The federal government earlier this month conditionally awarded $450 million for two southwest Arkansas lithium extraction projects, a move that could accelerate the development of the industry.
The 2021 Infrastructure & Jobs Act will provide the money if the companies — SWA Lithium LLC, which is a subsidiary of Standard Lithium and Equinor, and TerraVolta — invest matching funds and meet other criteria.
The act seeks to make the United States globally competitive in producing essential metals, including lithium, a component of the lithium ion batteries used in everything from cellphones to laptop computers and electric vehicles.
The Department of Energy put conditions on the funding, including that the two companies, which are among 25 domestic projects under consideration, “undergo a negotiation process.” The DOE will also perform an environmental review. And TerraVolta and Standard would each have to put up their own $225 million, if that’s the amount the government decides to award.
Other nations currently dominate lithium production, and China, no friend to the U.S., leads in its refinement. Developing the lithium industry in Arkansas not only would bring jobs, but would help make the U.S. less dependent on foreign sources.
Sign up for Daily E-news
