Been digging into something interesting about the cobalt market lately. The demand for cobalt has absolutely exploded over the past few years, mainly because of lithium-ion batteries powering electric vehicles. Last year global production hit 230,000 metric tons, which is a record, but here's what caught my attention: the geographic concentration is wild.

The Democratic Republic of Congo is basically dominating this space. They're producing around 170,000 MT annually, which is almost 74 percent of the world's cobalt supply. Indonesia comes in second but it's not even close—just 17,000 MT. When you look at the actual largest cobalt mines in the world, it's not surprising that the DRC hosts all five of them.

Let me break down what's actually happening on the ground. Tenke Fungurume is the biggest player, putting out 28,500 MT in 2023. It's controlled by China's CMOC Group with a minority stake held by the DRC government. What's wild is that CMOC's cobalt production jumped nearly 85 percent since 2020, and they actually overtook Glencore as the world's largest cobalt producer. That's a massive shift. China isn't just consuming most of the cobalt—they're also refining it and controlling production through companies like CMOC.

The second largest mine is Kamoto, producing 27,600 MT. It's a joint venture between Glencore and the DRC's state mining company, and they've been steadily ramping up output. Then there's Kisanfu, which is relatively new—it only started operating in mid-2023 but already hit 27,000 MT. This mine is particularly interesting because it's backed by CATL, the Chinese battery giant. The startup of Kisanfu was actually one of the main reasons the cobalt market saw that record surplus last year.

Metalkol RTR is doing something different. Instead of traditional mining, they're reprocessing old tailings from decades of mining operations. They produced 14,700 MT in 2023 and are up 40 percent since 2020. What's notable here is that they signed a major supply deal with Electra Battery Materials in April 2024 to provide cobalt hydroxide to a new refinery being built in Ontario—it's supposed to be North America's first battery-grade cobalt sulfate refinery.

Rounding out the five largest cobalt mines in the world is Mutanda, which is smaller at 11,200 MT but still significant. It's operated by Glencore and had been on maintenance for a while before reopening in 2021. There's some uncertainty though—Reuters reported that they might face production challenges unless they invest in deeper sulfide ore mining.

The bigger picture here is that cobalt supply is increasingly concentrated in the hands of Chinese-backed operators and state companies. For anyone tracking battery supply chains or energy transition plays, understanding who controls these cobalt mines in the world is pretty crucial. The market dynamics have shifted significantly over the past few years, and it's worth paying attention to how this consolidation plays out.