Cobalt Mining as the new Gold Age

Cobalt seems to be the new gold. The rush for mining of the precious metal has skyrocketed since 2016: prices stand at $80,000 per metric ton, up from $20,000 in January 2016, while the demand might increase 30-fold by 2030.

The metal is in fact used in batteries, as in smartphones, electric vehicles and such. Apple announced last February that it will purchase cobalt directly from mining companies, leading to news of a supply shortage.

Nowadays, almost 60 per cent of cobalt is mined in the Democratic Republic of Congo, with an output of 64,000 MT. Russia stopped at 5600 MT in 2017, while for Australia there was a decrease, from 5,500 MT in 2016 to 5,000 in 2017.

The increase in requests has also led to child abuse reports, especially in the DRC. According to Amnesty International, tens of thousands of children are lured or forced into gruelling and dangerous mine work, less in mines and more in tasks such as crushing, transporting, sifting and carrying heavy loads, with work hours up to 12 a day.

To counter this trend, organizations such as the Responsible Cobalt Initiative were formed, «enabling member companies to identify and address potential adverse impacts arising from their business activities and relationships. This includes calling on companies to trace how their cobalt is extracted, transported, manufactured and sold», as explained on their website.

Projects are run by the Initiative, such as the First Cobalt Refinery in North America.