LITHIUM’S NEXT GENERATION

The global mining industry understands that commodity markets will experience regular fluctuations.

However, it's fair to say lithium has faced its challenges throughout 2024.

Cyclically low lithium prices were primarily triggered by a supply surplus caused by the increased production of cheaper lithium from countries like Indonesia and China, which have less stringent environmental, social and governance (ESG) standards.

A decrease in global electric vehicle (EV) sales also played a part in the decline, despite EV demand rising.

But despite the testing year, not all hope is lost.

With the Grattan Institute expecting lithium demand to grow by up to 41 times by 2040, many Australian exploration companies are investing in the critical mineral's future.

Major miners are also joining the frenzy, with Rio Tinto set to acquire Arcadium Lithium for $US6.7 billion ($10 billion).

As 2024 comes to a close, Australian Mining takes a look at two lithium-focused companies looking to make a splash in the new year.

Kali Metals

Since debuting on the ASX in January 2024, Kali Metals - the lithium spin-out of Kalamazoo Resources - has wasted no time.

Backed by an exploration tenure of approximately 3854km², Kali is exploring three lithium assets: the Higginsville project, the Pilbara project, and the Southern Lachlan Fold Belt project.

Kali managing director Paul Adams said Higginsville is the company's flagship project, with Kali owning the lithium rights of ground now held by Westgold Resources via its merger with Karora Resources.

"The Higginsville lithium district in southern Western Australia is adjacent to well-known hard rock lithium mines such as Mineral Resources' (MinRes) Bald Hill and Mt Marion mines," Adams told Australian Mining.