Cobalt tetroxide market in tight supply
2008-09-26 14:21:05 【Print】
BEIJING (Asian Metal) 26 Sep 08 – Although participants’ sentiment over cobalt market starts to change late this week, the supply of cobalt tetroxide remains tight. Sources reported to Asian Metal that the price is around RMB450-460/kg (USD65.98-67.45/kg) for cobalt tetroxide, up slightly from RMB430-440/kg (USD63.05-64.52/kg) late last week.
A producer in Zhejiang, with an output of around 100tpm of cobalt tetroxide, told Asian Metal that the supply is tight, and most of their materials for October have been booked out. “Some consumers are ready to accept the price of RMB470/kg (USD68.91/kg) for cobalt tetroxide, but we can only deliver the materials in late October,” said the source.
Seeing the huge amount of 18,000t of cobalt concentrates imported in August, some participants start to lose confidence in the future market. However, the source does not think this will affect the current market too much. “The supply of cobalt chloride remains tight and those cobalt concentrates are held by major producers, I don’t think they will allow the price to drop soon,” said the source.
Close sources told Asian Metal that some suppliers start to quote RMB142/kg (USD20.82/kg) or RMB140/kg (USD20.53/kg) for cobalt chloride late this week, against RMB145/kg (USD21.26/kg) previously.
“The supply of cobalt tetroxide is still tight. But battery producers are reluctant to purchase more lithium cobalt oxide due to the financial crisis in the US. In return, this will exert influence to the market of cobalt tetroxide,” said a consumer in Beijing.
Consuming around 30-40tpm of cobalt tetroxide, the source revealed to Asian Metal that the current price is around RMB450-460/kg (USD65.98-67.45/kg). As most lithium cobalt oxide producers have already booked enough cobalt tetroxide for the production till late October, the source believes lower quotations of cobalt chloride offered by some producers is not enough to push down the whole cobalt market. “But people’s confidence in the future market will be frustrated,” said the source.
Generally sources believe the market will remain relatively strong before the National Day holiday.
A producer in Zhejiang, with an output of around 100tpm of cobalt tetroxide, told Asian Metal that the supply is tight, and most of their materials for October have been booked out. “Some consumers are ready to accept the price of RMB470/kg (USD68.91/kg) for cobalt tetroxide, but we can only deliver the materials in late October,” said the source.
Seeing the huge amount of 18,000t of cobalt concentrates imported in August, some participants start to lose confidence in the future market. However, the source does not think this will affect the current market too much. “The supply of cobalt chloride remains tight and those cobalt concentrates are held by major producers, I don’t think they will allow the price to drop soon,” said the source.
Close sources told Asian Metal that some suppliers start to quote RMB142/kg (USD20.82/kg) or RMB140/kg (USD20.53/kg) for cobalt chloride late this week, against RMB145/kg (USD21.26/kg) previously.
“The supply of cobalt tetroxide is still tight. But battery producers are reluctant to purchase more lithium cobalt oxide due to the financial crisis in the US. In return, this will exert influence to the market of cobalt tetroxide,” said a consumer in Beijing.
Consuming around 30-40tpm of cobalt tetroxide, the source revealed to Asian Metal that the current price is around RMB450-460/kg (USD65.98-67.45/kg). As most lithium cobalt oxide producers have already booked enough cobalt tetroxide for the production till late October, the source believes lower quotations of cobalt chloride offered by some producers is not enough to push down the whole cobalt market. “But people’s confidence in the future market will be frustrated,” said the source.
Generally sources believe the market will remain relatively strong before the National Day holiday.
