Energy

The Energy and Mineral Riches of the Arctic

Published

7 years ago

April 6, 2016

Jeff Desjardins

The Energy and Mineral Riches of the Arctic

The Arctic has been the fascination of many people for centuries.

Hundreds of years ago, the Europeans saw the Arctic’s frigid waters as a potential gateway to the Pacific. The region has also been home to many unique native cultures such as the Inuits and Chukchi. Lastly, it goes without saying that the Arctic is unsurpassed in many aspects of its natural beauty, and lovers of the environment are struck by the region’s millions of acres of untouched land and natural habitats.

However, the Arctic is also one of the last frontiers of natural resource discovery, and underneath the tundra and ice are vast amounts of undiscovered oil, natural gas, and minerals. That’s why there is a high-stakes race for Arctic domination between countries such as the United States, Norway, Russia, Denmark, and Canada.

Today’s infographic highlights the size of some of these resources in relation to global reserves to help create context around the potential significance of this untapped wealth.

In terms of oil, it’s estimated that the Arctic has 90 billion barrels of oil that is yet to be discovered. That’s equal to 5.9% of the world’s known oil reserves – about 110% of Russia’s current oil reserves, or 339% of U.S. reserves.

For natural gas, the potential is even higher: the Arctic has an estimated 1,669 trillion cubic feet of gas, equal to 24.3% of the world’s current known reserves. That’s equal to 500% of U.S. reserves, 99% of Russia’s reserves, or 2,736% of Canada’s natural gas reserves.

Most of these hydrocarbon resources, about 84%, are expected to lay offshore.

There are also troves of metals and minerals, including gold, diamonds, copper, iron, zinc, and uranium. However, these are not easy to get at. Starting a mine in the Arctic can be an iceberg of costs: short shipping seasons, melting permafrost, summer swamps, polar bears, and -50 degree temperatures make the Arctic tough to be economic.

Original graphic by: 911 Metallurgist

Related Topics:mining canada energy Resources Russia alaska oil and gas arctic

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Energy

Visualizing China’s Dominance in Battery Manufacturing (2022-2027P)

This infographic breaks down battery manufacturing capacity by country in 2022 and 2027.

Published

1 week ago

January 19, 2023

Govind Bhutada

battery manufacturing capacity by country infographic

Visualizing China’s Dominance in Battery Manufacturing

This was originally posted on Elements. Sign up to the free mailing list to get beautiful visualizations on natural resource megatrends in your email every week.

With the world gearing up for the electric vehicle era, battery manufacturing has become a priority for many nations, including the United States.

However, having entered the race for batteries early, China is far and away in the lead.

Using the data and projections behind BloombergNEF’s lithium-ion supply chain rankings, this infographic visualizes battery manufacturing capacity by country in 2022 and 2027p, highlighting the extent of China’s battery dominance.

Battery Manufacturing Capacity by Country in 2022

In 2022, China had more battery production capacity than the rest of the world combined.

Rank	Country	2022 Battery Cell Manufacturing Capacity, GWh	% of Total
#1	🇨🇳 China	893	77%
#2	🇵🇱 Poland	73	6%
#3	🇺🇸 U.S.	70	6%
#4	🇭🇺 Hungary	38	3%
#5	🇩🇪 Germany	31	3%
#6	🇸🇪 Sweden	16	1%
#7	🇰🇷 South Korea	15	1%
#8	🇯🇵 Japan	12	1%
#9	🇫🇷 France	6	1%
#10	🇮🇳 India	3	0.2%
	🌍 Other	7	1%
	Total	1,163	100%

With nearly 900 gigawatt-hours of manufacturing capacity or 77% of the global total, China is home to six of the world’s 10 biggest battery makers. Behind China’s battery dominance is its vertical integration across the rest of the EV supply chain, from mining the metals to producing the EVs. It’s also the largest EV market, accounting for 52% of global sales in 2021.

Poland ranks second with less than one-tenth of China’s capacity. In addition, it hosts LG Energy Solution’s Wroclaw gigafactory, the largest of its kind in Europe and one of the largest in the world. Overall, European countries (including non-EU members) made up just 14% of global battery manufacturing capacity in 2022.

Although it lives in China’s shadow when it comes to batteries, the U.S. is also among the world’s lithium-ion powerhouses. As of 2022, it had eight major operational battery factories, concentrated in the Midwest and the South.

China’s Near-Monopoly Continues Through 2027

Global lithium-ion manufacturing capacity is projected to increase eightfold in the next five years. Here are the top 10 countries by projected battery production capacity in 2027:

Rank	Country	2027P Battery Cell Manufacturing Capacity, GWh	% of Total
#1	🇨🇳 China	6,197	69%
#2	🇺🇸 U.S.	908	10%
#3	🇩🇪 Germany	503	6%
#4	🇭🇺 Hungary	194	2%
#5	🇸🇪 Sweden	135	2%
#6	🇵🇱 Poland	112	1%
#7	🇨🇦 Canada	106	1%
#8	🇪🇸 Spain	98	1%
#9	🇫🇷 France	89	1%
#10	🇲🇽 Mexico	80	1%
	🌍 Other	523	6%
	Total	8,945	100%

China’s well-established advantage is set to continue through 2027, with 69% of the world’s battery manufacturing capacity.

Meanwhile, the U.S. is projected to increase its capacity by more than 10-fold in the next five years. EV tax credits in the Inflation Reduction Act are likely to incentivize battery manufacturing by rewarding EVs made with domestic materials. Alongside Ford and General Motors, Asian companies including Toyota, SK Innovation, and LG Energy Solution have all announced investments in U.S. battery manufacturing in recent months.

Europe will host six of the projected top 10 countries for battery production in 2027. Europe’s current and future battery plants come from a mix of domestic and foreign firms, including Germany’s Volkswagen, China’s CATL, and South Korea’s SK Innovation.

Can Countries Cut Ties With China?

Regardless of the growth in North America and Europe, China’s dominance is unmatched.

Battery manufacturing is just one piece of the puzzle, albeit a major one. Most of the parts and metals that make up a battery—like battery-grade lithium, electrolytes, separators, cathodes, and anodes—are primarily made in China.

Therefore, combating China’s dominance will be expensive. According to Bloomberg, the U.S. and Europe will have to invest $87 billion and $102 billion, respectively, to meet domestic battery demand with fully local supply chains by 2030.