popular articles

Exxon Mobil Diversifies: Lithium Production set for 2027

Exxon Mobil announces plans to produce lithium by 2027, aiming to become a supplier for electric vehicle batteries.
Exxon révolutionne l'industrie du lithium

Please share:

Exxon Mobil, broadens its horizons with a bold initiative. By 2027, it plans to start producing lithium, an essential metal for electric car batteries and advanced electronics. This decision marks a turning point in Exxon’s strategy, in line with government programs to promote the use of electric vehicles and reduce fossil fuel consumption.

Objectives and Impacts of Exxon’s Lithium Initiative

The company plans to extract lithium from the brackish underground waters of a region of Arkansas known for its rich lithium deposits. This project aims to develop a domestic source of this precious metal. Dan Ammann, President of Exxon’s Low Carbon Business Unit, stresses the urgent need to increase domestic production of these critical materials. The long-term goal is to supply lithium for over a million electric vehicles a year, positioning Exxon as a leading supplier by 2030.

Investments and Key Technologies for Lithium Production

Analysts at financial firm TD Cowen estimate that to reach this target, Exxon will need to invest around $2 billion in capital expenditure. These investments could produce 50,000 tonnes of lithium, potentially generating $800 million in cash flow. However, Ammann did not reveal exactly how much Exxon plans to invest in the lithium business, or when it might become profitable.
Exxon plans to use traditional oil and gas drilling methods to access the lithium-rich salt water located some 3,000 meters below ground. It will then use direct lithium extraction (DLE) technology to separate lithium from salt water. Exxon’s Canadian subsidiary, Imperial Oil, has also invested in a lithium extraction pilot project in Alberta, Canada.

Exxon’s Strategic Positioning in the Electric Vehicle Market

In partnership with Tetra Technologies, Exxon plans to produce the metal on site and sell it under the Mobil Lithium brand. Earlier in the year, the company acquired the rights to 120,000 acres of the Smackover Formation in Arkansas, a potential hotbed of activity for brine lithium aspirants. Unlike BP and Shell, who have invested in electric vehicle charging stations, Exxon has chosen to focus exclusively on supplying lithium for electric vehicle batteries, electronic devices and energy storage systems.
According to Ammann, there are around 280 million vehicles in the USA today, of which less than 3 million are electric vehicles, or around 1% of the total.

“There’s still 99% to go, which suggests that this is a very, very important opportunity.”

he declared.

Exxon Mobil’s initiative to produce lithium represents a major step forward in the field of electrification.

Register free of charge for uninterrupted access.

Publicite

Recently published in

Swedish battery manufacturer Northvolt has filed for bankruptcy, citing financial difficulties exacerbated by market instability and rising costs. This bankruptcy raises questions about the viability of European battery production in the face of Asian competition.
Billion Watts Technologies Co., Ltd. and Shinshin Credit Corporation have commissioned a 64 MW energy storage facility in March, enhancing Taiwan’s power grid stability and supporting the increasing integration of renewable energy.
Billion Watts Technologies Co., Ltd. and Shinshin Credit Corporation have commissioned a 64 MW energy storage facility in March, enhancing Taiwan’s power grid stability and supporting the increasing integration of renewable energy.
The U.S. lead battery industry supports 106,050 direct jobs and generates annual economic output reaching USD 35 billion, according to a recent independent economic analysis focusing on 2023 data.
The U.S. lead battery industry supports 106,050 direct jobs and generates annual economic output reaching USD 35 billion, according to a recent independent economic analysis focusing on 2023 data.
The United States has reached a record amount of battery storage, totaling 19 gigawatts in its finalization phase. Sustained investments and regional strategies confirm the rapid growth of this market, which is essential for the reliability of the electric grid.
The United States has reached a record amount of battery storage, totaling 19 gigawatts in its finalization phase. Sustained investments and regional strategies confirm the rapid growth of this market, which is essential for the reliability of the electric grid.
Base Power partners with Bandera Electric Cooperative to deploy a home energy storage programme aimed at optimising grid performance while providing an affordable backup solution for Texan households.
RENEW Energy Partners and Kinsley Energy Systems join forces to deploy battery storage systems, with $100 million in projects underway in the US Northeast, providing commercial and industrial enterprises with turnkey solutions to optimise energy costs and enhance operational resilience.
RENEW Energy Partners and Kinsley Energy Systems join forces to deploy battery storage systems, with $100 million in projects underway in the US Northeast, providing commercial and industrial enterprises with turnkey solutions to optimise energy costs and enhance operational resilience.
Eos Energy has secured an $8 million contract to supply energy storage systems to the San Diego naval base, aimed at supporting the resilience of Navy operations and strengthening national security.
Eos Energy has secured an $8 million contract to supply energy storage systems to the San Diego naval base, aimed at supporting the resilience of Navy operations and strengthening national security.
Alabama Power will invest in a 150 MW battery energy storage system at the site of the former Gorgas power plant in Walker County, aiming to enhance the state’s electrical grid resilience.
Alabama Power will invest in a 150 MW battery energy storage system at the site of the former Gorgas power plant in Walker County, aiming to enhance the state’s electrical grid resilience.
A study by FenEx CRC confirms the feasibility of transporting CO2 at low pressure and temperature, a breakthrough that could accelerate the commercial viability of carbon sequestration in Australia.
Merdeka Battery Materials has secured $1.4 billion in financing to build a nickel plant in Indonesia. This project, supported by a banking consortium, aims to meet the growing demand for lithium-ion battery materials used in electric vehicles.
Merdeka Battery Materials has secured $1.4 billion in financing to build a nickel plant in Indonesia. This project, supported by a banking consortium, aims to meet the growing demand for lithium-ion battery materials used in electric vehicles.
AMEA Power has signed agreements with the Egyptian government to build two battery energy storage stations (BESS) in Egypt, with a total capacity of 1,500MWh, to improve grid stability and facilitate the integration of renewable energy sources.
AMEA Power has signed agreements with the Egyptian government to build two battery energy storage stations (BESS) in Egypt, with a total capacity of 1,500MWh, to improve grid stability and facilitate the integration of renewable energy sources.
Entech has signed a contract worth over €30m for the construction of battery energy storage systems. The project, with a total capacity of 50 MW/100 MWh, will be deployed across several sites in France between 2025 and 2026.
Entech has signed a contract worth over €30m for the construction of battery energy storage systems. The project, with a total capacity of 50 MW/100 MWh, will be deployed across several sites in France between 2025 and 2026.
Acen Australia has started construction of a 200 MW/400 MWh battery energy storage system (BESS) co-located at the 720 MW New England site in New South Wales, Australia, aimed at enhancing grid stability.
Akaysha Energy has signed a long-term purchase agreement with Gunvor Group for a 205 MW/410 MWh battery energy storage system (BESS) in Brendale, Queensland. This partnership aims to ensure revenue stability and optimise project operations.
Akaysha Energy has signed a long-term purchase agreement with Gunvor Group for a 205 MW/410 MWh battery energy storage system (BESS) in Brendale, Queensland. This partnership aims to ensure revenue stability and optimise project operations.
Pacific Green Technologies has finalised the sale of its Limestone Coast North energy storage project to Intera Renewables for A$460mn (US$293mn). The agreement stipulates that Pacific Green will oversee construction before Intera assumes asset management.
Pacific Green Technologies has finalised the sale of its Limestone Coast North energy storage project to Intera Renewables for A$460mn (US$293mn). The agreement stipulates that Pacific Green will oversee construction before Intera assumes asset management.
In Bollingstedt, a new battery storage facility aims to power 170,000 households, illustrating Germany’s strategy to strengthen its energy infrastructure and stabilise its grid amid the rise of renewable energy sources.
In Bollingstedt, a new battery storage facility aims to power 170,000 households, illustrating Germany’s strategy to strengthen its energy infrastructure and stabilise its grid amid the rise of renewable energy sources.
BW ESS and Sungrow announce the commercial operation of the 100 MW Bramley battery energy storage project, further strengthening the UK's energy security and resilience against grid challenges.
A new joint report from Deloitte and CAS highlights market and innovation trends in the lithium-ion battery recycling industry, crucial to sustainable energy transition.
A new joint report from Deloitte and CAS highlights market and innovation trends in the lithium-ion battery recycling industry, crucial to sustainable energy transition.
Taoke energy and CATL have signed an agreement to supply 300 MWh of batteries for Taoke energy's ESS projects in Japan throughout 2025, further strengthening their strategic partnership in the renewable energy sector.
Taoke energy and CATL have signed an agreement to supply 300 MWh of batteries for Taoke energy's ESS projects in Japan throughout 2025, further strengthening their strategic partnership in the renewable energy sector.
Dutch developer Lion Storage has obtained an irrevocable building permit for its Mufasa battery storage project, with a capacity of 1457 MWh. Located in the Vlissingen port, this project will become one of the largest in the country.
Dutch developer Lion Storage has obtained an irrevocable building permit for its Mufasa battery storage project, with a capacity of 1457 MWh. Located in the Vlissingen port, this project will become one of the largest in the country.
Ormat Technologies has signed tolling agreements for two new energy storage facilities in Israel, further strengthening its diversification and resilience in the energy sector.
Canadian Solar, through its subsidiary e-STORAGE, has signed an agreement with Copenhagen Infrastructure Partners to deliver a 960 MWh energy storage system in Australia. The Summerfield project, located in South Australia, will begin construction in 2025 and will be one of the largest in the country.
Canadian Solar, through its subsidiary e-STORAGE, has signed an agreement with Copenhagen Infrastructure Partners to deliver a 960 MWh energy storage system in Australia. The Summerfield project, located in South Australia, will begin construction in 2025 and will be one of the largest in the country.
Cordelio Power accelerates its energy storage program with the acquisition of over 1.0 GWh of equipment and the signing of new contracts in the United States. The commissioning of the McHenry BESS in Illinois marks a key milestone in its expansion.
Cordelio Power accelerates its energy storage program with the acquisition of over 1.0 GWh of equipment and the signing of new contracts in the United States. The commissioning of the McHenry BESS in Illinois marks a key milestone in its expansion.
Copenhagen Infrastructure Partners (CIP) has begun construction of the Summerfield storage system in Australia. With a capacity of 960 MWh, this project aims to strengthen the country's energy infrastructure and address the growing challenges of electricity storage.
Copenhagen Infrastructure Partners (CIP) has begun construction of the Summerfield storage system in Australia. With a capacity of 960 MWh, this project aims to strengthen the country's energy infrastructure and address the growing challenges of electricity storage.

Advertising