Raw materials for the future: cobalt and copper

Around three quarters of the world’s cobalt comes from Congo. It is used in lithium-ion batteries. As cobalt has become cheaper, the Congo first imposed and then extended an export ban lasting several months. This was because an oversupply had arisen after two large mines were ramped up. And this is counterproductive for the Congo’s economy. Incidentally, Indonesia is the second-largest cobalt producer. Both countries want stable cobalt prices on the world market. However, experts see a cobalt deficit in the long term. Cobalt is mostly a by-product of copper mining.

And copper is a necessary raw material for many modern technologies such as electromobility, which consumes a lot of copper, in storage applications, in solar and wind power plants, and in electrification. Added to this is the construction sector, and all this at a time of decarbonization. Power grids must be expanded. According to the International Energy Agency (IEA), functioning power grids are a prerequisite for the global energy transition. Renewable energies are being expanded, and nuclear power is booming, changing the landscape of the electricity markets. Major investments in storage and power grids are necessary. This is the only way to ensure that the growing demand for electricity can be met in a safe, environmentally friendly, and cost-effective manner. This applies not only to Germany, but to many countries that have set climate targets.

Axo Copper – https://www.commodity-tv.com/ondemand/companies/profil/axo-copper-corp/ – is taking care of the copper supply with its La Huerta copper project in Mexico. It covers approximately 11,300 hectares and is a new copper discovery in the promising Sierra Madre belt.

Canada Nickel Company – https://www.commodity-tv.com/ondemand/companies/profil/canada-nickel-company-inc/ – owns the Crawford project in Ontario (cobalt and nickel). The exploration program is being pursued with vigor. Nickel is needed not only for electric cars, but also for the stainless-steel industry.

Current company information and press releases from Axo Copper (- https://www.resource-capital.ch/en/companies/axo-copper-corp/ -) and Canada Nickel Company (- https://www.resource-capital.ch/en/companies/canada-nickel-company-inc/ -).

Sources:

https://www.gtai.de/de/trade/kongo/specials/dr-kongo-verlaengert-exportstopp-fuer-kobalt-1908390; https://www.energiezukunft.eu/wirtschaft/600-milliarden-jaehrlich-fuer-neue-stromnetze/

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