[French Lithium Company Launches Geothermal Well Testing at the Schwabwiller Site in Alsace] The first geothermal exploration well drilled by the French lithium company at the Schwabwiller site in the Grand Ried department of Alsace, France, has begun well testing. This phase will last 3–5 weeks and is intended to verify the resource’s potential for geothermal heating and lithium production. Drilling at the Schwabwiller site began in November 2025, with a target depth of approximately 2,400 meters. The project is expected to drill a pair of wells, with a bottom-hole spacing of about 1,000 meters. The drilling campaign is expected to take a total of seven months. If results are positive, the French lithium company’s project is expected to provide geothermal heating for enterprises, farms, and local communities in northern Alsace. In addition, extracting lithium from geothermal brine will produce lithium with a lower environmental footprint, with carbon dioxide emissions reduced by about 70% compared with lithium currently on the market. Source: https://www.thinkgeoenergy.com/ [Li-FT Power Strategic Assessment of the Yellowknife Lithium Carbonate Conversion Plant Project] The global lithium chemicals supply chain is at a crossroads, with traditional production models facing unprecedented pressure from accelerating electrification demand. The market landscape is increasingly tilting toward integrated producers, which can capture value across the full chain—from raw ore mining to refining and producing battery-grade lithium chemicals. This shift reflects a broader strategic realignment across the industry: enterprises are enhancing operational resilience through vertical integration rather than relying on fragmented commodity supply chains. Li-FT Power’s recently announced Yellowknife lithium carbonate conversion plant project is a representative case of this strategic evolution. The proposed facility targets annual production of 30,000 mt LCE, positioning the company within North America’s emerging battery materials ecosystem. This capacity scale reflects an intentional mid-end positioning, balancing capital efficiency with meaningful market participation. Source: https://discoveryalert.com.au/ [Zimbabwe Clarifies Why It Hastily Banned Exports of Some of Its Most Critical Minerals] Recently, Zimbabwe’s Minister of Mines, Polit Kambamura, reiterated this rationale, stating that miners’ under-reporting of declared volumes constitutes a serious problem that cannot be ignored. He noted that the issue has become so widespread that the government was forced to bring forward the disciplinary timetable by one year. The government had originally planned to begin imposing an export ban on lithium concentrates next year, but due to rising production and newly issued export permits, it moved to launch the ban as quickly as possible. At a press conference after a Cabinet meeting in the country’s capital, Harare, Kambamura told reporters: “The ban will remain in effect until the conditions proposed by the government or new expectations are met.” Source: https://africa.businessinsider.com/ [Rock Tech and Siemens Plan to Build a Lithium Converter in Canada] The lithium converter that Rock Tech Lithium is developing in Guben, eastern Germany, is intended to serve as a blueprint for building a similar facility in Canada in cooperation with Siemens. The project will use Siemens’ digital twin technology to digitally replicate, optimize, and scale up the plant’s design and operating processes. The lithium converter that Rock Tech is currently building in Guben, Germany, is designed for an annual output of 24,000 mt of battery-grade lithium hydroxide. The company said this will become the largest facility of its kind in Europe. It is expected to start operations in 2027. The target capacity is equivalent to about 30 Gwh of battery capacity, sufficient to meet demand for about 500,000 EV units per year. Rock Tech also plans to build a similar facility in Red Rock, Ontario, Canada. Siemens AG’s technology will be deployed for the plant’s construction and operations. The two companies have signed a non-binding memorandum of understanding to establish a long-term, multi-phase strategic partnership focused on developing modern lithium converter capacity. Source: https://www.electrive.com/

This week, lithium carbonate prices fluctuated and declined. Based on actual transactions, upstream lithium chemical plants completed concentrated maintenance and resumed normal production. However, as prices pulled back, willingness to sell for spot orders remained weak, with strong sentiment to withhold supply and hold prices firm. Downstream material plants showed strong purchase willingness. Production schedules continued to increase, and restocking willingness was strong during price pullbacks. Overall, market inquiries and transactions were relatively active.

This week, lithium ore prices fluctuated in line with the trend in lithium carbonate. Supply side, overseas mines’ willingness to hold prices firm remained undiminished, with quotations staying elevated; suppliers’ reluctance to sell remained strong, and most quotations continued to be back-calculated with reference to futures prices. Demand side, as raw material supply continued to be available going forward, current inquiry sentiment improved somewhat, but given the relatively large recent fluctuations in lithium carbonate prices, there was still some wait-and-see sentiment across the upstream and downstream, so overall transactions were relatively sluggish; overall market transaction prices fluctuated in tandem with swings in lithium carbonate futures.

This week, ternary material prices edged slightly downward. From a raw material perspective, nickel sulfate, cobalt sulfate, and manganese sulfate prices remained relatively stable with no significant fluctuations. The primary downward pressure on prices came from lithium sulfates: spot prices of lithium carbonate and lithium hydroxide saw notable declines in early week, weakening the cost support for ternary materials. Despite the pronounced decline in lithium sulfate prices early this week, ternary cathode material manufacturers showed relatively limited restocking interest. There are two main reasons for this: First, prior to the price adjustment, most cathode manufacturers had already finalized March orders with downstream battery cell makers and are currently in the order delivery phase , maintaining relatively sufficient raw material inventories. Second, manufacturers generally maintain a " buy on rising, not on falling " mentality, viewing this adjustment primarily as short-term volatility influenced by international situations, with no expectation of sustained lithium sulfate price declines. In terms of pricing, although lithium carbonate futures prices experienced adjustments, cathode manufacturers' quotations did not see significant declines, mainly because their raw material costs remain higher than current futures prices . Spot market transactions were also quite subdued this week, with market activity dominated by long-term contract supplies. On the demand side, the EV market showed seasonal recovery, but downstream customers' order fulfillment pace remained slow due to Q1 new energy vehicle sales falling short of expectations . In contrast, e-mobility and consumer electronics markets saw relatively notable growth, primarily driven by some consumer batteries facing "export rush" demand , leading to forward order placements.

Raw material side, this week lithium carbonate and nickel sulphate prices fluctuated, while cobalt sulphate prices began to drop slightly after remaining stable for an extended period.

This week, more players entered the solid-state battery industry, with various parties “riding” the hype: Sunstone Development and TONZE stated that their sulphide projects were still in the early R&D stage; QingTao’s Wuhai 2 billion yuan project released its EIA public notice, and a 3.5 GWh production line in Taizhou commenced operations; Suzuki acquired Kanadevia’s solid-state battery business; Yaoshi Lithium Battery completed a 200 million yuan Series A financing round.

February 2026 coincided with the Chinese New Year holiday. Affected by holiday factors, production pace across core segments of China’s sodium-ion battery industry generally slowed, showing an “off-season reset” trend. From cathodes, anodes, and electrolyte to battery cells and end-users, production across all segments declined MoM to varying degrees, while YoY still maintained a certain degree of growth resilience.

SMM Morning Meeting Minutes: Overnight, LME copper opened at $13,146/mt and hit an early high of $13,153/mt. Thereafter, the center of copper prices gradually moved lower, dipping to $12,975/mt near the close, and finally settled at $13,027.5/mt, up 0.49%. Trading volume rose to 25,000 lots, and open interest to 306,000 lots, down 1,096 lots from the previous trading day, mainly due to bears reducing positions. Overnight, the most-traded SHFE copper 2604 contract opened at 101,640 yuan/mt and climbed early to 102,080 yuan/mt, then fluctuated downward to a low of 101,200 yuan/mt, followed by wide swings, and finally settled at 101,700 yuan/mt, up 0.45%. Trading volume rose to 44,800 lots, and open interest to 195,000 lots, down 213 lots from the previous trading day, mainly due to bears reducing positions.

Over the past few days, the Indonesian nickel market has reacted to the government’s announcement of a restricted 2026 RKAB production quota, set at approximately 260–270 million tons. This reduction has sent shockwaves through the industry, sparking widespread concern among both operational and upcoming smelters. Stakeholders are increasingly worried that these tightened supply levels will be insufficient to sustain their long-term production requirements. For the first one, The Indonesian Nickel Miners Association (APNI) has stated that the Ministry of Energy and Mineral Resources (ESDM) has agreed to consider revisions to the 2026 Work Plan and Budget (RKAB) starting in July. It is believed that the RKAB revisions could increase nickel production quotas by 25% to 30%. According to APNI, the domestic smelter demand based on the capacity is around 380-400 million tons, With the existing RKAB quota at 270 million tons and projected imports from the Philippines at 23 million tons, this 30% adjustment is critical to meeting the national ore deficit. This potential for more quota provides some relief to the market, but there is a second, more pressing issue to consider Another media also stated that The Indonesian Ministry of Energy and Mineral Resources (ESDM) has set a conservative nickel ore production target of 209.08 million tons for 2026, a figure notably lower than the approved RKAB quota of 260–270 million tons. According to Siti Sumilah Rita Susilawati of the Directorate General of Minerals and Coal, this strategic reduction is intended to preserve national reserves and stabilize global commodity prices As a result, the sudden perception of even deeper quota cuts has fueled confusion across the Indonesian market, which might further intensifying the pressure from already spiking nickel ore prices. I. Indonesia’s Calculated Nickel Ore Demand in 2026 According to SMM’s latest calculations, the total nickel ore requirement for 2026, which includes the demand from NPI, FeNi, Nickel Matte, and MHP, is estimated at approximately 334 million tons, based on the production estimates of smelter's current condition. This sharp increase is primarily driven by the rapid expansion of MHP production, which utilizes higher volumes of limonite ore. This surge in consumption has intensified the pressure on smelters to secure significantly higher mining quotas. II. Current Update and Understanding The Quota Revision? According to current understanding from the Regulation of the Minister of Energy and Mineral Resources Number 17 of 2025, citing the 11 th Article Regarding the Amendment of Work Approved Quotas in ESDM, it is stated that: Article 11 (1) Holders of an IUP (Mining Business License) for the Exploration stage, holders of an IUPK (Special Mining Business License) for the Exploration stage, holders of an IUP for the Production Operation stage, holders of an IUPK for the Production Operation stage, or holders of an IUPK as a Continuation of Contract/Agreement Operations may submit one (1) application for an amendment to the Exploration stage RKAB or the Production Operation stage RKAB in each current year. (2) The application for the RKAB Amendment as referred to in paragraph (1) shall be submitted after the holders of the Exploration stage IUP, Exploration stage IUPK, Production Operation stage IUP, Production Operation stage IUPK, or IUPK as a Continuation of Contract/Agreement Operations have submitted periodic reports up to the second quarter or no later than July 31st of the current year. SMM observes that RKAB revisions and amendments are standard procedure, as seen in both 2024 and 2025. This year, however, the submission window for revisions is expected to open after June, with a final deadline of July 31st. While the ESDM has not clarified whether the 260–270 million ton target already accounts for these mid-year adjustments, it remains highly likely that these revisions will be sufficient to meet domestic smelter demand. Another Potential Cuts? According to SMM’s further communication with ESDM, the predicted quota for 2026 still remains on 260-270 million tons estimate. Since the further production cuts rumor by ESDM is not in an official setting announcement, it is hereby confirmed that the quota approved of 2026 will not be lower than ESDM’s initial estimate of 260-270 million tons. From SMM's understanding, the target number to be lower than the quota is merely just an estimate of the production target, not necessarily reflecting the actual production numbers. III. Nickel Ore Supply and Demand Given the government’s push to tighten annual quotas, SMM expects this year’s revisions to land at approximately 20%, a more conservative number. Furthermore, nickel ore imports from the Philippines are unlikely to see significant growth compared to 2025, with estimates holding at approximately 19 million tons. This stagnant growth is due to the heavy concentration of Philippine exports to China, coupled with limited domestic mining capacity and a lack of new mining companies . After factoring in import volumes from the Philippines, the nickel ore market is likely to remain in a tight supply-demand balance, especially with potential hurdles like the rainy season slowing down mining operations. Nonetheless, this scenario is much more realistic than the alternative: a massive 50+ million ton deficit that would occur if the total quota were strictly capped at 270 million tons. IV. Conclusion Overall, the signal for significant quota cuts at the start of the year has already triggered a sharp rally in nickel ore prices, which could be seen from the substantial rise in premiums, largely driven by quota reductions at major mining companies and persistent uncertainty among small-to-mid-scale operators. Looking ahead, if the government maintains these restricted levels and fails to approve adequate supplemental quotas, domestic ore prices are poised for further upward momentum, potentially intensifying the cost burden on the downstream smelting sector.

Powering the Core Journey! OFweek 2026 (10th Annual) Industry Annual Conference is set for a major upgrade and will make its debut at the AsiaWorld-Expo in Hong Kong (Main Forum, Hall 8) from March 11-12, 2026 . This annual conference will be held concurrently with TBSA 2026 (2026 Asia International and Exhibition), covering an exhibition area of over 22,000 square meters. It will attract more than 350 global exhibitors and over 20,000 international professional visitors. Over 150 industry leaders will gather to explore cutting-edge trends in the battery industry, connect global resources, and jointly create a new industrial landscape. Two major events will also be held concurrently: the Weike Cup·OFweek 2025 (8th Annual) Industry Awards Ceremony, and the launch event of the "Involution Ebbs, Innovation Gathers Strength: 2026 China Lithium Battery Industry Panorama Blue Book" (including the release of rankings), integrating exhibitions, high-end conferences, and industry awards. Global renowned enterprises such as Power, Lead Intelligent Equipment, Materials, BTR, Reasolid New Material, Bosch Rexroth, Jingshi, Zhongke Shenlan Huize, and WELION New Energy will gather at this grand event to share insights and jointly promote a new pattern of high-quality development across the industry chain. Three Special Sessions: Decoding Cutting-Edge Trends and Growth Opportunities As an annual barometer for the lithium battery industry, this conference, centered around the theme of "Technological Breakthroughs - Intelligent Manufacturing Upgrades - Market Outlook," will feature three special sessions on Technology and Applications, "Intelligent Manufacturing," and Solid-State Batteries . It will focus on pathways for technological implementation, delve into intelligent manufacturing and cost-reduction and efficiency-enhancement solutions, and provide insights into solid-state battery technology roadmaps to help secure a leading position in next-generation battery technologies. Two major launch events will be held concurrently: ▲ BTR New Product Launch Event : The anode leader unveils innovative products, showcasing groundbreaking technologies and achievements; ▲ Launch Event of the "2026 Lithium Battery Industry Panorama Blue Book" : Exclusive release of industry data, policy interpretations, and future trend forecasts, providing a comprehensive overview for industrial decision-making. A Top-Tier Lineup Assembled: Sneak Peek at the Agenda Contact Us Business Cooperation: Ms. Jiao Tel: 19168597392 Email: Market Cooperation/Media Cooperation: Ms. Yi Tel: 19925234597 Email: yiguandi@ofweek.com