We first covered direct lithium extraction (DLE) two years ago when we featured the magnanimous Teague Egan, CEO of Energy X on our Winter 2022 cover. Back then, Teague and his team were doing something no one else thought possible by abandoning the strip mines and giant lithium evaporation ponds of yesteryear for compact, efficient DLE modules.
Over two years and hundreds of millions of dollars in investment later, the naysayers have been silenced as DLE goes mainstream. A remote location in the northern Argentina mountains is the epicenter of development of this incredible technology. Here, we’ll track DLE’s progress from moonshot to mainstream.
The Race for “White Gold”
Salar Centenario sits in Argentina’s extreme northern mountains, almost to Bolivia. Known for rich salt flats, the area between Chile, Bolivia, and Argentina has been dubbed the “Lithium Triangle.” Dry and desolate, Google satellite imagery makes the typography appear otherworldly, like something out of the Dune series. However, it is the perfect place to produce lithium via cutting-edge DLE technology.
French mining company, Eramet, has secured perpetual mining rights to a lithium concession in the desert of these Andean highlands. Lithium is a soft, silvery-white alkali metal most commonly known for its use in lithium-ion batteries, although it’s been used in medicine, housewares, lubricating greases, and a host of other uses over the years.
At Eramet’s Salar Centario location, you’ll find a highly sophisticated remote outpost, including twin giant tanks full of salty brine pumped from some 400 meters underground. Eramet is rapidly developing its techniques in the field for deploying DLE in a global energy materials race to supply the growing lithium appetite required in the green energy transition.
Old-school methods for extracting lithium were both inefficient and harmful to the environment. Strip mining and giant evaporation ponds that stretched hundreds of yards have been the de facto methods for harvesting the white gold. DLE turned those methods on their head, with a far more efficient means which uses less water.
To be sure, Eramet’s efforts in Salar Centario are being closely monitored from U.S. based competitors, including Energy X, as the race heats up for full DLE commercialization. Eramet’s $870 million project in Argentina is but one a slew due to come online in the country over the next few months from the likes of multinational mining giant Rio Tinto, South Korea’s Posco, as well as Chinese mining giants Zijin and Ganfeng.
The exact timing for Eramet’s Salar Centario plant is uncertain as new technologies are deployed under real world conditions. The project, a co-venture with Chinese nickel and steel mining company Tsingshan, has been in the works for over a decade.
One of the variables lies in the necessity of tailoring each extraction method to the specific brine deposit in which it’s being deployed. Each deposit has varying degrees of lithium and other metals, requiring a complex and fully customized series of DLE processes in order to achieve viability. “It’s a complex plant,” Eramet CEO Christel Bories said in an interview on Reuters. “The challenge is always, will we be able to reach the nominal capacity, and when?”
How It All Works
Eramet’s customized DLE processes for the Salar Centario deposit rely on special materials called sorbents to absorb lithium from brine. Through a series of tanks, the sorbents can extract around 90% lithium, compared to just 40-50% from evaporation ponds. The process is also done at room temperature versus other forms of DLE which require heating. The trifecta of less water, less electricity, and less time producing greater yields is what makes DLE such an attractive technology.
For the whole process to work, a sophisticated series of steps must occur in concert. The pipelines’ valve systems must work with remote sensors, the computer system must run thousands of processes in order to ensure temperatures are managed, and countless other variables all must be controlled in order to produce the desired results.
However, the project is not without controversy. Environmentalists have protested Eramet’s development in the untouched salt flats and local activists representing indigenous communities from the area have voiced concern. Despite hurdles, the promise of producing this highly sought-after and necessary technology for the green transition in a more environmentally responsible manner holds tremendous value for both sides of the debate.
As the U.S. moves to secure its energy supply chain against threats like China, alternative players like Argentia will undoubtedly rise in prominence on the global stage.
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