Puerto Vallarta (PVDN) – Mexico’s state-run lithium company, LitioMx, is exploring a geothermal extraction method of the white metal in addition to the primary method of extracting the metal from clay-based deposits, according to its Chief Executive Pablo Taddei. The geothermal method involves bringing up a mineral-rich saline solution from under the ground, from which lithium can be extracted. One potential area of exploration is the geothermal plant Cerro Prieto in Baja California. Experts have said the primary method of extracting lithium from clay deposits using a mineral acid solution would likely be costly and intensive.
LitioMx was created by the Mexican government last year after nationalizing the mineral amid growing demand for lithium in the race for electric vehicle batteries. Critics have expressed concern that the industry’s nationalization will discourage private investment in the nascent industry. However, Taddei acknowledged that the company would examine opportunities to work with other parties on a case-by-case basis.
Taddei also declined to offer a timeline for the company’s initial projects and said they would be defined in an upcoming work plan to be presented to the board, which is also led by government officials. Additionally, he noted that a proposed mining reform currently in Congress and championed by President Andres Manuel Lopez Obrador would codify best practices for the industry environmentally and in terms of water usage. The proposal, which includes other metal industries such as copper and steel, shortens mining concessions and requires miners to invest in local communities. The country’s mining chamber has warned against the mining reform, saying it would cost up to $9 billion in lost investments and some 420,000 jobs.
The lithium industry has become increasingly important in recent years due to its role in the production of lithium-ion batteries, which are used in a range of applications, including electric vehicles, mobile phones, and renewable energy storage. Lithium is a lightweight, highly reactive metal that is found in brine pools and hard rock deposits.
The global lithium market has been growing rapidly, with demand increasing by an average of 20% per year over the past decade. According to some estimates, demand for lithium could increase by up to 40% annually over the next decade due to the growth of electric vehicles.
The largest producers of lithium are currently Australia, Chile, and Argentina, which account for around 80% of global production. However, other countries such as Mexico and China are also increasing their lithium production.
One of the major challenges facing the lithium industry is the limited number of large, high-quality deposits of the metal. This has led to increasing interest in developing new methods of extracting lithium from alternative sources, such as geothermal brines, clay deposits, and seawater.
Another challenge is the environmental impact of lithium mining and production, which can be significant if not managed carefully. Some concerns include water usage, air pollution, and the disruption of local ecosystems.
Puerto Vallarta (PVDN) - Mexico's state-run lithium company, LitioMx, is exploring a geothermal extraction method of the white metal in addition to the primary . . .
