Insights

Magnis (ASX:MNS) increases lithium battery production amid surging demand

The Magnis Energy Technologies Ltd (ASX: MNS) share price is up after it announced it’s increased productivity at its lithium battery plant.
The post Magnis (ASX:MNS) increases lithium battery production amid surging demand appeared first on The Motley Fool Australia. –

Row of lithium batteries

The Magnis Energy Technologies Ltd (ASX: MNS) share price is lifting slightly today. As of writing, shares in the lithium-ion battery manufacturer are trading for 37.5 cents each – up 0.53%. At opening, shares were trading for 41.5 cents each. By comparison, the S&P/ASX All Ordinaries Index (ASX: XAO) is 0.08% lower.

Today’s price movement comes after the company announced it has increased production capacity at one of its plants.

Let’s take a closer look at today’s news.

What did Magnis announce today?

In a statement to the ASX, Magnis said it has increased the production capacity at its 63% owned Imperium3 New York (iM3NY) lithium-ion battery plant in Endicott, New York to 1.8 gigawatt hours per year.

The increased productivity is possible, according to the company, because of equipment purchased from fellow manufacturer A123 Systems. The purchase was possible due a US$85 million funding package completed mid-last month. The equipment can be used to produce more of the same product iM3NY already makes, or to manufacture different cell designs.

Magnis claims it already has an estimated US$655 million in sales, through the form of binding offtake orders. 

Management commentary

Magnis Chair, Frank Poullas, said “with financing completed, the team in NY is focused on meeting production milestones.”

iM3NY CEO, Chaitanya Sharma, added “we are working around the clock to fast-track production at the iM3NY battery plant following the recent injection of substantial funding.”

Lithium’s bright future

Lithium-ion batteries, and by extension lithium itself, are seeing record levels of demand. That’s because demand for electric vehicles, which need lithium-ion batteries to function, is surging. It’s part of a broader trend that is seeing demand for greener technology in general increasing. Copper and platinum group elements are seeing similar price rises to lithium because of this clean technology dynamic.

Looking at lithium specifically, its price is up 93.55% since the beginning of 2021 to be at a 24-month record of approximately US$13,900 per tonne. The website Trading Economics expects its value to increase for at least the next 12 months.

Magnis share price snapshot

Over the past 12 months, the Magnis share price has risen 660%. In fact, since the first day of trading this year, the company’s value has appreciated 100%.

Magnis has a market capitalisation of $314 million.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of February 15th 2021

More reading

Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Magnis (ASX:MNS) increases lithium battery production amid surging demand appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!