The Mount Holland lithium mine in Western Australia has reportedly shut down after a fire engulfed the site, approximately 105 km southeast of Southern Cross.
Hot weather and strong winds have fuelled nearby bushfires, forcing evacuations.
The shutdown of the mine has sparked worries about significant disruptions to the lithium industry, critical for semiconductors and electric vehicles (EVs).
The Mt Holland project, launched in 2024, includes an open-cut mine, concentrator, and refinery expected to produce lithium hydroxide in early 2025.
It has a projected 50+ year operational lifespan, and is owned by Covalent Lithium, Wesfarmers, and SQM.
Estimated production of 380,000 tons of spodumene concentrate annually, refined into 50,000 tons of battery-grade lithium hydroxide – enough to power one million EVs.
The mine was seen as key to reducing reliance on lithium processing dominated by countries like China.
With lithium demand forecast to surge 40-fold by 2035 due to EV growth, the shutdown highlights vulnerabilities in the global supply chain.
This article was originally published by the Daily Telegraph New Zealand.
