BY ELIZABETH FABRI
WESTERN Australia could become the next global battery manufacturing hub as it edges closer to mining all the necessary materials for lithium-ion battery production.
Speaking at day one of the Battery Minerals Conference in Perth, Mineral Commodities business development manager Daniel Hastings said the State was expected to become “the only jurisdiction in Australia and possibly the world” producing all raw materials for battery production, including nickel sulphate, lithium carbonate and hydroxide, and potentially battery anode material such as graphite.
“We take the view – like most other companies – that the current energy revolution has just begun and the outlook for battery raw materials is extremely positive,” Mr Hastings said.
“The State will soon be well positioned to entice battery manufacturers to invest in infrastructure.”
Mineral Commodities is currently undertaking a pre-feasibility study into the development of its Munglinup graphite project, 100km west of Esperance.
The company has identified graphite as a commodity to watch as environmental issues in China and the average grade of Chinese deposits bodes well for demand and pricing, as well as battery producers’ desire to diversify geographical sources of graphite.
Midas Engineering Group director Damian Connelly echoed Mr Hastings views and said the sector was “misjudging” the full impact that battery minerals demand will have in the short to medium term.
“Make no mistake – the demand for battery minerals will create a WA boom bigger and more sustained than the gold boom of the 1990s,” Mr Connelly said.
“The market and financial institutions are underestimating the huge disruptive change and the speed of change occurring in the technology of the battery market.
“Plans and structures put in place now will heed well for the future.”
WA Mines and Petroleum minister Bill Johnston said WA was “the logical place” to establish downstream processing and manufacturing infrastructure.
“Not only are we the largest producer of lithium in the world, we are also one of the only jurisdictions possessing most of the essential minerals needed for battery manufacturing,” Mr Johnston told The Australian Mining Review.
“WA is also a world leader in the technology to find the resources, possesses a highly skilled workforce, and the research and development capacity that is so important for the future.”
Mr Johnston said the McGowan Government was in constant discussion with all corners of the industry, domestically and internationally.
“Representatives of the WA Government have recently been promoting the industry and the opportunities our State can provide in South Korea, the European Union and South Africa,” Mr Johnston said.
“Jobs are the main focus for the McGowan Government and we are very keen to support and develop the emerging battery materials industry.”
He said WA was already a world-leader in mining equipment technology and services (METS), with an estimated 60 per cent of global mining software produced in Perth.
“Perth is at the leading edge of scientific and technological innovation, and the McGowan Government actively promotes this to our trading partners,” Mr Johnston said.