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According to Adamas Intelligence, a Canada-based critical minerals and metals consultancy firm, demand for lithium is set to surge by 26% in 2025, driven by an anticipated rise in demand in the EV market from this year and beyond.

By Ryan Chigoche

This development follows the lacklustre performance of the global electric vehicle industry in 2024, which negatively impacted lithium demand during the period, despite the industry experiencing rapid growth in prior years.

While the EV market in the Asia-Pacific region performed well, sales growth in the Americas slowed substantially, and in Europe, it reversed, resulting in a significant slowdown in lithium demand growth. Simultaneously, the flood of new supply in recent years, which producers in Australia and elsewhere are only now fully coming to grips with, caused lithium prices to languish at levels roughly 80% below their peak.

However, Adamas Intelligence, a Toronto-based battery metals and EV consultancy anticipates an increase in lithium demand in 2025, driven by EV sales in Asia as well as a rebound in European and American markets.

“Overall, we expect global lithium demand to increase by 26% to 1.46 million tonnes in 2025 on a lithium carbonate equivalent (LCE) basis, up from an estimated 1.15 million tonnes last year. We expect Asia-Pacific, led by China, where EVs now represent more than half of all vehicle sales, to continue driving the global EV market in 2025 and beyond,” Adamas said.

“We’re also optimistic about prospects for a reacceleration of EV sales in the Americas and Europe, although the introduction of trade restrictions by the EU on made-in-China cars and the incoming Trump administration’s plans for broad trade tariffs and a rollback of climate goals are wildcards,” the consultancy firm added.

With battery material costs lower across the board, greater affordability should also support the market next year.

In 2025, Tesla aims to increase EV production by 500,000 units for the year with the release of its much-anticipated low-cost passenger car, which will be followed later by its much-touted robotaxi.

In Europe, automakers are set to face stricter CO2 standards and targets from next year, the first incremental change since 2021, spurring the expansion of more affordable mass-market EV offerings on the continent.

However, the Chinese EV market will remain the number one driver of lithium demand and should receive a boost in 2025, not only through Beijing’s broader economic stimulus program but also through ongoing incentives for Chinese buyers to switch from gasoline-powered cars.

To capitalize on the anticipated surge in lithium demand, the lithium sector in Zimbabwe expects $380 million in capital investments in 2025. Bikita Minerals is set to invest $100 million in smelters, which will boost smelting production levels by 95%. This investment is part of a larger plan by the company to invest $500 million in a lithium smelter, a key component of its long-term growth and competitiveness in the lithium market, even amid softening prices.

In addition to Bikita Minerals’ efforts, Sandawana Mines is expected to invest $280 million in a lithium concentrate processing plant, scheduled for completion by March 2026. This project is set to double production, reaching 500,000 tonnes of concentrate.

Adding to the immediate supply in the market, China, the second-largest holder of lithium reserves globally (behind Chile), recently announced a sharp increase in its own reserves, now accounting for 16.5% of the world’s total, up from just 6%.

The Zimbabwe Republic Police (ZRP) has released the names of five of the seven Artisanal Miners who were killed after a mine shaft they were working on collapsed.

In a statement the ZRP announced the deceased as follows:-

Leo Chapondama of Maganyani village Masembura village, Bindura, Zolani Nyani (21) of Church Road, Chipadze Bindura, Samson Madyira (20) of Waerera Village, Jacob Madyira (20) of Waerera village and Mathew Madyira (23) of Waerera village, Masembura, Bindura.

Two other victims are yet to be identified by their next of kin.

Mining during the rainy season poses significant risks to artisanal and small-scale miners. Heavy rains claim lives at poorly maintained or secured mine shafts which collapse due to water infiltration, weakening soil stability in the rainy season.

Flash floods are a constant threat, often trapping miners underground or washing away equipment and ore. Increased water levels can lead to drowning incidents in poorly drained or abandoned mine pits. Additionally, wet conditions make it harder to transport materials and increase the risk of equipment failures and accidents.

Miners must prioritize safety measures, including proper drainage systems, reinforced supports, and regular weather monitoring to minimize these dangers. However, this is a challenge as some embark on illegal mining at disused mine shafts

AIM Stock Exchange-listed mining and exploration junior, Premier African Minerals Limited, has secured approximately $4.35 million from a fundraising initiative, marking a crucial step toward restarting operations at its Zulu Lithium and Tantalum Project in Fort Rixon, Mining Zimbabwe can report.

By Rudairo Mapuranga

The fundraising effort includes a retail offer of $2.87 million through the issuance of 8.263 billion new ordinary shares at a price of 0.0275 pence per share, alongside a $1.5 million share placing. This ensures the company has the necessary capital to complete the final commissioning of the Primary Flotation Plant and purchase a Secondary Flotation Plant at the Zulu project.

The retail offer, part of Premier’s larger strategy to resume full-scale production at Zulu, comes at a 30% discount from the 15 January 2025 mid-market closing price. The success of the offer remains conditional on the new shares being admitted to trading on the AIM market of the London Stock Exchange by 23 January 2025.

Most of the funds raised will be directed toward critical operational needs, beginning with a 3-to-5-day test run of the plant. This phase is expected to cost $800,000 and includes the commissioning of the Secondary Flotation Plant. Additionally, $250,000 will go toward settling deferred VAT and other statutory obligations owed to the Government of Zimbabwe. Premier will also allocate $400,000 to cover overdue employee salaries and wages, and $180,000 will be used to pay suppliers of plant spares and maintenance costs.

The remaining balance from the fundraising will be used for partial payments to contractors and other creditors, facilitating the continuation of commercial operations at Zulu.

Alongside this, Premier has been negotiating with various creditors, suggesting they accept new shares as partial or full settlement of debts owed by the company and the Zulu project. The company expects these discussions to conclude shortly, with shareholders receiving updates on the issuance of settlement shares once agreements are finalized.

In the world of gold mining, the choice of extraction methods can significantly impact the environment. Traditionally, cyanide has been the go-to chemical for gold leaching due to its effectiveness and relatively low cost. However, in recent years, alternatives like CNlite have emerged, touted for being safer and more environmentally friendly, Mining Zimbabwe can report.

By Rudairo Mapuranga

This article compares CNlite with cyanide, focusing on their environmental effects and the growing demand for greener mining practices.

Cyanide: An Effective but Controversial Method

Cyanide has been used in the gold mining industry for over a century, offering an efficient way to extract gold from ore. However, its environmental implications are significant. Cyanide is a toxic substance that poses severe risks to water sources, soil, and ecosystems if mishandled or if accidental spills occur. Cyanide spills have been responsible for the contamination of rivers and ecosystems, often leading to fish kills and long-term damage to local wildlife.

Moreover, cyanide poses a significant threat to human health. Communities near gold mining operations risk exposure to cyanide-contaminated water and air, which can result in respiratory issues, skin irritation, and even death in extreme cases. Despite advances in technology and strict regulations designed to mitigate these risks, accidents and mismanagement still occur, leaving cyanide as a controversial chemical in the mining industry.

CNlite: A Greener Alternative

In response to the environmental and health concerns posed by cyanide, CNlite was developed as an eco-friendly alternative for gold leaching. CNlite is non-toxic and biodegradable, making it a safer option for both miners and the environment. Unlike cyanide, CNlite does not pose the same level of risk to water sources and ecosystems, significantly reducing the potential for contamination.

From an environmental perspective, CNlite has several advantages over cyanide:

1. Reduced Toxicity: CNlite is non-toxic and does not produce harmful by-products. This eliminates the risk of toxic spills that can devastate ecosystems, unlike cyanide, which can cause long-term environmental damage.
2. Biodegradability: CNlite naturally breaks down in the environment, reducing the chances of residual contamination. Cyanide, on the other hand, requires additional processing to detoxify before disposal, often at a significant cost and risk.
3. Lower Environmental Risk: The use of CNlite reduces the environmental footprint of mining operations. This is particularly important in sensitive ecosystems or areas where local communities rely on clean water sources for agriculture and daily living.

Cost vs. Environmental Responsibility

While CNlite presents a more environmentally responsible choice, the transition from cyanide to CNlite is not without challenges. Cyanide remains cheaper and widely available, which continues to make it attractive for many gold mining operations, especially in developing nations where cost is a key consideration. However, the long-term environmental costs associated with cyanide spills and contamination can far outweigh the initial savings.

Investing in CNlite and other non-toxic alternatives signals a shift towards more sustainable and responsible mining practices. As global awareness of environmental issues grows, and as governments and international organizations tighten regulations on mining operations, there is likely to be increasing pressure on companies to adopt greener technologies.

A Choice for the Future

The comparison between CNlite and cyanide reveals a clear winner in terms of environmental sustainability. While cyanide remains a powerful tool in gold extraction, its risks to the environment and human health cannot be ignored. CNlite, with its non-toxic, biodegradable properties, offers a compelling alternative that aligns with modern demands for eco-friendly mining practices.

As the gold mining industry evolves, the adoption of safer, greener alternatives like CNlite is not just a responsible choice; it is an essential step toward minimizing environmental impact and protecting the communities that live near mining operations. Ultimately, the future of mining lies in sustainable solutions, and CNlite is leading the charge in that direction.