Albemarle (NYSE: ALB), the world’s prime lithium producer, says it should purchase China-based Guangxi Tianyuan New Vitality Supplies for about US$200 million, as a part of its plans to spice up lithium conversion capability.
Tianyuan, a lithium converter based in 2017, owns a just lately constructed lithium processing plant near the port of Qinzhou in Guangxi.
The facility has a designed annual capability of as much as 25,000 tonnes of lithium carbonate equal (LCE) and might produce battery-grade lithium carbonate and lithium hydroxide. It’s at the moment within the commissioning stage and is predicted to start industrial manufacturing within the first half of 2022, Albemarle mentioned.
Lithium costs jumped to their highest in additional than three years earlier this month due to an upsurge in electrical car gross sales, depleting shares of the battery materials in prime client China.
Benchmark Mineral Intelligence (BMI) expects demand for the battery metallic to jump 26.1% or about 100,000 tonnes of LCE to a complete of 450,000 tonnes, flipping the market right into a deficit of 10,000 tonnes.
Albemarle produces lithium from its salt brine deposits in Chile and america and its laborious rock three way partnership mines in Australia. Albemarle can also be a world chief within the manufacturing of bromine, utilized in flame retardants.