Zimbabwe’s lithium miners are urging the government to delay the deadline for refining lithium carbonates locally due to falling prices and rising costs. Over the past three years, miners invested over US$1 billion in new lithium projects, processing raw ore into concentrates for export. However, the government requires them to produce battery-grade lithium carbonates, needing further investment in refining infrastructure.
David Matyanga of the Chamber of Mines highlighted the industry’s need for more time, citing significant investment and current economic challenges. With lithium prices dropping by up to 80% and production costs rising, companies like Huayou Cobalt, which runs Prospect Lithium, emphasize the lack of necessary infrastructure.
Zimbabwe’s lithium production surged from 86,000 tonnes in 2022 to 1.6 million tonnes in 2023, boosting export earnings from US$70.6 million to US$674 million. However, global market conditions have worsened, leading to a slowdown in new projects. Miners now seek additional time to adjust to these economic realities.
