Scientists have unearthed what is believed to be the world's largest lithium deposit, nestled within the McDermitt caldera, an extinct volcano straddling the Nevada-Oregon border in the US.
Experts believe this discovery, potentially holding up to 120 million tonnes of lithium, could redefine the global lithium market dynamics, potentially securing a steady supply for the growing electric vehicle battery industry for decades to come.
According to a ScienceAdvances research article, McDermitt caldera, which erupted approximately 16 million years ago, harbours lithium deposits in an unusual claystone composed of the mineral illite, containing between 1.3% to 2.4% lithium.
This concentration is nearly double that found in the more commonly known lithium-bearing clay mineral, magnesium smectite.
The unique geological conditions of the caldera have fostered the formation of this rich deposit, which is notably larger than the lithium reserves found beneath a Bolivian salt flat, previously considered the largest deposit globally.
Experts in the field highlight the potential of this discovery to alter the global dynamics of lithium, influencing price, security of supply, and geopolitics.
Anouk Borst, a geologist at KU Leuven University, remarked: "It could change the dynamics of lithium globally, in terms of price, security of supply and geopolitics."
However, the proposed mining site on the Nevada side of the caldera has sparked concerns among environmental groups and local tribes, who argue that the land is sacred.
Despite the protests, mining operations, led by the Lithium Americas Corporation in collaboration with GNS Science and Oregon State University, are slated to commence as early as 2026.
One commentator to weigh in with his opinion was Elon Musk, head of the world’s largest EV maker Tesla (NASDAQ:TSLA).
He Tweeted/X’ed that “Lithium ore is quite common throughout the world. The limiting factor is lithium refining”.
Lithium ore is quite common throughout the world. The limiting factor is lithium refining.Same goes for the cathode, which is primarily iron (medium range cars) or nickel (long range) and the anode, which is carbon. Refining matters more than ore.
— Elon Musk (@elonmusk) September 10, 2023