Hong Kong Lithium Stocks Decline on Resumption News for Jianxiawo Mine

Stock News06-23 14:43

Lithium mining stocks are trending lower in Hong Kong trading. At the time of writing, shares of Tianqi Lithium Corporation (ASX: 09696) have fallen by 6.17% to HK$42, while Ganfeng Lithium Group Co.,Ltd. (ASX: 01772) are down 4.54% at HK$54.65.

The market movement follows recent news regarding the Jianxiawo lithium mine project. According to reports, Yichun Times New Energy Mining Co., Ltd. has reacquired the "Project Construction Land Pre-examination and Site Selection Opinion Letter" for the Jianxiawo lithium mine project as of June 17th. The document is valid from June 17, 2026, to June 17, 2029.

This development has disrupted previous market expectations that the mine would be difficult to restart within the year. Analysts from Cinda Futures suggest that the biggest variable now is the progress of the mine's resumption. The market must now reassess the supply outlook; if production resumes in the fourth quarter, it could introduce significant supply-side pressure, exerting noticeable downward pressure on prices.

Meanwhile, lithium carbonate futures experienced volatility. After a turbulent session yesterday, the main contract closed at 161,700 yuan per ton. Today, prices have fallen further to around 155,000 yuan.

On the demand side, market expectations are already elevated. Analysts indicate that without sustained, better-than-expected demand performance, the price center for lithium may see some downward adjustment.

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