Albemarle to partially idle two lithium plants on weak demand
2020-08-07 11:31:55 [Print]
Albemarle says it is temporarily idling some lithium battery grade production due to weaker demand and higher inventory in the battery supply chain.
The idling of portions of the Silver Peak lithium mine in Nevada and Kings Mountain lithium hydroxide production facility in North Carolina starting this September will affect 4,000-5,000 mt/year, and the company plans to restart the idled output in early 2021, CFO Scott Tozier said on August 6.
Albemarle's Q2 lithium sales fell 12.7% to $283.7M due to low market prices and previously agreed-upon battery-grade lithium contract price concessions with customers, according to Tozier.
Albemarle beat Q2 earnings estimates but warned Q3 results will be pressured by lower production rates from automakers with electric vehicle lines.
The idling of portions of the Silver Peak lithium mine in Nevada and Kings Mountain lithium hydroxide production facility in North Carolina starting this September will affect 4,000-5,000 mt/year, and the company plans to restart the idled output in early 2021, CFO Scott Tozier said on August 6.
Albemarle's Q2 lithium sales fell 12.7% to $283.7M due to low market prices and previously agreed-upon battery-grade lithium contract price concessions with customers, according to Tozier.
Albemarle beat Q2 earnings estimates but warned Q3 results will be pressured by lower production rates from automakers with electric vehicle lines.
Lithium Hydroxide Monohydrate LiOH 56.5%min, Magnets 0.0001%max Delivered China
Unit:RMB/mt
China lithium hydroxide monohydrate producers; sales to production ratio statistics by province by month
Unit: %
