Exxon Mobil To Start Lithium Production

(RTTNews) - Exxon Mobil Corporation (XOM) on Monday unveiled its plan to become a key player in the production of lithium, a crucial component of electric vehicle (EV) batteries.

The company intends to establish its first phase of North American lithium production in the Smackover Formation, comprising 120,000 acres of southwest Arkansas. This area is renowned for its significant lithium deposits, which ExxonMobil acquired the rights to in early 2023.

The company plans to produce the battery-grade lithium on-site, which will be branded as Mobil Lithium.

The oil giant is planning to drill 10,000 feet below the surface to access lithium-rich saltwater from reservoirs using gas and oil machinery. The next step involves using direct lithium extraction (DLE) technology as it produces fewer carbon emissions to separate the lithium from the saltwater it's mixed with, while the remaining saltwater will be re-injected into the underground reservoirs.

Dan Ammann, president of ExxonMobil Low Carbon Solutions, said that this landmark project leverages ExxonMobil's decades of expertise to unlock vast supplies of North American lithium with far fewer environmental impacts than traditional mining operations.

ExxonMobil is working closely with local and state officials to enable the successful scale-up of Arkansas' emerging lithium industry. Furthermore, the company is in discussions with potential customers, including EV and battery manufacturers, to ensure a steady demand for Mobil Lithium, as it is a critical element in the production of lithium-ion batteries, which are the backbone of electric vehicles, consumer electronics, energy storage systems, and other clean energy technologies.

The company aims to commence lithium production by 2027 and, by 2030, produce enough lithium to supply over 1 million electric vehicles per year.

ExxonMobil's foray into the lithium sector marks a significant milestone in the transition towards sustainable energy and its commitment to drive innovation and progress in the clean energy landscape.