Standard Lithium and Equinor Finalize $225 Million Grant from the U.S. Department of Energy for the South West Arkansas Project
Standard Lithium (NYSE:A:SLI) and Equinor have secured a $225 million grant from the U.S. Department of Energy for their South West Arkansas (SWA) lithium project. The project, owned 55% by Standard Lithium and 45% by Equinor, aims to be one of the world's first commercial-scale Direct Lithium Extraction facilities.
The SWA project is expected to produce 45,000 tonnes per annum of lithium carbonate, developed in two phases of 22,500 tonnes each. The partnership is targeting a Final Investment Decision by the end of 2025, with Phase 1 production planned for 2028. The project will undergo an Environmental Assessment this year.
The development is expected to create approximately 100 direct, long-term jobs and 300 construction jobs, with a commitment to hire at least 40% of the operations workforce locally. The project will also support local infrastructure improvements, healthcare initiatives, educational partnerships, and workforce development programs.
Standard Lithium (NYSE:A:SLI) e Equinor hanno ricevuto un finanziamento di 225 milioni di dollari dal Dipartimento dell'Energia degli Stati Uniti per il loro progetto di litio nel Sud-ovest dell'Arkansas (SWA). Il progetto, di proprietà al 55% di Standard Lithium e al 45% di Equinor, mira a diventare uno dei primi impianti di estrazione diretta del litio su scala commerciale al mondo.
Il progetto SWA prevede una produzione di 45.000 tonnellate all'anno di carbonato di litio, sviluppato in due fasi da 22.500 tonnellate ciascuna. La partnership punta a prendere una Decisione Finale di Investimento entro la fine del 2025, con una produzione della Fase 1 prevista per il 2028. Quest'anno il progetto sarà sottoposto a una Valutazione Ambientale.
Lo sviluppo è previsto per creare circa 100 posti di lavoro diretti e stabili e 300 posti di lavoro nella costruzione, con l'impegno di assumere almeno il 40% della forza lavoro operativa localmente. Il progetto sosterrà anche il miglioramento delle infrastrutture locali, iniziative sanitarie, partnership educative e programmi di sviluppo della forza lavoro.
Standard Lithium (NYSE:A:SLI) y Equinor han asegurado una subvención de 225 millones de dólares del Departamento de Energía de EE. UU. para su proyecto de litio en el suroeste de Arkansas (SWA). El proyecto, de propiedad 55% de Standard Lithium y 45% de Equinor, busca ser una de las primeras instalaciones de extracción directa de litio a escala comercial en el mundo.
Se espera que el proyecto SWA produzca 45,000 toneladas al año de carbonato de litio, desarrollado en dos fases de 22,500 toneladas cada una. La asociación tiene como objetivo tomar una Decisión Final de Inversión para finales de 2025, con la producción de la Fase 1 planeada para 2028. El proyecto se someterá a una Evaluación Ambiental este año.
Se prevé que el desarrollo genere aproximadamente 100 empleos directos y a largo plazo y 300 empleos de construcción, con el compromiso de contratar al menos el 40% de la fuerza laboral de operaciones localmente. El proyecto también apoyará mejoras en la infraestructura local, iniciativas de atención médica, asociaciones educativas y programas de desarrollo de la fuerza laboral.
스탠다드 리튬 (NYSE:A:SLI)과 에퀴노르가 미국 에너지부로부터 2억 2천5백만 달러의 보조금을 확보했습니다. 이들은 남서부 아칸소(SWA) 리튬 프로젝트를 위해서입니다. 이 프로젝트는 스탠다드 리튬이 55%, 에퀴노르가 45% 소유하고 있으며, 세계 최초의 상업적 규모 직항 리튬 추출 시설 중 하나가 되는 것을 목표로 하고 있습니다.
SWA 프로젝트는 연간 45,000톤의 탄산 리튬을 생산할 것으로 예상되며, 22,500톤씩 두 단계로 개발됩니다. 이 파트너십은 2025년 말까지 최종 투자 결정을 목표로 하고 있으며, 1단계 생산은 2028년으로 계획되어 있습니다. 이 프로젝트는 올해 환경 평가를 받을 예정입니다.
개발은 약 100개의 직접적이고 장기적인 일자리와 300개의 건설 일자리를 창출할 것으로 예상되며, 운영 인력의 최소 40%를 지역에서 고용하겠다는 약속을 하고 있습니다. 이 프로젝트는 또한 지역 인프라 개선, 의료 이니셔티브, 교육 파트너십 및 인력 개발 프로그램을 지원할 것입니다.
Standard Lithium (NYSE:A:SLI) et Equinor ont obtenu une subvention de 225 millions de dollars du Département de l'Énergie des États-Unis pour leur projet de lithium dans le sud-ouest de l'Arkansas (SWA). Ce projet, détenu à 55 % par Standard Lithium et à 45 % par Equinor, vise à être l'une des premières installations d'extraction directe de lithium à l'échelle commerciale au monde.
Le projet SWA devrait produire 45 000 tonnes par an de carbonate de lithium, développé en deux phases de 22 500 tonnes chacune. Le partenariat vise une Décision Finale d'Investissement d'ici la fin de 2025, avec une production de la Phase 1 prévue pour 2028. Le projet sera soumis à une Évaluation Environnementale cette année.
Le développement devrait créer environ 100 emplois directs et durables et 300 emplois de construction, avec l'engagement d'embaucher au moins 40 % de la main-d'œuvre opérationnelle localement. Le projet soutiendra également les améliorations des infrastructures locales, les initiatives de santé, les partenariats éducatifs et les programmes de développement de la main-d'œuvre.
Standard Lithium (NYSE:A:SLI) und Equinor haben von dem US-Energieministerium einen Grant in Höhe von 225 Millionen Dollar für ihr Lithium-Projekt im Südwesten von Arkansas (SWA) erhalten. Das Projekt, das zu 55 % im Besitz von Standard Lithium und zu 45 % von Equinor ist, soll eine der weltweit ersten kommerziellen Anlagen zur direkten Lithium-Extraktion werden.
Das SWA-Projekt soll 45.000 Tonnen pro Jahr an Lithiumcarbonat produzieren, das in zwei Phasen von jeweils 22.500 Tonnen entwickelt wird. Die Partnerschaft strebt bis Ende 2025 eine endgültige Investitionsentscheidung an, mit einer Produktionsstart der Phase 1, die für 2028 geplant ist. In diesem Jahr wird das Projekt einer Umweltbewertung unterzogen.
Es wird erwartet, dass die Entwicklung etwa 100 direkte, langfristige Arbeitsplätze und 300 Bauarbeitsplätze schafft, mit dem Ziel, mindestens 40 % der Betriebsbelegschaft lokal einzustellen. Das Projekt wird auch lokale Infrastrukturverbesserungen, Gesundheitsinitiativen, Bildungskooperationen und Programme zur Entwicklung der Arbeitskräfte unterstützen.
- Secured $225 million DOE grant for project construction
- High-grade lithium brine project with 45,000 tonnes annual production capacity
- Strategic partnership with global energy leader Equinor (45% ownership)
- Creation of 100 permanent jobs and 300 construction positions
- Production not expected to start until 2028
- Project still requires Environmental Assessment completion
- Final Investment Decision pending until end of 2025
Insights
The
From a market perspective, this validates both the project's technical merits and its strategic importance to U.S. battery supply chain security. The partnership with Equinor, a major energy company, adds credibility and operational expertise. The phased approach (22,500 tonnes each) allows for better risk management and capital allocation. The 2028 production timeline aligns well with projected lithium demand growth from EV manufacturers.
The implementation of Direct Lithium Extraction (DLE) technology at commercial scale marks a pivotal advancement in lithium production methods. Traditional evaporation ponds typically require 18-24 months to process lithium, while DLE can reduce this to mere hours or days, dramatically improving production efficiency. The high-grade brine resource in Arkansas, combined with DLE, should enable superior recovery rates and reduced environmental impact compared to conventional methods.
For simpler understanding: Think of DLE as a coffee machine that quickly extracts the desired compound (lithium) from the source (brine), versus traditional methods that are more like leaving water to evaporate in the sun - much slower and less efficient.
The requirement for an Environmental Assessment under NEPA indicates strong regulatory oversight and environmental responsibility. This process typically examines impacts on groundwater, local ecosystems and community resources. The commitment to local employment (40% local workforce) and community development through infrastructure, healthcare and education initiatives demonstrates a comprehensive ESG approach. The 100 direct jobs and 300 construction positions will significantly impact the local economy. The planned completion of the EA before FID in 2025 shows proactive regulatory compliance and risk management.
LEWISVILLE, Ark., Jan. 16, 2025 (GLOBE NEWSWIRE) -- Standard Lithium Ltd. (“Standard Lithium”) (TSXV:SLI) (NYSE:A:SLI), a leading near-commercial lithium developer, and Equinor, a global energy leader, today announced that its jointly-owned U.S. subsidiary, SWA Lithium LLC, has closed the US
“Closing of the DOE grant is a testament to the caliber of the South West Arkansas project,” said David Park, CEO and Director of Standard Lithium. “SWA is one of the highest-grade lithium brine projects in North America, and through the use of DLE technology, a near-term, sustainable opportunity to help secure America’s domestic lithium supply chain.”
“The U.S. Department of Energy’s support demonstrates the project’s maturity and strengthens its financial robustness as we work towards a final investment decision. We look forward to working with Standard Lithium and alongside the local community to enhance the US lithium supply chain by deploying innovative technology,” says Hege Skryseth, Executive Vice President for Technology, Digital & Innovation in Equinor.
The SWA project is expected to be one of the world’s first commercial-scale Direct Lithium Extraction (“DLE”) facilities. The project, located in Lafayette and Columbia Counties, Arkansas, is expected to produce 45,000 tonnes per annum of lithium carbonate, developed in two phases of 22,500 tonnes each. It is being developed in partnership with global energy leader Equinor, with ownership shared at
A Definitive Feasibility Study and Front-End Engineering Design for the Project are currently underway. The partnership is targeting a Final Investment Decision (“FID”) by the end of 2025 with Phase 1 production commencing as soon as 2028.
As part of receiving the grant, the Project is subject to the National Environmental Policy Act (“NEPA”) and will require completion of an Environmental Assessment (“EA”). The Company expects to complete the EA this year, prior to reaching FID. More information, including the opportunity for public comment and review, will be shared as the process progresses beginning in 2025.
David Park stated, “We’re committed to ensuring this project is a win for the Lewisville and southwest Arkansas communities. For us that means adding approximately 100 direct, long-term jobs and 300 construction jobs, with a commitment to hire at least
Additionally, this Project will further benefit the local community through infrastructure improvements, healthcare initiatives, educational partnerships, and workforce development programs.
About Standard Lithium Ltd.
Standard Lithium is a leading near-commercial lithium development company focused on the sustainable development of a portfolio of large, high-grade lithium-brine properties in the United States. The Company prioritizes projects characterized by the highest quality resources, robust infrastructure, skilled labor, and streamlined permitting. Standard Lithium aims to achieve sustainable, commercial-scale lithium production via the application of a scalable and fully integrated Direct Lithium Extraction (“DLE”) and purification process. The Company’s flagship projects are located in the Smackover Formation, a world-class lithium brine asset, focused in Arkansas and Texas. In partnership with global energy leader Equinor ASA, Standard Lithium is advancing the South West Arkansas project, a greenfield project located in southern Arkansas, and actively exploring promising lithium brine prospects in East Texas. Additionally, the Company is advancing the Phase 1A project in partnership with LANXESS Corporation, a brownfield development project located in southern Arkansas. Standard Lithium also holds an interest in certain mineral leases in the Mojave Desert in San Bernardino County, California.
Standard Lithium trades on both the TSX Venture Exchange and the NYSE American under the symbol “SLI”; and on the Frankfurt Stock Exchange under the symbol “S5L”. Please visit the Company’s website at www.standardlithium.com.
About Equinor
Equinor is an international energy company committed to long-term value creation in a low-carbon future. Equinor’s portfolio of projects encompasses oil and gas, renewables and low-carbon solutions, with an ambition of becoming a net-zero energy company by 2050. Headquartered in Norway, Equinor is the leading operator on the Norwegian continental shelf and is present in around 30 countries worldwide. Our partnership with Standard Lithium to mature DLE projects builds on our broad US energy portfolio of oil and gas, offshore wind, low carbon solutions and battery storage projects.
For more information on Equinor in the US, please visit: Equinor in the US - Equinor
Qualified Person
Steve Ross, P.Geol., a qualified person as defined by National Instrument 43-101 – Standards of Disclosure for mineral projects, and Vice President Resource Development for Standard Lithium, has reviewed and approved the relevant scientific and technical information in this news release.
Media Contacts:
Chris Lang
Standard Lithium Ltd.
investors@standardithium.com
Ola Morten Aanestad
Equinor
oaan@equinor.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain certain “Forward-Looking Statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used in this news release, the words “anticipate”, “believe”, “estimate”, “expect”, “target”, “plan”, “forecast”, “may”, “schedule” and other similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to intended development timelines, future prices of commodities, accuracy of mineral or resource exploration activity, reserves or resources, regulatory or government requirements or approvals, the reliability of third party information, continued access to mineral properties or infrastructure, fluctuations in the market for lithium and its derivatives, changes in exploration costs and government regulation in Canada and the United States, and other factors or information. Such statements represent the Company’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.
FAQ
What is the production capacity of Standard Lithium's SWA project (SLI)?
When will Standard Lithium's SWA project (SLI) begin production?
How much funding did Standard Lithium (SLI) receive from the DOE grant?
What is the ownership structure of Standard Lithium's SWA project (SLI)?
How many jobs will Standard Lithium's SWA project (SLI) create?
