Battery minerals like lithium, magnesium, cobalt, copper, vanadium and graphite form the backbone of modern energy storage technologies, powering electric vehicles (EVs), consumer electronics and renewable energy systems.
However, following some years of growth and investment – which saw lithium, for example, being hailed as the new white gold of the energy transition – the sector is grappling with a changed landscape.
In 2024, battery material prices faced significant headwinds. Lithium, the bedrock of lithium-ion batteries, and nickel, essential for high-energy-density cells, endured sharp price corrections following the post-COVID boom.
Factors such as slower EV sales growth, particularly in Europe, and broader economic uncertainty have tempered the optimistic projections that once drove a surge in mining and exploration.
Geopolitical headwinds are now blowing, with the new Trump regime in the US heavily in favour of returning to fossil fuels and reversing some of the clean energy and critical minerals gains made by the outgoing Biden administration through the Chips and Infrastructure Acts.
This volatile environment has prompted some battery metal producers and explorers to pause operations or pivot strategies, waiting for market conditions to improve – some miners have returned to exploring for staples like gold while they wait.
But despite a downturn in the cycle for these commodities, demand fundamentals remain strong – the fact is, battery metals have already made themselves indispensable and we’re not going back.
Global demand for decarbonisation and the electrification of transport is running on its own steam now and there is sufficient infrastructure in place to require a steady and predictable battery metal supply chain for many years to come.
Copper, known as the ‘metal of electrification’, is often the example given of the dichotomy between short-term challenges and long-term promise.
Essential across multiple industries, including power grids and EVs, copper isn’t going anywhere and demand growth will only increase as electrification efforts intensify.
Similarly, graphite, used in anodes, and cobalt, valued for its stability-enhancing properties in batteries, will remain indispensable, despite current price turbulence.
While current conditions are testing the resilience of the industry, history suggests that market cycles eventually correct.
The unanswered question is when the tide will turn and what combination of factors - such as technological breakthroughs, regulatory support or stabilised geopolitical dynamics - will drive the next wave of growth.
The near-term challenges may be pronounced but the long-term outlook for battery metals remains healthy, driven by the world’s relentless march toward cleaner, more sustainable energy solutions.
Sovereign Metals
Sovereign Metals Ltd is positioning itself as a leader in responsible mining practices with a focus on stakeholder engagement and conservation farming initiatives.
The company’s flagship Kasiya Project in Malawi, which includes the world’s largest rutile deposit and significant graphite resources, offers the potential for both economic and environmental value.
The project, which involves a comprehensive Pilot Mining and Land Rehabilitation Program, showcases Sovereign’s efforts to balance resource extraction with environmental stewardship and community engagement.
It’s a model of sustainable mining and land rehabilitation that has entailed successful backfilling and ongoing restoration of a test pit at Kasiya – a process that integrates agronomic principles and sustainable farming practices to restore land for agricultural use post-mining.
Sovereign is creating fertile, reusable farmland while enhancing carbon sequestration and bioactivity. Early results indicate that this approach not only maintains soil integrity but also enables the timely return of land to local farmers without disrupting planting cycles.
By combining innovative rehabilitation methods with large-scale mineral production, Sovereign is poised to make meaningful contributions to the global rutile and graphite markets so necessary to the global energy storage revolution, while fostering strong community relationships in Malawi.
Surefire Resources
Surefire Resources NL is positioned as a tier-one supplier of premium magnetite and critical minerals with the aim of becoming a key player in global iron-vanadium-titanium markets as the world ramps up its appetite for these materials in infrastructure and green technologies.
The company has already kicked off production of magnetite concentrate at its Victory Bore Iron-Vanadium-Titanium Project in Western Australia’s Mid-West region – a key step in the project’s journey towards commercialisation.
The most recent program involved processing some 700 kilograms of ore from Victory Bore’s main deposit at Nagrom Laboratories in Perth.
The material undergoes beneficiation, including crushing, grinding and magnetic separation, to produce a high-grade magnetite concentrate.
This concentrate will be evaluated for downstream production of vanadium pentoxide, ferrovanadium, pig iron, high-purity iron and titanium slag.
These are steps outlined in the project’s pre-feasibility study and ensure a streamlined pathway for further development.
Surefire aims to ship the premium magnetite concentrate to interested international parties in Saudi Arabia, the Middle East and Europe for technical evaluation.
These initiatives are expected to enhance the company’s strategic partnerships and unlock potential markets for the project’s high-value products.
Latrobe Magnesium
Latrobe Magnesium Ltd is leveraging its patented hydrometallurgical technology to address critical supply chain gaps in the global magnesium market.
The company uses a genuinely unique business model that involves a pioneering magnesium production process that adheres to the principles of the circular economy.
LMG’s $57 million demonstration plant has successfully produced magnesium oxide (MgO) since May 2024 and is on track to produce magnesium metal by the middle of this year.
Using fly ash waste from power generation, LMG’s process reduces carbon dioxide emissions by up to 60% compared to traditional methods, converting 100% of waste into saleable products like magnesium, supplementary cementitious materials, silica and agricultural lime.
With China dominating 87% of global magnesium supply, LMG's innovative approach offers an alternative for key industries, including automotive manufacturing and energy storage, while reducing environmental impact and supporting decarbonisation efforts.
This sustainable approach not only remediates legacy mining sites but also addresses sustainability challenges for industries heavily reliant on magnesium.
LMG is charting a robust expansion pathway, including the development of a commercial plant expected to be operational by 2026 and an international mega-plant by 2029, all the while adhering to ambitious emissions reduction targets.
The company is well positioned to meet the increasing demand for magnesium, projected to rise to 1.67 million tonnes globally by 2032.
By aligning with global decarbonisation trends and offering a greener alternative to China’s CO₂-intensive supply, LMG looks set to become a key player in the critical minerals sector.