Challenges in Battery Metals Supply and Demand

The battery metals industry has faced significant turmoil, particularly in 2024, as it grappled with the aftermath of a booming market followed by a steep decline in prices for cobalt, lithium, and nickel. The overwhelming supply of these metals exceeded the current demand, leading to producer pain and the mothballing of new mining projects. The conversation highlights that while the energy transition continues, it hasn't unfolded as expected, with many producers struggling to adjust to the new market realities and waiting for signs of recovery. This situation underscores the importance of aligning supply with demand to stabilize pricing and sustain the industry.