Hyperdrive

Australian Miners Ramp Up Search For Lithium to Meet EV Demand

  • Miners’ spending on exploration rose 11% in December quarter
  • Lithium supply seen struggling to meet demand in years ahead

Ore falls from a conveyor onto a stockpile at a lithium mine outside of Widgiemooltha, Australia.

Photographer: Carla Gottgens/Bloomberg
Lock
This article is for subscribers only.

Exploration spending by Australian-listed miners hit an eight-year high in the fourth quarter of 2021, driven by the search for new lithium resources to meet surging demand from battery and electric vehicle makers.

Miners invested A$973 million ($700 million) in the three months ended Dec. 31, according to a report by consultancy BDO, up 11% on the prior quarter. The spending lift was supported by a record A$3.75 billion worth of financing flowing into the sector through equity and debt raisings.