Cobalt Blue Pty Ltd
Opportunity to invest in a world class cobalt mining project in the short term and secure off-take in the long term
Overview
The sustained source of mineral and metal commodities is imperative for the transportation and manufacturing segment. India’s commitment to the UN Climate Change Conference, Pairs, 2015, to reduce greenhouse gas emissions and opting a greener mode of transportation, emphasised upon to achieve all-electric vehicles by 2030. India has strong ambitions of achieving energy security at the earliest.
The lithium-ion battery market in India is expected to grow at a CAGR of 34.8% during the forecast period of 2019 – 2024. India’s requirement of lithium is expected to be 350,000 tonnes per year according to auto industry estimates. The growing adoption of EVs and the need for EV batteries with higher energy densities will see the demand for lithium increased more than threefold between 2017 and 2025 while demand for cobalt will increase by 60% over the same period. India is one of the largest importers of lithium-ion batteries. The Government of India in a bid to spur local manufacturing has doubled the basic import duty on lithium-ion cells.
Cobalt is one of the primary minerals used to manufacture lithium-ion batteries. The mineral is used to develop battery cathodes. More than half of the global supply of cobalt is used for batteries. And while cobalt may not receive the same attention as lithium, it is a vital component for battery manufacturing.
Cobalt Blue (COB), ASX-listed Australian company recognises the importance of cobalt as a commodity. COB’s sights are set on becoming a pioneer for Australia’s domestic battery industry through its Broken Hill cobalt project in New South Wales. Broken Hill is designed to operate as both a cobalt mine and refinery that produces battery-ready cobalt sulphate, which will give the company significant advantages and control over its resource.