Occidental (NYSE: OXY) and BHE Renewables, a fully owned subsidiary of Berkshire Hathaway Energy, have revealed the establishment of a joint venture aimed at showcasing and implementing TerraLithium's Direct Lithium Extraction (DLE) and related technologies. These technologies are designed for the commercial extraction and production of high-purity lithium compounds from geothermal brine.

TerraLithium, a subsidiary fully owned by Occidental, possesses patented DLE technologies capable of converting any lithium-containing brine into a responsibly sourced, high-purity lithium supply. In California's Imperial Valley, BHE Renewables manages ten geothermal power plants, processing 50,000 gallons of lithium-rich brine per minute, resulting in the generation of 345 megawatts of clean energy. The joint venture has initiated a project at BHE Renewables' Imperial Valley geothermal facility to showcase the viability of utilizing TerraLithium's DLE technology to produce lithium in an environmentally sustainable manner.

Alicia Knapp, President and CEO of BHE Renewables, stated, "The partnership with TerraLithium marks a substantial progression in BHE Renewables' dedication to achieving environmentally sound and commercially viable lithium production, fostering positive outcomes for the Imperial Valley community. We are enthusiastic about collaborating with Occidental on this remarkable opportunity to position the Imperial Valley as a frontrunner in global lithium production."

Following a successful demonstration, BHE Renewables intends to construct, possess, and oversee commercial lithium production facilities in California's Imperial Valley. Additionally, the joint venture aims to license the technology and establish commercial lithium production facilities beyond the Imperial Valley.

Richard Jackson, President of U.S. Onshore Resources and Carbon Management Operations at Occidental, stated, "Through harnessing Occidental's proficiency in brine management and processing across our oil and gas and chemicals sectors, alongside BHE Renewables' extensive expertise in geothermal operations, we are well-equipped to promote a more sustainable approach to lithium production. We eagerly anticipate collaborating with BHE Renewables to showcase how DLE technology can generate a vital mineral essential for advancing net-zero objectives within society."

Lithium plays a pivotal role in the production of batteries for electric vehicles, consumer electronics, and energy grid storage systems. Additionally, it finds application in industrial sectors for manufacturing glass, ceramics, and pharmaceuticals. According to the International Renewable Energy Agency, the demand for lithium in batteries is anticipated to surge tenfold from 2020 to 2030, aligning with the growth in battery demand.

Jeff Alvarez, President and General Manager of TerraLithium, emphasized, "Establishing a secure, dependable, and domestic source of high-purity lithium products to address the surging global lithium demand is imperative for facilitating the energy transition. Partnering with BHE Renewables will expedite the development of our Direct Lithium Extraction and related technologies, propelling them towards commercial lithium production."