit nickel and copper in the long term, with demand to be boosted by rising electric vehicle sales and battery demand. Experts in the field have forecasted robust prices for battery metals like nickel and copper in the next few years. Pala Investment’s head strategist estimated that demand from batteries would make up 10% of the nickel market by 2025, rising to 30% by 2030. By 2030, the nickel market would need to be 60% larger than it is today to meet demand from traditional markets like stainless steel, as well as the growing battery market.
The world is going "ALL IN" for a cleaner future, with many battery makers or majors scrambling for quality lithium and Graphite assets. Graphite is particularly important for the use of anodes in Li-ion batteries. However, most of the current world’s graphite production is coming from China. It will be extremely important for the industry to be able to find graphite sources in other places to make sure the supply chain is not disrupted. Similarly, the supply of REE materials, which are traditionally needed for many technology and electronic devices, is also controlled predominantly by China. Thus, the opportunity will be tremendous for these companies to explore and develop graphite and REE deposits outside of China.
The global trend toward a cleaner economy has paved the way for nuclear energy. The demand for uranium has significantly increased as Europe's energy crisis worsens. As the world is moving further away from fossil fuels, uranium's long-term outlook seems promising. China's plan for 150 new nuclear plants in the next 15 years will create stronger uranium demand in the foreseeable future.
Battery Metals are expected to maintain its bullish trend in 2023. Join GCFF 2023 Virtual Conference – Battery Metals Conference (Asia Pacific) on April 19 to learn more about industry updates and investment opportunities.