Tantalum consumption surges
According to Mining Journal LTD's Metals and Minerals Annual Review, tantalum is one metal that continues to enjoy strong demand growth, driven mainly by robust consumption of tantalum capacitors in portable telephones. In 1997, tantalum processors shipped more than 3Mlb (some 1,400t) for the first time, with demand having grown by more than 50% within the space of four years. A recently published report* from Roskill Information Services on "The economics of Tantalum" is therefore very timely.
The report says that consumption growth has averaged 10% annually since 1992, and that the consumption of tantalum capacitors has risen from five billion units in 1997 to fifteen billion units in 1998. By the year 2000, Roskill is forecasting that annual demand will have risen to twenty five billion units. The surge in demand has resulted not only from the popularity of mobile phones-consumption of tantalum capacitors has also been boosted by the increased usage of laptop computers and video cameras.
For the longer term, demand for tantalum in capacitors for these applications is expected to be limited because components will get smaller and will thus require less metal. Also, there will be competition from other technologies such as ceramic capacitors and electrolytic aluminum capacitors. However, Roskill expects that new markets will emerge that will maintain demand for tantalum capacitors - such as under bonnet applications in motor-cars, for example, in engine management systems, ABS controllers and air-bag systems.
Additionally, tantalum is being used increasingly in superalloys, particularly for casting single-crystal turbine blades for alloy applications account for more than 200,000 lbs of Ta0 demand each year. In the short term, the expected downturn in the commercial aircraft industry could limit the use of tantalum in this sector. Further ahead, the report sees potential new uses for tantalum in oxide form in electronics applications, including memory chips and processors, but the capacitor sector is expected to remain the principal impetus for growth.
In past decades, the main source of tantalum has been a by-product from alluvial tin mining but this supply source is shrinking and hard rock resources will become increasingly important. Roskill notes that in Australia, Sons of Gwalia Wodgina operation) acquired in 1996) is the first large operation being exploited solely for its tantalum content. Capacity at Wodgina is being doubled to 0.3 Mlb/y of Ta0 in the near future. Sons of Goalie's Greenbushes operation process 0.6 -0.7 Mlb/y but as a co-product with the lithium mineral spondumene. The company is the world's largest supplier of tantalum concentrates and has secured long-term sales contracts until 2003 with Cabot Performance Materials and HC Starck. Other tantalum producers include Tanco in Canada. Metallurg in Brazil and the Yichun mine in China.
* The Economics of Tantalum (7th edition1999) available for US$1400 from Roskill Information Services Ltd. 2 Clapham Road, London, SW9 OJA, UK, Tel: (44-171) 582-5155, Fax: 793-0008. Website: www.roskill.en.uk |
