Lithium Valley Main Report 2018
1 FOREWORD This report provides evidence and recommendations for why Lithium Valley could be established in WA just as Silicon Valley happened in California. The rationale is based on the science and engineering realities that show WA has all the basic raw materials, environment and expertise to make it happen. However, WA does not have a history of adding value to its raw materials before export. There are differences with Lithium (and the other battery metals) of the New Energy economy and they are: reliable quality, high value products, security of supply and access to other New Energy metals in a stable political environment. If WA can create global best practice environments that meet or exceed emerging users' demands, this will attract international companies to local specialised industrial regions around the State. That is the context for our report.
confidence this inspires has underpinned the development of world-leading mining, petroleum and agricultural sectors, efficient and reliable logistics infrastructure, a high- quality education system and a workforce with diverse and advanced technical competencies and associated professional services. This is a solid foundation for industrial development and growth. WA has an unmatched array and depth of energy and mineral resources, shares direct ocean access to 2.5 billion people and has a sound long-term growth rate. WA also has abundant renewable energy resources – which are increasingly being harnessed for households and integration into industrial processes to resolve water constraints and reduce energy costs. WA’s location, small population and lack of capital have long stood in the way of greater industrial development. Historically, it was more cost effective to value add closer to large markets or in countries with large, low cost workforces. This is no longer the case. Information technologies, artificial intelligence, automation and new energy systems now favour manufacturing at the earliest point in the value chain where all the input materials can be brought together in a low, cost effective way. WA has this advantage with New Energy metals like no other place in the
The report sets out evidence in support of increasing the value added to New Energy metals prior to export, as the basis of the next stage of industrial development and economic expansion for Western Australia (WA). The transition to a New Energy economy is outlined as a global and local process where WA can help provide leadership and enjoy great benefits from the process. This will require policy support and infrastructure investment coordination from the Commonwealth, WA and local governments. The key enablers are all in place and the time is now otherwise the opportunity will be missed. WA is home to the world’s most accessible abundance of New Energy metals - lithium, rare earths, cobalt, vanadium, tin, tantalum, nickel, manganese and magnesium - essential components in energy storage devices, such as lithium ion batteries. The chemistry of energy storage devices continues to evolve, however the market for these elements is expanding rapidly and will continue to do so for the foreseeable future, due to a range of economic and environmental drivers. The market is for quality battery materials associated with Lithium Ion batteries. WA has a transparent, western democratic and free market system of governance, offering low sovereign risks to investors. The
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