Exxon Mobil Corp. is in talks with Tesla Inc., Ford Motor Co., Volkswagen AG and different automakers about supplying them with lithium because the oil big works to construct a enterprise across the essential battery steel, based on individuals acquainted with the matter.
Exxon is considered one of a number of oil and fuel corporations in search of to increase into lithium manufacturing to make the most of surging demand to be used in electric-vehicle batteries, and as a approach of diversifying past fossil fuels. The talks with potential clients are nonetheless early stage, and the corporate has but to put out its plans for potential lithium operations. However, the discussions are the newest signal of Exxon’s rising curiosity within the lithium enterprise.
The firm has additionally had conversations with battery giants Samsung and SK On Co., the individuals mentioned, asking to not be named as a result of the data is personal. Exxon, SK On and Volkswagen declined to remark. Tesla, Ford and Samsung didn’t reply to messages in search of remark.
The world will want practically 60 new lithium mines and crops to feed the rising demand for the shift away from fossil fuels, based on researcher Benchmark Mineral Intelligence, and extra lithium will probably be required in 2030 than was mined between 2015 and 2022.
Chevron Corp., Occidental Petroleum Corp. and SLB, the world’s greatest oil-services supplier, have all mentioned they’re contemplating or actively exploring alternatives within the steel.
Exxon, which has set a purpose of extracting 100,000 tons of lithium per yr, is exploring a 10-acre web site in Arkansas and just lately started drilling wells there, however has but to determine if it desires to supply it by itself or associate with others, based on one of many individuals.
Albemarle Corp. is among the many lithium producers Exxon is talks with, the individuals mentioned. The chemical compounds firm mentioned in a press release that, “given Albemarle’s leadership role in the market, people routinely want to speak with us — especially when looking at potential resources.”
Exxon has touted the “natural synergy” between lithium extraction and the corporate’s experience in producing oil and fuel. The agency has mentioned it’s exploring extracting lithium from underground saltwater in a course of that may be cheaper and extra environmentally pleasant than conventional mining.
Source: www.bostonherald.com”