"Exxon to start lithium production for EVs in the US by 2027"

" Exxon to start lithium production for EVs in the US by 2027 \r\n\r\n \r\n \r\n \r\n \r\n \r\n \r\n\r\nExxon Mobil said on Monday it plans to start producing lithium from subsurface wells by 2027 to provide supplies of the key metal used in electric-car batteries and advanced electronics.\r\n\r\nOil majors are investing in the electrification sector as governments in the United States and Europe set programs to promote wider use of electric vehicles and reduce fossil-fuel consumption.\r\n\r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n \r\n\r\nExxon said it will start production from briny waters pumped out of the ground in an area in the state of Arkansas known to hold significant lithium deposits to help develop a domestic source of the metal.\r\n\r\n\u201cIn the long term, lithium really is a global opportunity,\u201d said Dan Ammann, president of Exxon\u2019s Low Carbon business unit. \u201cWe are starting here because there is an urgent need to ramp up domestic production of these critical materials.\u201d\r\n\r\nExxon plans to supply lithium for well over 1 million EVs per year and become a leading supplier of the metal by 2030. Analysts at financial firm TD Cowen estimate its goal would require some $2 billion in capital expenditures to provide 50,000 tonnes, a volume that could generate $800 million in potential cash.\r\n\r\nAmmann did not disclose how much Exxon intends to invest in the lithium business, or when it might become profitable.\r\n\r\nThe largest US oil company said it would use conventional oil and gas drilling methods to access lithium-rich saltwater from reservoirs about 10,000 feet underground and then use direct lithium extraction (DLE) technology to separate lithium from the saltwater.\r\n\r\nThe company\u2019s majority-owned Canadian affiliate, Imperial Oil, also has invested in a lithium-extraction pilot project in Alberta, Canada.\r\n\r\nExxon plans to begin production with partner Tetra Technologies,\u00a0 Reuters\u00a0 exclusively reported on Saturday. It will produce the metal onsite and sell it under the brand name Mobil Lithium, the company said on Monday.\r\n\r\nExxon had acquired the rights to 120,000 gross acres of the Smackover Formation in Arkansas, a potential hub of activity for lithium brine aspirants, earlier this year.\r\n\r\nEuropean oil rivals BP and Shell have invested in EV charging stations as part of their energy transition strategy. A Deloitte study released earlier this year showed investors would like to see more spending on such technologies.\r\n\r\nExxon, which invented the rechargeable lithium-ion battery in the 1970s, but stepped away from the technology, has no plans to invest in EV charging stations, Exxon\u2019s Ammann said.\r\n\r\nIt wants to supply lithium for EV batteries, consumer electronics and energy storage systems that can hold electricity generated from intermittent solar and wind power.\r\n\r\nThere are about 280 million vehicles in the United States today, and fewer than 3 million are EVs, or about 1% of the total, Ammann said.\r\n\r\n\u201cThere is still 99% to go, which suggests it is a very, very big opportunity,\u201d he said.\r\n\r\n \r\n \r\n \r\n "

"Exxon to start lithium production for EVs in the US by 2027"

MTN Nigeria Now the Most Capitalized Stock in NigeriaAMP

Nigerian Stock Market Creates Largest Pool of Billion-Dollar Stocks in 2025AMP

OPEC+ Nears Decision Point on Next Oil Output HikeAMP