Sunday 27 November 2016

Before The Flood: Elon Musk - We Need 100 Tesla Lithium Gigafacatories To Save The World.

  Today we can hear the Grand Vision of Elon Musk again. We need 100 Tesla Gigafactories to Switch all Energy production in the World to Renewables. As you remember, we are talking here about $14 Trillion industries being disrupted: Transportation and Energy. And it is happening already. We are proud to be part of The Solution with International Lithium and our Strategic Partner Ganfeng Lithium.

Strategic Partner Ganfeng Lithium To Increase Equity Ownership In International Lithium.

“I am very pleased that Ganfeng Lithium is reinforcing its strategic stake in International Lithium. Ganfeng is a worldwide leader in lithium materials production based in China. They provide not only the capital to advance our joint venture projects in Argentina and Ireland, but technology to facilitate potential production to their particular needs as a lithium end-user. Ganfeng holds 19 patents and is the only company producing lithium chemicals both from brine and hard rock spodumene sources” states Kirill Klip, President of the Company. Read more."

Lithium Boom Continues To Fuel Chinese Majors.


  Industrial Minerals reports about Ganfeng Lithium and Tianqi Lithium from China and their incredible growth confirming my observations.  Read more.


"Lithium: Goldman Sachs estimates that a Tesla Model S with a 70kWh battery uses 63 kilograms of lithium carbonate equivalent (LCE) – more than the amount of lithium in 10,000 cell phones.
Further, for every 1% increase in battery electric vehicle (BEV) market penetration, there is an increase in lithium demand by around 70,000 tonnes LCE/year."
"China is The Center Of Lithium Universe, links below will provide you with more information why it is really happening so fast. China is already the largest market for electric cars, BYD backed by Warren Buffet is the largest EV manufacturer in the world and Chinese companies are producing the largest amount of lithium chemicals for the batteries. There are 25 companies which are making 51 models of electric cars in China now. This year we will see over 500,000 EVs sold in China. It took GM 7 years to sell 100,000 Chevy Volts from 2009. BYD will sell 100,000 EVs this year alone!
  Now Electrek reports that China is pushing for the very aggressive ZEV mandate: "8% Of New Cars To Be Electric By 2018, 12% By 2020." I will translate: this year we are getting just over 1% of new cars sales in China. By 2018 they are talking about a factor of 8 and by 2020 about the 12 times that amount! Digest. Maybe the Orange is the new Black, but economics has still the same language, money talks. And Green is the color of money these days. BYD estimates its profit up 84% this year after triple digits growth before! Read more."

Energy rEVolution: Lithium Ion Batteries Account for 83 Percent of Newly Announced Energy Storage System Capacity.


  "We have another confirmation that lithium technology is disrupting the energy and utility business and became the  technology of choice for the Energy Storage industry. According to Navigant Research, nearly 2 GW of Energy Storage Systems (ESS) have been announced in 2016 so far. Lithium batteries remain the leading energy storage technology for new projects worldwide (excluding pumped hydro storage), accounting for 83% of newly announced ESS capacity through 3Q 2016.
  Now we can put my previous post about China Energy Storage development in the context of this new research. For everybody concerned with Donald Trump bringing us back into The ICE Age, I do not worry about it. Nothing will be easy but his own success as The Disruptor in Chief of the establishment will prevent him from going backward. He is a businessman after all. We are moving into the age of common sense as I see it. You cannot get there with The Steam Engine. Even if China will become not only the Center of Lithium Universe but the driving force for climate change actions in general with its New Energy Plan, I do expect the U.S. to benefit from a pro-business approach. 
  We will have maybe more insults, but less nonsense hopefully. This Energy rEVolution tide is unstoppable now. EVs and Solar are here to stay and "The learning Curve" has brought us to the stage when electric cars are just better and becoming cheaper than the ICE ones. Solar power generation is beating records every month becoming cheaper and cheaper as well. EVs and Solar are becoming economically better for business. Better and more efficient business means growth and only growth can make America great again. Below you can find my thoughts confirming these conclusions. Read more."

International Lithium and Ganfeng: Major Catalyst For Electric rEVolution And Security Of Lithium Supply.

  We have discussed before the fast changing geopolitical landscape in the world and why New Energy Plan in China can change the balance in our world's economic system just in a few very short years. For more than 100 years oil was our only major source of energy powering the economic growth. Oil means power and power means oil - this sentence can determine the politics of all 20th century. But not anymore. We are just at the tipping point of the major tectonic shift from the centralized energy systems to the distributed electricity  generation and its consumption when we want it. Electricity is the most efficient form of energy known to us. Now, thanks to "The Learning Curve", we can produce it very cheap with solar and wind and we can store it very efficiently using lithium batteries. Cheap lithium batteries change everything here. We are in the catalyst stage of moving from 2 to 7000. 2 is the number of batteries in your farther's first remote control, 7000 is the number of lithium batteries in Tesla Model S. 
  Tesla is making the headlines demonstrating the potential of lithium technology. Elon Musk has proved that electric cars are just better. Here comes the China's New Energy Plan in the picture as the major driving force for The Switch with its state-level military style planning and execution - you can find more details about it in my previous posts. 
  Two major Chinese companies Ganfeng Lithium and Tianqi are part of this state-level plan to build the Electric rEvolution from top to bottom, including the secure supply chain for the critical metal Lithium which is at the very heart of this technology. This year they have broken "The Old Lithium Big 3" and now we have "The New Lithium Top 5". Albemarle is in the first place and SQM is holding now to the second. Ganfeng Lithium and Tianqi have pushed FMC into the 5th place and are chasing each other between 3rd and 4th. Ganfeng Lithium is a $4.5 Billion MC company and strategic partner of International Lithium. We were very fortunate after two years of due diligence to strike the major deal with Ganfeng for International Lithium in 2011. This business demands a long term planning and stamina just to stay with the game. This year, after 7 years of building our business, we are celebrating with Ganfeng the 5th anniversary International Lithium's IPO. Read more.

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