US backs lithium production

The US government is backing the domestic lithium industry in order to establish an independent supply. Lithium, a soft, highly reactive metal, is a vital component in batteries, and critical to the energy transition. The US relies on imports, and its domestic lithium industry has been in decline, but major reserves have been discovered, notably in Arkansas, Nevada, and California.

Several producers, including ExxonMobil and Albemarle, plan to start producing lithium in the next couple of years, and the Department of Energy has pledged $2 billion to support a Nevada project that aims to produce an initial 40,000 metric tonnes of battery-quality lithium a year, enough to power 800,000 electric vehicles, OilPrice reported.