Visualizing the Global Demand for Lithium
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Visualizing the Global Demand for Lithium

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The following content is sponsored by Scotch Creek Ventures.

Visualizing the Global Demand for Lithium

Visualizing Global Demand for Lithium

Lithium is one of the most in-demand commodities in the world today.

With the ongoing shift to electric vehicles (EVs) and clean energy technologies, governments and EV manufacturers are rushing to secure their supply chains as demand for lithium soars.

But while China has a strong foothold in the lithium race, the U.S. is lagging behind. This infographic from our sponsor Scotch Creek Ventures highlights the rising demand for lithium and the need for a domestic supply chain in the United States.

What’s Driving the Demand for Lithium?

Global lithium production more than doubled in the last four years to 82,000 metric tons in 2020, up from 38,000 metric tons in 2016. Here are some of the factors driving the lithium rush:

  1. More EVs on the Road:
    EV sales have been accelerating in recent years. Between 2016 and 2020, annual electric car sales increased by 297%, up from around 750,000 to nearly 2.9 million cars last year.
  2. Falling Battery Prices:
    Declining lithium-ion battery prices are allowing EVs to compete more aggressively with gas-powered cars. Since 2013, battery costs have fallen 80% with a volume-weighted average of $137/kWh in 2020.
  3. Rise of the Battery Megafactories:
    More battery manufacturing capacity means more demand for the critical minerals that go into batteries. As of March 2021, there were 200 battery megafactories in the pipeline to 2030, and 122 of those were already operational. According to Benchmark Mineral Intelligence, if all 200 battery megafactories were operating at full capacity, their annual demand for lithium would be 3 million tonnes. That’s almost 37 times the 82,000 tonnes produced in 2020.

Although the demand for lithium is rising globally, its supply chain from mines to batteries relies on a only few critical nations.

China’s Lithium Dominance

In 2020, Australia, Chile, and China collectively made up 88% of global lithium production. After mining, the lithium supply chain involves refining, processing, and packaging the lithium into batteries—and the majority of this occurs in China.

In 2019, China produced 80% of the world’s refined battery chemicals, in addition to 73% of lithium-ion battery cells. What’s more, of the 200 battery megafactories in the pipeline to 2030, 148 are in China. As a result, China is far ahead of other countries in the race for lithium and batteries.

On the other hand, the U.S. is heavily reliant on imports for its supply of lithium, with only one lithium-producing mine in the country. As demand increases, this lack of production could threaten U.S. energy independence in the future. To address this and gaps in the supply of other critical minerals, U.S. President Biden also signed an executive order aiming to build secure supply chains for strategic minerals.

But where is lithium in the United States?

Nevada: The Lithium State

Nevada is known as the Silver State for its rich history of silver mining. Today, it’s the only source of lithium production in the U.S.

Clayton Valley and Kings Valley, two of the country’s largest lithium deposits, are in Nevada. The country’s only producing mine, Albemarle’s Silver Peak Mine, produces around 5,000 tonnes of lithium every year in Clayton Valley. Furthermore, the region is among the world’s richest closed-basin brine deposits based on grade and tonnage.

In addition to a rich lithium deposit, mining companies in Clayton Valley can also reap the advantages of Nevada as a jurisdiction. These include access to infrastructure, a skilled mining workforce, and proximity to a battery manufacturing base with Tesla Gigafactory 1. But that’s not all—in 2020, the Fraser Institute gave Nevada the top spot for mining investment attractiveness globally.

Meeting Lithium Demand for Energy Independence

As countries work to expand EV adoption, critical battery metals like lithium are becoming geopolitically significant, and their supply could redefine energy independence going forward. For this reason, the U.S., EU, and Canada all have lithium on their list of minerals that are critical to national security.

The U.S. needs to build a domestic lithium supply chain from the ground up, and Nevada has the potential to support it with lithium in Clayton Valley. Scotch Creek Ventures is developing two lithium mining projects in Clayton Valley to supply lithium for the green future.

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The History of Cannabis Prohibition in the U.S.

Cannabis is federally illegal in the U.S., but it wasn’t always that way. Here’s a look at the timeline of cannabis prohibition in the U.S.

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The History of Cannabis Prohibition in the U.S.

The legal status of cannabis in the U.S. isn’t always clear. At the federal level, it is an illegal Schedule I drug. However, individual states have the ability to determine their own laws around cannabis sales and usage.

But cannabis was not always illegal at the top level. It was only in the last 100 years that cannabis faced a prohibition similar to the alcohol prohibition of the early 1920s.

In this infographic from Tenacious Labs, we explore the fascinating history of cannabis prohibition in the U.S. dating all the way back to the 1900s.

The Early History of Cannabis Legality

The earliest laws surrounding the cannabis plant in the U.S. were drafted before the country was even founded. In 1619, a law was passed in the colony of Virginia which required every single farm to grow cannabis and produce hemp, an important commodity at the time.

Over time, marijuana from the cannabis plant started to be used for medicinal purposes. Early recreational use was first introduced by Mexican immigrants in the early 1900s.

Flash forward to the 1930s, when the country was struggling financially during the Great Depression. To encourage economic growth, alcohol prohibition was lifted, and those who had supported teetotalling began to target marijuana instead. At the time, cannabis was consumed largely in black and Mexican communities, and racist attitudes began to shape an association between crime, lewd behavior, immorality, and marijuana.

Legal Changes

The 1930s marked the beginning of America’s war against marijuana. Here’s a glance at some of the most famous laws around cannabis prohibition:

  • The Marihuana Tax Act (1937)
  • The Boggs Act (1952)
  • The Narcotics Control Act (1956)
  • The Controlled Substances Act (1971)

In 1937, the Marihuana Tax Act was enforced, prohibiting marijuana federally but still allowing medical use. Prior to that, 29 states had already outlawed marijuana on their own.

But by the 1950s, a counterculture movement had begun, with young people using marijuana recreationally much more than previous generations.

Eventually, the Boggs Act (1952) and Narcotics Control Act (1956) were put in place to combat the counterculture. These laws set mandatory sentences for drug-related offenses, including marijuana. A first-offense marijuana possession conviction could result in a minimum sentence of 2-10 years with a fine of up to $20,000.

In 1970, cannabis was classified as a Schedule I drug—the same category as heroin—under the Controlled Substances Act. However, the 70s also saw an opposing shift, with a number of states beginning to decriminalize marijuana.

ℹ️ Decriminalization means that although possessing marijuana remains illegal, one is not subject to prosecution or jail time for possessing certain amounts.

After decriminalization, commercial businesses began to capitalize and started to market marijuana-related products. Some products were marketed towards children, which, in tandem with the intensive hippie culture from the 70s, sparked a war against marijuana led by parents and supported by president Ronald Reagan.

The Modern Era

During the 1990s, five states passed laws to allow the medical usage of marijuana—between 2010 and 2020, 16 states passed medical marijuana laws.

StateLegal Status
AlabamaMedical
AlaskaAdult use
ArizonaAdult use
ArkansasMedical
CaliforniaAdult use
ColoradoAdult use
ConnecticutAdult Use
DelawareMedical
FloridaMedical
GeorgiaMedical (Limited)
HawaiiMedical
IdahoIllegal
IllinoisAdult use
IndianaMedical (Limited)
IowaMedical (Limited)
KansasIllegal
KentuckyIllegal
LouisianaMedical
MaineAdult use
MarylandMedical
MassachusettsAdult use
MichiganAdult use
MinnesotaMedical
MississippiMedical (Limited)
MissouriMedical
MontanaAdult use
NebraskaIllegal
NevadaAdult use
New HampshireMedical
New JerseyAdult use
New MexicoAdult use
New YorkAdult use
North CarolinaMedical (Limited)
North DakotaMedical
OhioMedical
OklahomaMedical
OregonAdult use
PennsylvaniaMedical
Rhode IslandMedical
South CarolinaMedical (Limited)
South DakotaMedical
TennesseeMedical (Limited)
TexasMedical (Limited)
UtahMedical (Limited)
VermontAdult use
VirginiaAdult use
WashingtonAdult use
Washington, DCAdult use
West VirginiaMedical
WisconsinIllegal
WyomingIllegal

In 2021, a total of 18 states have fully legalized cannabis, while another 26 have allowed marijuana usage for medicinal purposes in some capacity. Furthermore, the MORE Act—a bill to legalize marijuana federally—was reintroduced in the House of Representatives in May 2021.

If passed, the MORE Act (the Marijuana Opportunity Reinvestment and Expungement Act) would essentially remove cannabis from its classification as a Schedule I drug under the Controlled Substances Act. It would also work towards the expungement of criminals who were charged with crimes related to marijuana.

While the U.S. government has gone back and forth with cannabis legalization over the years, it appears that in the 21st century, the path only leads one way: towards federal legalization.

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Ocean Economy: The Next Wave of Sustainable Innovation

This graphic explores how the $1.5 trillion ocean economy can help fight against some of the toughest challenges facing the world today.

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Ocean Economy: The Next Wave of Sustainable Innovation

Roughly 21–37% of total greenhouse gas (GHG) emissions are attributable to our current food system, which includes conventional agriculture and land use according to the latest IPCC report.

With the global population rising and more mouths to feed, now is the time to reconsider how we can tap into our global resources to build a more sustainable food system.

This infographic from Billy Goat Brands (CSE: GOAT) (“GOAT”) explores how the ocean economy—also referred to as the blue economy—plays a vital role in our fight against climate change and other environmental challenges facing the world today.

What is the Ocean Economy?

The ocean economy is described as the sustainable use of the ocean and its resources for economic development and ocean ecosystem health.

The global economic output of the ocean economy is $1.5 trillion each year. Here is an example of some of the activities and sectors that make up the ocean economy today:

ActivityRelated Sectors
Harvesting of living marine resourcesFisheries
Aquaculture
Harvesting of non-living marine resources 
Marine biology
Mining
Oil & Gas
Transport and trade
Tourism
Maritime transport
Shipping and shipbuilding
Coastal development
Renewable energy
Renewables (wind, wave, tidal energy)
Indirect economic activities
Carbon sequestration
Coastal protection
Waste disposal
Biodiversity

Financing ocean-related economic activities will ensure the future sustainability of this vital resource, and help combat threats that pose a risk to humanity, such as overfishing, pollution, and habitat destruction.

However, some experts say that there is insufficient private and public investment in sustainable ocean economy activities.

The Investment Opportunity

Investors have a unique opportunity to drive change through companies innovating in the ocean economy and be part of the solution.

  • The ocean could provide six times more food than it does today.
  • Seafood continues to be the fastest growing sector by 2030 with only 60% of fish available for consumption.
  • The ocean economy provides a smaller carbon footprint compared to conventional agriculture.

The potential for economic growth will only continue to grow, presenting investors and institutions with a chance to add value at this crucial stage of development while making a real and tangible impact.

In fact, investing $1 in key ocean activities can yield at least $5 in global benefits—a number that will continue to rise over the next 30 years according to a World Resources Institute report.

The report also states that investing between $2 trillion and $3.7 trillion globally across four crucial areas could generate between $8.2 trillion and $22.8 trillion in returns by 2050. These four areas are:

  1. Restoring mangrove habitats
  2. Scaling up offshore wind production
  3. Decarbonizing international shipping
  4. Increasing the production of sustainably sourced ocean-based proteins

An Ocean of Possibilities on the Horizon

Plant-based alternatives will play an important role in alleviating the pressure on ocean resources, and technological innovation has been pivotal in creating imitation products for the consumer market.

GOAT provides diversified exposure to expansion-stage companies that contribute to the ocean economy through innovative food technologies, functional foods and plant-based alternatives.

“We believe that plant-based seafood alternatives should be available for everyone, everywhere. That’s why we spent years creating a seamless experience that’s nearly indistinguishable from their animal-based counterparts.”
—Mike Woodruff, CEO Sophie’s Kitchen

Sophie’s Kitchen is one of GOAT’s investee companies and a leading California-based manufacturer and distributor of disruptive plant-based seafood alternatives.

Go to billygoatbrands.com to learn more about investing in the ocean economy today.

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