There is significant scope to grow tantalum output outside of Central Africa if prices keep increasing, Dharam Kotecha, director at Halcyon Metals, said during a Fastmarkets webinar this month.
"When prices for tantalite from Central Africa increase, there are more offers from South American producers," Kotecha said during a panel discussion on opportunities in minor metals post Covid-19 - hosted by Fastmarkets this month.
Tantalum prices have found support in the past few months on supply tightness and concerns about obtaining material during the lockdown in Rwanda to control the spread of Covid-19 while no domestic tantalum mines are allowed to run, sources said.
"The panic and nervousness around the supply situation and potential blockages, as well as the demand lag has meant buying has been strong," Kotecha said.
Tantalum mined in Rwanda, the Democratic Republic of Congo and Burundi in Central Africa accounts for around 80% of global tantalum concentrate output, Kotecha said, with Rwanda supplying the majority of this material.
Prices have...