Could Clean Energy Spark A Mineral Boom?
(Energy Today/Oilprice.com) A new World Bank report released today (July 18, 2017) highlights the potential impacts that the expected continuing boom in low-carbon energy technologies will have on demand for many minerals and metals.
Using wind, solar, and energy storage batteries as key examples of low-carbon or “green” energy technologies, the report, “The Growing Role of Minerals and Metals for a Low-Carbon Future” examines the types of minerals and metals that will likely increase in demand as the world works towards commitments to keep the global average temperature rise at or below 2°C.
Minerals and metals expected to see heightened demand include: aluminum, copper, lead, lithium, manganese, nickel, silver, steel, and zinc and rare earth minerals such as indium, molybdenum, and neodymium. The most significant example is electric storage batteries, where demand for relevant metals: aluminum, cobalt, iron, lead, lithium, manganese, and nickel— could grow by more than 1,000 percent if countries take the actions needed to keep global warming at or below 2°C.
The report shows that a shift to a low-carbon future could result in opportunities for mineral-rich countries but also points to the need for these countries to ensure they have long-term strategies in place that enable them to make smart investment decisions. In readiness for growth in demand, countries will need to have appropriate policy mechanisms in place to safeguard local communities and the environment.
Big winners will be aluminum, copper, lead, lithium, manganese, nickel, silver, steel, zinc and rare earths.
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Based on current trends, it is expected that Chile, Peru, and (potentially) Bolivia, will play a key role in supplying copper and lithium; Brazil is a key bauxite and iron ore supplier; while southern Africa and Guinea will be vital in the effort to meet growing demand for platinum, manganese, bauxite, and chromium. China will continue to play a leading role in production and reserve levels in practically every key metal required under low-carbon scenarios. India is dominant in iron, steel, and titanium, while Indonesia, Malaysia, and Philippines have opportunities with bauxite and nickel.
A “green” technology future has the potential to be materially intensive, the report states. Increased extraction and production activities could also have significant impacts on local water systems, ecosystems, and communities. As countries develop their natural resource endowments, it will be critical that sustainability, environmental protection, and options to recycle materials be integrated into new operations, policies and investments. READ MORE and MORE (World Bank) Abstract
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How the rise of copper reveals clean energy’s dark side (The Guardian)