Demand for High Grade Manganese Growing With EV Market

LOS ANGELES, November 8, 2017 /PRNewswire/ --

It appears that lithium is not the only metal to feel the pull of the Electric Vehicle market demand. The need for high grade, high purity manganese is also rising quickly.

Manganese companies on investors' radar as a result of this unique situation include Ferroglobe PLC (NASDAQ: GSM), Anglo American PLC (LSE: AAL), Glencore PLC (LSE: GLEN), and Maxtech Ventures (CSE: MVT) (OTC: MTEHF).

High grade, high purity manganese is used as a primary cathode material in lithium-ion manganese batteries (NCM batteries). The lithium-nickel-cobalt manganese (NCM) formulation of batteries is the slated as the next generation of battery cathodes after the lithium-nickel-cobalt-aluminum design (NCA) battery, and offers superior efficiencies, high power and low cost.

Large producers of manganese are adding production, but one smaller mining company is being highlighted for its efforts to vastly expand manganese resources in Brazil. Maxtech Ventures (CSE: MVT) (OTC: MTEHF) is already positioned for near-term production of manganese with an immediate path to local distribution.

International miners that produce manganese are experiencing positive growth of global demand including Ferroglobe PLC (NASDAQ: GSM), a leading producer of manganese, Anglo American PLC (LSE: AAL), a large miner of manganese worldwide, and Glencore PLC (LSE: GLEN), a highly diversified company that produces significant manganese products.

MANGANESE: A SLEEPER METAL  

Manganese is a relatively abundant metal that is mined worldwide, but not in North America.

Roughly 90% of all manganese production is used in the manufacture of steel; the remaining 10% is used in specialty chemical and agricultural applications.

But thanks to the newly added requirements for technology markets, Manganese is now one of several crucial metals headed for a tight supply crunch, a recently published report says.

After looking at projected demand for manganese and other minerals, the researchers believe that, "much more investment in exploration is needed for supplies to keep up."

Other metals listed as crucially needed in the future are cobalt, another component of lithium-ion batteries, and rare earths, which are used in high-performance magnets.

Indium, tellurium and gallium are also listed due to their use in solar power technologies.

The researchers point out that if nothing changes, lack of supply could cause prices for these metals to spike and lead to serious global challenges.

AUTO GIANTS ROLLING