Albemarle Shares Down 14.8% After Lithium Futures Drop 10% on CATL Mine Approval
ALB•Lithium carbonate futures in China fell roughly 10% to a 10-week low of 157,000 yuan per tonne after CATL’s Jianxiawo mine received land-use pre-approval. Albemarle shares fell 14.8% in the past month as rising supply prospects weigh on lithium valuations.
1. Lithium Futures Tumble
Lithium carbonate futures in China declined about 10% over two trading sessions, sliding to 157,000 yuan per tonne, a 10-week low. The pullback reverses gains driven by earlier supply disruptions and surging grid-scale battery demand.
2. CATL’s Jianxiawo Mine Approval
The Jianxiawo lithium mine in Jiangxi Province secured land-use pre-approval valid through mid-2029, clearing a major regulatory hurdle. At full capacity the mine can yield approximately 46,000 tonnes of lithium carbonate annually, around 3% of global supply.
3. Albemarle Faces Share Price Pressure
As futures retreat, Albemarle shares have dropped 14.8% over the past month. The increased supply outlook from CATL’s mine restart intensifies concerns over price pressure and margin compression for lithium producers.
