Year: 2023

A few years ago, the idea of manufacturing EV batteries in the US was fraught with hurdles, the key issue being the absence of a domestic lithium pipeline. The US had earned a reputation as the biggest producer of lithium in the world, as well as the biggest user of lithium in the world (it was even used in the drink 7Up), but this growth stopped over health concerns and the US dwindled down to just one operation by the time the EV market took off.

The lithium supply chain is still problematic to the extent that it involves digging new surface mines, but an alternative solution has been emerging in the form of geothermal brine, and the US Department of Energy is pulling out all the stops to promote it. In 2020, the US Geological Survey identified five states with major deposits: Arkansas, California, Nevada, North Carolina, and Utah.

Thanks to a variety of factors (mostly base economics), lithium-ion battery packs are at record low prices. After dropping 14%, they are down to $139/kWh vs 2022. Prices for key battery metals, especially lithium, have fallen sharply since January, due to significant growth in production capacity in all parts of the battery value chain, from raw materials and components to cells and battery packs.

The steep price drop and record low average price come on the heels of price increases in 2022 that had brought battery prices back to 2020 levels. 10 Years ago, battery packs (including cells) cost $780 per kwh. These figures represent an average across multiple battery end-uses.

ALTERNATIVE POWER REPORT

Today’s electric vehicles are predominantly powered by nickel-manganese-cobalt (NMC) lithium-ion batteries. However, the inclusion of cobalt in this type of batteries has been considered problematic due to its anticipated scarcity as well as the associated supply chain risks related to its single source, human rights and mining practices.

Japanese scientists have developed a high energy density, cobalt-free lithium-ion battery that yields about 60% greater energy density than conventional lithium-ion batteries for an equivalent weight and volume and sustains unprecedented 1,000 cycles.

Source: PV Magazine: Read The Article