Sept 10 (Reuters) - Shares of lithium miners around the
world slipped after a China state media report said Contemporary
Amperex Technology (CATL) is likely to soon resume
production at a lithium mine in Yichun, located in southern
China's Jiangxi province.
Prices of lithium carbonate futures in China fell more than
7% on Wednesday to more than one-month low. The potential
reopening of the massive mine adds a fresh blow for the sector,
which has been struggling with a glut following
weaker-than-anticipated growth in demand for electric vehicles.
Securities Times' report on the resumption of production at
CATL's lithium mine broke during premarket trading in the U.S.
on Tuesday and sent U.S.-listed shares of lithium miners lower
on easing supply concerns.
Shares of Albemarle Corp ( ALB ), the world's largest
producer of lithium for rechargeable batteries, and U.S.-listed
shares of Sigma Lithium Corp ( SGML ) ended 11.5% and 6.9% lower
on Tuesday.
In Sydney, Pilbara Minerals ( PILBF ) shed as much as 16.7%,
losing the most among Australia-listed lithium miners, while IGO
and Liontown Resources ( LINRF ) shed as much as 12.7%
and 15.8%, respectively.
The lithium miners were also among the top drags on the
S&P/ASX 200 benchmark index, which was largely flat, as
of 0126 GMT.
Meanwhile, China-listed shares Of Tianqi Lithium
and Ganfeng Lithium opened about 5% down.
CATL had suspended operations at the Jianxiawo lithium mine
following a licence expiry on August 9, which had led to a surge
in lithium futures prices and the share prices of lithium
miners.