Tesla To Begin Refining Lithium Within A Year To Secure Battery Supply

Elon Musk has stated that Tesla as a company is more focused on refining lithium than on mining it, as the EV giant plans to begin refining production within a year.

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The hard task for Tesla is refining lithium and not finding it because no country has a monopoly on deposits, Musk mentioned during the company’s investor day.

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Tesla has already started building the proposed lithium refinery in Corpus Christi, Texas, with the goal of starting production within a year.

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The company plans to process lithium concentrates into battery-grade lithium compounds at the Texas refinery.

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Tesla has not acknowledged or commented on reports about a takeover of miner Sigma Lithium Corp. amid high demand for the metal which is crucial for powering EVs.

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EV-makers have aggressively entered the mining sector to secure a supply chain for batteries as electric-vehicle sales see an upward trend.

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Musk said nickel, a key ingredient in EV batteries, is only needed for “aircraft, long-range cars or trucks,” and that the “vast majority of heavy lifting” of EV batteries will be iron-based.

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Musk’s statements suggest that Tesla is taking a new approach to securing lithium supply compared to other automakers, who are also investing in mining operations.

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Tesla’s keen focus on refining might help the company avoid any environmental impact due to lithium mining, help them improve the battery making technology and secure a sustainable supply chain for EV batteries.

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