France's Imerys wants to become leading lithium producer in Europe (updated)
24/10/2022 07:32
(Adds details)
PARIS, Oct 24 (Reuters) - French minerals company Imerys
IMTP.PA said on Monday it wanted to become the leading
supplier of lithium in Europe through a mining project in
France.
The announcement comes as European miners are rushing to
launch domestic production of the raw material, a key component
for electric vehicle production, currently sourced almost
entirely from outside the bloc.
Imerys said results of surveys carried out at its Beauvoir
mine in the Allier department in central France allow it to
produce 34,000 tonnes of lithium hydroxide for at least 25 years
from 2028 to supply around 700,000 electric cars.
Electric cars are a key plank of European Union plans to cut
emissions, and the bloc is trying to reduce reliance on battery
supplies from Asia through projects with European-based
carmakers and battery specialists.
Almost all the critical minerals currently come from outside
the continent, with China dominating the global supply chain.
The world's main lithium suppliers also include Australia and
Argentina.
European Commission President Ursula von der Leyen said
last month that "lithium and rare earths will soon be more
important than oil and gas", adding the bloc's demand for rare
earths alone will increase fivefold by 2030.
Various miners are exploring domestic European lithium
projects including in Austria, Germany and the Czech Republic.
Imery's French rival Eramet ERMT.PA is exploiting a
project in the Alsace region.
The French project is estimated to involve construction
capex of around 1 billion euros, Imerys said, adding that cash
cost of the lithium project is estimated to be around 7-9 euros
per kilo.
The Beauvoir site has been producing kaolin for ceramics
since the late 19th century.
In Serbia, a domestic mining project has been facing
stiff opposition
from the local population.
(Reporting by Dominique Vidalon, editing by Tassilo Hummel)
((dominique.vidalon@thomsonreuters.com; +33149495432; Reuters
Messaging: dominique.vidalon.reuters.com@reuters.net))