ExxonMobil Starts Construction on U.S. Lithium Mine for BEVs

Oil giant ExxonMobil widens its alternative fuel offering by announcing it’s building a lithium production facility in the U.S. expected to supply more than 1 million battery-electric vehicles annually.

Work is underway on the first phase of lithium production in southwest Arkansas known to hold significant lithium deposits. The product will be branded as Mobil Lithium, evoking the brand’s traditional link with the automotive industry.

In early 2023, ExxonMobil acquired the rights to 120,000 gross acres (48,560 ha) of the area’s Smackover formation thought to be one of the richest lithium resources of its type in North America.

The company says an added advantage is that southwest Arkansas has a history as an oil and natural gas producer with a well-known geology for its engineers. Indeed, this expertise allows it to employ conventional oil and gas drilling methods to access lithium-rich saltwater from reservoirs about 10,000 ft. (3,048 m) underground.

The company will use direct lithium extraction (DLE) technology to separate lithium from the saltwater. The lithium will then be converted onsite to battery-grade material. The remaining saltwater will be re-injected into the underground reservoirs. It says the DLE process produces fewer carbon emissions than hard rock mining and requires significantly less land.

Dan Ammann, president of ExxonMobil Low Carbon Solutions, says: “Lithium is essential to the energy transition, and ExxonMobil has a leading role to play in paving the way for electrification. This landmark project applies decades of ExxonMobil expertise to unlock vast supplies of North American lithium with far fewer environmental impacts than traditional mining operations.”