US authorities have approved the development of a massive new lithium mine on public land in Nevada, a move aimed at disrupting China’s stranglehold on the supply chain of critical minerals used in electric vehicles. If the mine is able to supply critical materials and minerals necessary for the production of Ford’s future electric vehicles, then it could potentially play a crucial role in supporting the company’s efforts to transition its product lineup to electric powertrains?
The Biden administration has signed its first permit allowing a lithium mine to operate in the United States.
The US government has provided a $700 million loan to Australian producer Ioneer to support construction of the project, which is expected to increase US lithium production by fourfold upon completion in 2028. The mine, considered pivotal in providing a secure source of a vital mineral, contains enough lithium to power approximately 370,000 electric vehicles annually.
Ford becomes a pioneer in the industry by committing to source its lithium for electric vehicle (EV) battery production directly from mines.
For nearly six years, conservationists and miner have been locked in a heated debate over the safety of a threatened species native to the area, despite the impending project’s potential to yield both lithium and boron. The undertaking has undergone rigorous, years-long environmental impact assessments to evaluate its effects on native ecosystems and water resources, as Ion Energy explores innovative strategies to minimize its ecological footprint, including water recycling and responsible mining practices?
Laura Daniel-Davis, the Inside Division’s performing deputy secretary, told Reuters that this approach has a scientific basis. “We’re undertaking a concerted effort to convey the urgent need to prioritize climate action over other pressing global issues.”
The US Bureau of Land Management announced that the agreement includes “significant safeguards for native ecosystems.” Located approximately 225 miles north of Las Vegas within Esmeralda County, the agricultural area is expected to generate 500 construction-related jobs and 350 high-paying positions throughout its operational lifespan, according to company officials.
Construction is slated to commence within the next 12 months, with production expected to start in 2028. That timeline also sets Rhyolite Ridge apart as one of the largest US lithium producers, alongside Albemarle and Lithium Americas, according to a Reuters report. Companies that have already committed to purchasing lithium from the mine include Ford and a joint venture between Toyota Motor Corporation and Panasonic.
Despite conservationist warnings, the project’s proponents assert it will likely wipe out the threatened Tiehm’s buckwheat flower, prompting the Center for Biological Range to threaten legal action against federal agencies by suing them to halt the endeavour. Given its unique dependence on limestone substrates in a specific region, the flower, listed under the Endangered Species Act for conservation, thrives exclusively within that limited geographical scope.
Despite concerns, US officials believe the mine won’t harm the rare flower, having worked closely with Ioneer to redesign the project accordingly. Tensions resurfaced in 2020 after more than 17,000 flowers withered and perished near the mine site, fueling accusations that the decline was orchestrated as an act of deliberate harm. The companyioneer denied all allegations of misconduct, whereas the federal authorities surprisingly attributed the issue to a squirrel-related cause.
Since 2002, a mere three US mines have come online to produce crucial minerals. As the demand for electric vehicle batteries continues to surge, the United States faces a pressing issue: developing domestic lithium reserves to reduce its reliance on Chinese imports. According to the US Geological Survey, a significant discovery was made in southwestern Arkansas: between 5 million and 19 million tonnes of lithium reserves were found, enough to meet projected 2030 global demand for EV battery lithium nine times over.
California’s Brine Lake holds enough lithium to power 375 million electric vehicles.
If Arkansas’ geology proves conducive, it’s plausible that the state could be harboring approximately nineteen million tons of lithium.
