Fluorite's Future Potential Material, The Supply Has Declined, And The Price Continues to Be High

12 Dec.,2022


Fluorite Powder

Fluorite mine, also known as fluorspar, is the main source of fluorine in industry and is one of the 20 important non-metallic mineral raw materials in the world. The main component of the electrolyte in lithium batteries is fluorine chemical extraction, so being an upstream fluorite mine is a long-term benefit.


The global distribution of fluorite mines is concentrated, and the global distribution of fluorite resources is relatively concentrated. Among them, South Africa, Mexico, China, and Mongolia rank the top 4 in the world in terms of fluorite reserves. Fluorite resources such as the United States and Western Europe, which are major fluorite consumers, have been exhausted. As of 2020, my country's fluorite reserves accounted for only 13.1% of the world's total, while production accounted for 57.2%.


The crazy rise of lithium hexafluorophosphate, etc., the upstream related fluorine chemicals are all fluorite mines! No matter what kind of battery, the electrolyte is used, and the upstream of the electrolyte is the fluorine chemical, and the upstream is the extraction from the fluorite ore.


On December 6, the domestic fluorite price trend stabilized temporarily, and the average domestic fluorite price was 2,844.44 yuan/ton. On the supply side, due to the domestic power restriction policy, the overall operating rate is not high, and some fluorite companies have slow production pace or adopt intermittent shutdown operations. The cold weather in the northern region may lead to a reduction in the normal working hours of fluorite mining and processing plants. On the other hand, Jiangxi, Gansu and other regions affected by the epidemic in the early stage were gradually lifted from isolation at the end of November and further put into production. The load has increased. The overall operating rate of the industry has increased by 0.21pcts on a week-on-week basis, but the overall situation is still at a low level of about 36%. In terms of demand, downstream hydrogen fluoride companies have started to recover, and have high production enthusiasm. Demand for fluorite is good, and the price trend of fluorite on the market remains high.


The mainstream price of fluorite in the market is temporarily stable. The mainstream price of 97 fluorite powder in Fujian is 2700-2950 yuan/ton, the price of 97 fluorite powder in Henan is 2700-2950 yuan/ton, and the price of 97 fluorite powder in Jiangxi is 2700-2950 yuan/ton. The price is 2700-2950 yuan/ton, but the downstream refrigerant price has a downward trend, and the market price of hydrofluoric acid is mainly stable. It is expected that the domestic fluorite price may maintain a high trend.


At present, the new energy automobile industry is one of the strategic emerging industries strongly supported by the state. Lithium batteries are the core link in the development of the new energy automobile industry. The electrolyte is the carrier of lithium ions in the lithium battery, and the electrolyte is the core raw material of the electrolyte. Lithium hexafluorophosphate It is currently the most widely used electrolyte lithium salt in commercial applications, and is the basic raw material for the development of lithium batteries and new energy industries; lithium bisfluorosulfonimide may be the future development direction of electrolyte lithium salts.


It is understood that in 2025, the demand for fluorite will increase by 1.57 million tons, and there may be a large gap between supply and demand. Continuous policy incentives may guide the industry toward centralized, large-scale, and standardized operations, and promote the industry to realize the rational development and full utilization of resources.