Cobalt Market

Cobalt’s more than 100% year-on-year price rise to levels of US$53 000 per tonne and the metal’s price rise of over 50% since the beginning of the year can be attributed to the following key drivers:

·       Cobalt as a primary input into new generation batteries

·       Lack of exploration undertaken by juniors during the commodity market downturn of 2014/2015

·       General revival in commodity demand as restocking takes place

·       Relatively tight concentration of major producers of the metal

·       Cobalt has limited new supply projects coming through with a predicted supply deficit over the coming years: 885t in 2018, 3205t in  2019 and 5340t in 2020