Fresh projects are needed for mining to meet demand
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- Created: Wednesday, 21 September 2022 08:27
Times are good for the mining sector, but more exploration and mine development is vital if it is to keep up with future demand – for battery minerals in particular. With the focus now on minerals that can build a low-carbon future, Ralf Hennecke, Managing Director of Omnia Group company BME, has emphasized a commodity pipeline that is falling short.
“Greenfield projects to boost the production of key commodities are scarce,” he said. “Minerals like nickel, copper, cobalt and platinum group metals are likely to experience supply shortages in the not-too-distant future if new projects are not initiated soon.”
He reiterated that new mining operations – or even large expansions – typically take 7-10 years to progress from the planning stage to the production of metal. There is a likelihood that the demand-supply gap in many minerals could worsen if levelling production rates are not augmented with new sources of supply. The demand for battery minerals is being driven by a range of green technologies – even though there is still uncertainty about which minerals will be most in demand in the future.