The batteries in electric vehicles are typically lithium-ion batteries, which contain materials such as cobalt, copper, nickel and, of course, lithium, among others.
As the demand for electric vehicles increases, so does the demand for materials such as lithium, which is mined from the earth.
The locations with the highest lithium deposits in the world include South America, the United States and Australia. Here are two high-yield lithium mining companies for future electric vehicle adoption.
Sociedad Quimica Y Minera de Chile SA QM offers a dividend yield of 11.42%, or $11.15 per share annually, makes annual payments, and has a mixed track record of growing its dividends. Sociedad Quimica is a Chilean commodity producer with significant activities in lithium, specialty and commodity potassium fertilizers, iodine (primarily used in X-ray contrast media) and solar salts.
Sociedad Quimica saw first-quarter earnings beat consensus estimates by 118% and plans to continue earnings growth in the second half of the year.
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Albemarle Corporation ALB offers a dividend yield of 0.61%, or $1.58 per share annually through quarterly payments, with an outstanding track record of growing its dividends for 29 consecutive years. Albemarle produces lithium from its brine assets in Chile and the US and its hard rock joint venture mines in Australia.
Kent MasterAlbemarle CEO, said, “We delivered another strong quarter in the current turbulent market environment, driven by strong demand and price trends, particularly for lithium and bromine.”
