Bolivia Bets on State-Run Lithium Industry

[subsuelo]

https://nacla.org/node/6799

Nov 15 2010
Emily Achtenberg
The Bolivian government will commit $900 million to develop a state-run lithium industry, according to the Strategic Plan for Lithium Industrialization unveiled by President Evo Morales on October 21. Bolivia will extract and process lithium for commercial use on its own and is prepared to finance the entire chain of production, including a battery plant on Bolivian soil by 2014.

With unexploited lithium reserves estimated by the government at 100,000 million metric tons (70% of the world’s total), Bolivia can supply the world’s lithium needs for the next 5,000 years, Morales told the press. “With these reserves Bolivia can guarantee a worldwide shift towards cleaner, more ecological, and non-contaminating forms of energy, at a fair, non-speculative non-monopoly price.”

These promises have raised great expectations, along with many questions about Bolivia’s lithium strategy—including the role and choice of foreign partners, the market for Bolivia’s lithium products, and the potential environmental and political impacts of lithium development.

Lithium, the world’s lightest metal, is widely used in ceramics, glass, lubricants, pharmaceuticals, and batteries for portable electronic devices. Some analysts believe that worldwide demand could triple by 2020, fueled by the emerging market for battery-powered cars.

[Judi Lynn]

1. Great to see this article. It's terrific. By the way, I just read yesterday Japan is deeply

interested in becoming involved in lithium production with Bolivia.

Glad to see they're already working on plans for containing biohazards.

The goal line is within sight now.

Thanks, subsuelo. Recommending.

[social_critic]

2. I'm sure Japanese multinationals are interested

Large multinationals with cash and technology are interested in exploiting the Bolivian lithium resources. This article tells me the Bolivians are not prepared to develop the lithium. Everybody knows they don't have the money to invest, nor will they receive loans from international lending institutions unless they have a firm development plan. I guess they must be getting advice from Venezuela, known for having grandiose plans which so far go nowhere.

[Judi Lynn]

3. Bolivia, Japan sign agreement on lithium research

Bolivia, Japan sign agreement on lithium research
(AFP) – Nov 10, 2010

LA PAZ — Bolivia and Japan signed an agreement to help the Andean nation conduct research that will lead to the industrialization of its lithium wealth, the Bolivian firm said Wednesday.

The state-run Japan Oil, Gas and Metals National Corporation (JOGMEC) signed memorandum of understanding to work with the state-run Bolivian Mining Corporation (COMIBOL), the Bolivian company told AFP.

JOGMEC will coordinate the research with the Mitsubishi and Sumitomo Corporations, the University of Kita-kiusyu, the National Institute of Science and Advanced Industrial Technology, and the University of Kyoto "to continue the development of the research into the brine located in the Uyuni salt flats."

Lithium is widely used in rechargeable batteries for laptops, mobile phones and electric cars -- and an estimated 70 percent of the world's known lithium reserves are in Bolivia.

http://www.google.com/hostednews/afp/article/ALeqM5iGNC3xe_M7rro3cnjV4xaB8-fsUA?docId=CNG.343e541c0c6b010ffdd4b15c71b3040d.961

[Judi Lynn]

4. Japan, Bolivia to Study Commercial Lithium Development at Salar de Uyuni

Japan, Bolivia to Study Commercial Lithium Development at Salar de Uyuni
By Masumi Suga and Go Onomitsu - Nov 9, 2010 10:57 PM CT

Japan and Bolivia agreed to study plans to jointly develop the world’s largest deposit of lithium at the Salar de Uyuni salt flat in the South American nation.

State-owned Japan Oil, Gas and Metals National Corp. will provide testing equipment and personnel for a pilot plant being built by Bolivia, the Japanese agency said today in a statement on its website. The agency signed the agreement with Corporacion Minera de Bolivia yesterday in La Paz, the statement said.

Japan, South Korea and France are vying to secure supplies from Uyuni. Demand for lithium, used in battery powered cars and portable electronics, may triple to about 110,000 metric tons in the next decade, James D. Calaway, chairman of lithium miner Orocobre Ltd., said last month.

Jogmec, as the agency is known, Mitsubishi Corp. and Sumitomo Corp., Japan’s largest and third-biggest trading companies, have jointly developed technology to extract lithium and the agency has proposed sharing the technology with Bolivia.

http://www.bloomberg.com/news/2010-11-10/japan-bolivia-to-study-commercial-lithium-development-at-salar-de-uyuni.html

[Judi Lynn]

5. Japan and Bolivia Ink Lithium Exploration Deal

Japan and Bolivia Ink Lithium Exploration Deal
By Joel Scanlon

<[b>Japan will be sharing its lithium expertise with Bolivia. The Andean country will be helped in conducting research which will lead to industrialisation of its lithium wealth as per the state-run Bolivian Mining Corporation.

The state run Japan Oil, Gas and Metals National Corporation signed a memorandum of understanding with the Bolivian Mining Corporation to coordinate the research with the Mitsubishi and Sumitomo Corporations, the University of Kita-Kiusyu, the National Institute of Science and Advanced Industrial Technology, and the University of Kyoto.

Bolivia’s deposits of lithium are found in Uyuni near the border with Chile. 70% of the world’s known reserves of lithium are located in Bolivia. These are the largest salt flats in the world and are located 12,000 feet above sea level. Japan is going to help the research into the development of these lithium deposits.

http://www.azomining.com/Details.asp?newsID=1345

[social_critic]

8. There's no need to "research" lithium development

What they're trying to do is sink their hooks, using "research" as a lure. Mitsubishi and Sumitomo are the sharks putting out the bait.

[Judi Lynn]

6. Battle heats up for critical lithium

Battle heats up for critical lithium
Leo Lewis From: The Times November 11, 2010 6:40AM

http://resources2.news.com.au.nyud.net:8090/images/2010/11/11/1225951/611290-aus-bus-pix-lithium.jpg

A panoramic view of the Salar de Uyuni, the world's largest salt flat, in southern Bolivia.
Picture by AP Source: AP

JAPAN appears to have stolen a critical lead in a battle with China and South Korea to develop the world's largest single source of lithium.
At stake is potential access to the lithium reserves of Bolivia's Salar de Uyuni salt desert and the huge advantages that it would confer as nations jostle to gain early supremacy in the manufacture of electric cars.

However, the extraction rights that Japan has won are not exclusive and Bolivia is keen to continue stoking what has been, for the impoverished South American country, a uniquely lucrative and arbitrary beauty contest of rich Asian nations.

Yuko Yasunaga, director of mineral resources at the Japanese Trade Ministry, said that it remained likely that the South Koreans and Chinese might still be invited to participate in the same experiment or to conduct their own.

"I would say that (this deal) puts us in the paddock for the race," he said.

More:
http://www.theaustralian.com.au/business/news/battle-heats-up-for-critical-lithium/story-e6frg90o-1225951607272

[Judi Lynn]

7. Japan to give know-how to Bolivia lithium project

Japan to give know-how to Bolivia lithium project
Wed Nov 10, 2010 6:59am GMT

TOKYO Nov 10 (Reuters) - A state-backed Japanese firm has agreed with the Bolivian Mining Corp (COMIBOL) to develop technology to produce lithium carbonate, it said on Wednesday.
"We signed a memorandum of understanding with Bolivia in which Japan will provide technology to Bolivia's pilot programme to help produce lithium carbonate," an official of Japan Oil, Gas and Metals National Corp (JOGMEC) said.

The technology is for research and development of Bolivia's lithium industry rather than commercialisation, but JOGMEC hopes the agreement will help Tokyo secure future business opportunities in the lithium industry in Bolivia, the official said.

Bolivian President Evo Morales has said his country does not need foreign investors to develop an ambitious lithium carbonate project by 2014.

Bolivia plans to build a plant to produce up to 30,000 tonnes a year of lithium carbonate from the Uyuni salt lake, which holds the world's largest reserves of lithium.

More:
http://af.reuters.com/article/metalsNews/idAFTOE6A905T20101110

[social_critic]

9. Leo Lewis? LOL

Seems Mr Lewis is naive as can be. Nobody has anything yet. And these agreements don't amount to much. They're just "relationship building" tricks used by multinationals. They go visit their government buddies, and set up these arrangements. The Japanese do it all the time, and it usually fails. The Brazilians are better at it. And the French do it very well in former French Africa getting business for their large multinationals. I wouldn't trust a "government research institute" with ties to multinationals and banks - they're just fronts.