PRESS: Glencore To Sell Third Of Cobalt Produced To Chinese GEM Co

16th Mar 2018 06:51

LONDON (Alliance News) - FTSE 100-listed miner Glencore has entered a deal to sell a third of its cobalt production over three years to Chinese battery recycler GEM Co Ltd, Reuters reported on Friday.

Under the terms of the deal, Glencore will sell 52,800 tonnes of cobalt hydroxide to GEM from 2018 to 2020. Of this, 13,800 tonnes will be bought by GEM in 2018, 18,000 tonnes in 2019 and 21,000 in 2020.

The price of cobalt has risen to USD39 per pound in 2018 from USD10 in 2016, amid growing expected demand from manufacturers of electric vehicles and supply shortages.

For 2017, Glencore produced 27,400 tonnes of cobalt in 2017, down from 28,300 in 2016, but expects to produce 39,000 tonnes for 2018.

https://www.reuters.com/article/us-gem-glencore-cobalt/glencore-signs-massive-cobalt-sale-deal-with-chinas-gem-idUSKCN1GQ3B3

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