The Bolivian government has selected a consortium led by Chinese battery company CATL to develop the country’s huge lithium reserves.
That will help the country realise its potential as an international supplier of lithium, reported Reuters.
The consortium, known as CBC, was selected following a bidding process. It will be responsible for undertaking direct lithium extraction from the country’s Uyuni and Oruro salt flats.
Benchmark Minerals reported that the consortium, which includes CATL’s recycling subsidiary Brunp, will produce 25,000 tonnes of battery-grade lithium carbonate by 2024 and 100,000 tonnes by 2028, using direct lithium extraction.
Bidding attracted interest from companies that included US-based Lilac Solutions, Russia’s Uranium One Group and three bidders from China, according to Reuters.
CBC includes mining giant CMOC and will hold the rights to develop two lithium plants. Each will have annual production capacity of up to 25,000 tons of battery-grade lithium carbonate.
“Bolivia’s world leading lithium resources are vast and unquestionable,” said Simon Moores, chief executive of Benchmark Minerals. “But to turn this into reserves that can be extracted, processed into the right grade and used in EVs around the world is no easy feat.”
Benchmark said the deal is a way of for CATL to secure future lithium supplies it needs to maintain its market-leading share in the battery market.
In November, BEST reported Canada’s decision to force Chinese companies to divest from three Canadian-listed lithium companies.
In 2021 CATL made a bid for Argentina’s Millennial Lithium but lost out to Canadian lithium producer Lithium Americas.
According to the US Geological Survey, Bolivia’s salt flats hold lithium resources of 21 million tons. Bolivian President Luis Arce was quoted saying that the first phase of the project would involve an investment of more than $1bn from CBC.
Photo: Bolivian miners
Wikimedia Commons
