THE STORY OF LITHIUM

I yesterday posted on the 17 rare earth materials.  So let me expand the discussion to another element, lithium, which is especially crucial for electric vehicles and batteries.  I begin with an introduction to lithium.

• It is the lightest metal with an atomic number of 3, and was originally created like hydrogen and helium at the time of the Big Bang.
• First isolated in 1855.
• Is a shiny, silvery metal at room temperature with a melting point of 357 F, and can be cut with scissors.
• Lithium powder or dust can spontaneously ignite.
• Lithium floats in water and forms lithium hydroxide and hydrogen, which typically burst into a red flame.

• 
  Between 2008 and 2018 the annual production rose from 25,400 to 85,000 tons.  Demand will more than double by 2024.
• Most of this element is used for batteries, but also for the glass and ceramics industry.
• In 2010 77% of all lithium went to glass and ceramics.
• In 2020 71% of lithium was for batteries.

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  Note that the correct name is the lithium-ion battery.  This is because lithium ions are intercalated in a layer structure.  Most commercial lithium batteries use carbon and/or silicon as the anode, with the intercalated lithium as the cathode.  When not properly conformed, explosions and fires occur in the flammable electrolyte.  The Lithium Ion All Solid Battery has essentially eliminated this electrolyte.

• 
  A tiny amount of lithium is applied to lithium carbonate to treat bipolar disorder.  No one know how this works, although it seems to silence certain brain neurons, creating a calming effect.

• 
  Naturally occurring lithium in drinking water correlates with lower levels of suicide.
• Lithium and strontium salts give fireworks a brilliant red color.

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  Australia leads the world in lithium production at 51,000 tons in 2019.  Chile #2 with 16,000 tons, China #3 8,000 tons and Argentina #4 6,200 tons.  USA, essentially nothing.

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  One report has Chile having more than half the world total reserves at 8 million tons, with Australia #2, Argentina #3 and #4 China.  U.S.?  Way back with only 0.035 million tons.  
• Another estimate has Bolivia #1 at 21 million tons, Argentina #2 17 million tons and Chile #3 8 million tons.  The difference is the former only used advanced mining countries, while the latter lists the overall lithium reserves of the world.  

• 
  Clearly, much of these deposits are in the lithium triangle of those three South American countries.  Bolivia does no mining yet, but new president Luis Arce wants to make his country the lithium capital.
• Turns out that the USA has 6.8 million tons of lithium ore, #4 in the world.  The only U.S. production is in Nevada, and Elon Musk has hinted of mining for lithium in that state.
• #5 is Australia, 6.3 million tons.
• #6 China, 4.5 million tons, but controls 80% of the world's raw material refining.

Let's say the world has around 70 million tons of lithium ore.  If you divide by what should be around the 100,000 tons used today, that would give you 700 years of supply.  So what is the problem?  For one, the ore has only a small amount of lithium, then the demand will jump into the future.  This article says that the reality is we only have 70 years of lithium available, so re-cycling will need to improve.  

In any case, if lithium needs keep increasing, there is always lithium from the sea.  There are ten times more lithium in the oceans than on land.  The problem is that the lithium concentration in seawater is 180 parts per billion (or a 1:60,000 ratio), so extracting this element will be very expensive.  However, various scientists are working on electrochemical techniques which look promising.  Then, too, Utah's Great Salt Lake has lithium at 21,000 ppb, so maybe the USA might someday become a major producer of lithium.  Other countries are also feverishly progressing with their marine research.

Fortuitously, Investing Trends this morning sent me an article entitled:  LITHIUM - THE FUEL POWERING THE "GREEN ENERGY REVOLUTION."  written by James Hyerczyk, an investment expert.  He said:

• The Biden Administration's $2 trillion clean energy plan proposes a huge investment in lithium-powered electric vehicles and battery storage systems.

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  Both the U.S. and European Union have issued plans to reduce dependence on Chinese-supplied lithium batteries.
• The global lithium market is projected to grow by 500% over the next 35 years, and Argentina looks to play a key role in supplying global requirements.

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  Get to know Alpha Lithium (APHLF), a little-known mining company with large assets in Argentina's world-famous Lithium Triangle, where 58% of the world's identified lithium resources can be found.  APHLF owns Tolillar Salt Flats, 68,000 acres of the last remaining undeveloped salar (salt flats), where lithium is found.

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