Exxon Mobil and Tetra Team Up for the Next Big Thing in Arkansas: Lithium Mining

US: Exxon Mobil and Tetra Technologies have joined forces to collaborate on the development of more than 6,100 acres of land in Arkansas that are rich in lithium deposits. The initiative marks Exxon's second move this year to acquire resources essential for producing battery metals for electric vehicles, showcasing the growing interest of conventional energy companies in emerging technologies that aim to enhance the global supply of this lightweight metal.

Chemical producer Tetra, which specializes in water treatment and recycling, recently revealed a partnership with Saltwerx to develop 6,138 acres of brine deposits in Arkansas. These deposits are known for their vast reserves of Lithium and Bromine. While limited information is available about this collaboration, it's worth mentioning that Saltwerx is an Exxon subsidiary, which the company gained during the purchase of a neighboring 100,000-acre parcel from Galvanic Energy. It is worth noting that Galvanic, the privately held company, has no connection with Tetra or Exxon as it continues to operate independently.

Exxon and Tetra have joined forces, with Exxon contributing roughly 2,000 acres and Tetra adding around 4,100 acres. This partnership is advantageous for Tetra as it provides a significant partner with the necessary capital to extract Bromine, a critical ingredient in flame retardants, from the acquired land. Currently, Tetra acquires Bromine from Lanxess to manufacture a material utilized by Eos Energy Enterprises to create batteries. Meanwhile, Exxon benefits from this venture, gaining access to an additional U.S. Lithium source, which is crucial as the country rapidly expands its electric vehicle.

To extract Lithium from the Arkansas brine, Exxon must select one or more direct Lithium extraction (DLE) technologies. However, the commercial feasibility of these techniques is widely untested. Earlier this month. Tetra had disclosed in November that it was exploring different DLE technologies but had not yet reached any final agreements. Furthermore, Tetra had previously agreed to lease more than 27,000 acres in Arkansas to Standard Lithium for Lithium production, and preliminary work on the project's development is already underway.

TETRA Technologies, Inc. is recognized as a worldwide energy services and solutions corporation renowned for their proficiency in calcium chloride, water management solutions, frac flowback, bromine-based completion fluids, and production well testing services. Its Calcium Chloride products are in demand across various markets, including oil and gas, industrial, agricultural, road, food, and beverage. To adapt to changing times, TETRA is transforming its business model by venturing into low carbon energy markets. The company aims to leverage its chemistry expertise, mineral acreage, and global infrastructure to seize opportunities in the clean energy sector.