Cobalt

One of the most important materials for the energy transition, cobalt is widely used in rechargeable batteries.

Cobalt (Co)

Cobalt is highly valued for its thermal stability and high energy density. These qualities mean that cobalt is used in the cathodes of most types of rechargeable batteries. Cobalt is also found as superalloy in gas turbine engines, and has significant applications in cutting tools, catalysts, and magnets. The Democratic Republic (DR) of Congo is by far the largest producer of cobalt and holds just over half of identified reserves. China is, however, dominant in cobalt refining, and has a near monopoly over cobalt battery materials.

Cobalt has a very high association with various ESG risks due to its strong association in public reporting with the artisanal and small-scale mining (ASM) sector in the DR Congo. Of the ESG issues associated with cobalt, child labour is the most prominent. Major downstream users have faced considerable scrutiny from the public and legal action over their use of cobalt because of its association with child labour.

However, the vast majority of cobalt is produced in large-scale mines and the share of ASM in cobalt production has been steadily declining for many years. In the DR Congo, industrial mines that extract both copper and cobalt have been accused of significant human rights abuses.

Main uses and applications

Around 50% of cobalt produced worldwide is used in battery chemicals. Cobalt is a critical component of the cathodes used in most types of rechargeable lithium-ion batteries, due to its thermal stability and high energy density. These qualities reduce the battery’s weight and helps prevent the cathodes from over-heating. Cobalt’s importance in rechargeable batteries means that it is widely used in consumer electronic devices, such as smartphones and laptops, as well as in electric vehicles and in certain energy storage systems.

Another major use of cobalt is as a superalloy material, accounting for around 18% of global cobalt consumption. Cobalt is a component of superalloys that are used in gas turbine engines for aircraft, powerplants and petrochemical facilities, because of their stability at high temperatures. Cobalt’s strength and performance at high temperatures mean it is also widely used in applications such as cutting tools, catalysts, and magnets used in electric motors. It is widely considered to be essential for the energy transition due to its use in clean energy technologies from solar and wind to hydro and hydrogen.

Beyond these applications, cobalt has been used for thousands of years to create a vivid blue colour in pigments for glass and ceramics.