But lithium is still worth a closer look.
The metal is important for lithium-ion batteries used in phones and laptops, electric vehicles and large-scale energy storage arrays on the grid. Prices have fluctuated significantly over the past few years, and after short periods they are rising again. What happens next could have a big impact on mining and battery technology.
Before we look further, let’s take a quick trip down memory lane. In 2020, global EV sales really began to grow, driving demand for the lithium used in their batteries. Due to increased demand and limited supply, prices increased dramatically, with lithium carbonate rising from $10 per kilogram to a high of nearly $70 per kilogram in just two years.
And the tech world took notice. During those high points, there was a lot of interest in developing alternative batteries that did not rely on lithium. I was writing about sodium-based batteries, iron-air batteries, and even experimental batteries made of plastic.
Researchers and startups were also looking at alternative ways to obtain lithium, including battery recycling and processing methods like direct lithium extraction (more on this in a moment).
But soon, prices fell back to the ground again. We saw lower than expected demand for EVs in the US, and developers ramped up mining and processing to meet demand. By the end of 2024 and 2025, lithium carbonate will again reach around $10 per kilogram. Avoiding lithium or finding new ways to obtain it suddenly seemed much less important.
