Albemarle Announces Expansion of Nevada Site to Increase Domestic Production of Lithium

Rhea-AI Summary

Albemarle Corporation (NYSE: ALB) announced plans to expand lithium production at its Silver Peak facility in Nevada, investing $30 million to $50 million to double capacity by 2025. This initiative responds to the growing demand for electric vehicle (EV) batteries and aims to optimize domestic lithium resources. Albemarle will also explore lithium extraction from clay sources and enhance brine extraction processes in collaboration with Argonne National Laboratory. This expansion underscores the company's commitment to supporting the EV market and ensuring a sustainable supply chain.

Positive

• Investment of $30 million to $50 million to double lithium production at Silver Peak by 2025.
• Exploration of clay resources for lithium production, diversifying supply options.
• Partnership with Argonne National Laboratory to optimize lithium extraction processes.

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• None.

CHARLOTTE, N.C., Jan. 7, 2021 /PRNewswire/ -- Albemarle Corporation (NYSE: ALB), a leader in the global specialty chemicals industry, announced today that it will expand capacity at the company's lithium production facility in Silver Peak, Nev., and begin a program to evaluate clays and other available Nevada resources for commercial production of lithium, a critical mineral and key component in advancing green mobility and a more sustainable future.

As global demand for electric vehicles (EV) grows, North American automotive manufacturers are seeking to regionalize their supply chain for greater security and sustainability. Albemarle's investment in Silver Peak, which produces lithium from brine extracted from the Clayton Valley basin, will support this increased demand for domestic supply of lithium. Beginning in 2021, the company plans to invest $30 million to $50 million to double the current production at the Nevada site by 2025, making full use of its brine water rights. Additionally, in 2021 the company plans to commence exploration of clay and evaluate technology that could accelerate the viability of lithium production from clay resources in the region. 

"As a leader in the lithium industry, our priority is to optimize our world-class resources and production. This includes Silver Peak, a site uniquely positioned as the only lithium-producing resource in the United States," said Eric Norris, Albemarle President, Lithium. "This investment in domestic capacity shows that we are committed to looking at the many ways in which Silver Peak can provide domestic support for the growing EV market."

In addition to examining clay resources, Albemarle is seeking ways to optimize lithium extraction from its brine resources, including those in the Clayton Valley. Through a Department of Energy-sponsored research project with Argonne National Laboratory, the company is investigating a process to streamline production of lithium hydroxide, which is principally used in EV batteries, from brine resources.

Albemarle's domestic resources also include the historic 800-acre Kings Mountain, N.C., lithium site, which is one of the richest spodumene ore deposits in the world and home to the company's global lithium technical center and piloting operations, as well as lithium-containing brines in Arkansas.

About Albemarle
Albemarle Corporation (NYSE: ALB), headquartered in Charlotte, N.C., is a global specialty chemicals company with leading positions in lithium, bromine and refining catalysts. We think beyond business-as-usual to power the potential of companies in many of the world's largest and most critical industries, such as energy, electronics, and transportation. We actively pursue a sustainable approach to managing our diverse global footprint of world-class resources. In conjunction with our highly experienced and talented global teams, our deep-seated values, and our collaborative customer relationships, we create value-added and performance-based solutions that enable a safer and more sustainable future.

We regularly post information to www.albemarle.com, including notification of events, news, financial performance, investor presentations and webcasts, non-GAAP reconciliations, SEC filings and other information regarding our company, its businesses and the markets it serves.

 

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SOURCE Albemarle Corporation

FAQ

What is Albemarle Corporation expanding in Nevada?

Albemarle Corporation is expanding its lithium production capacity at its Silver Peak facility in Nevada.

How much is Albemarle investing in the Silver Peak site?

Albemarle plans to invest between $30 million and $50 million to double lithium production at the Silver Peak site by 2025.

What resources is Albemarle evaluating for lithium production?

Albemarle is evaluating clays and other available Nevada resources for commercial lithium production.

Why is Albemarle expanding lithium production?

The expansion aims to meet the growing demand for lithium in electric vehicle batteries and enhance domestic supply chain security.

What collaborative project is Albemarle involved in for lithium extraction?

Albemarle is collaborating with Argonne National Laboratory to streamline lithium hydroxide production from brine resources.