A surge in the deployment of clean energy technologies is encouraging demand for metals that include lithium, cobalt, nickel and copper.
The IEA’s first Critical Minerals Market Review suggests that a from 2017 to 2022, the energy sector was the main factor resulting in a tripling in overall demand for lithium, a 70% increase for cobalt, and a 40% increase for nickel.
Investment in critical mineral development increased by 30% last year, following a 20% increase in 2021.
Lithium saw the sharpest increase at 50%, followed by copper and nickel.
The growth in spending by companies on developing mineral supplies supports the affordability and speed of clean energy transitions.
Diversity of supply is a concern as many new project announcements have come from already dominant countries, found the IEA’s report.
The share of the top three critical mineral producers in 2022 remained unchanged or increased further, for nickel and cobalt in particular, in comparison to three years ago.
Fatih Birol, IEA Executive Director, said: “Much more needs to be done to ensure supply chains for critical minerals are secure and sustainable.
“The IEA will continue its early leadership in this space with cutting-edge research and analysis – and by bringing together governments, companies and other stakeholders to drive progress, notably at our Critical Minerals and Clean Energy Summit on 28 September.”