Arkansas Aims for Advancements in Lithium Production
On Tuesday, Governor Sarah Huckabee Sanders (R-Arkansas) shared insights on CNBC’s “Squawk Box” about how Arkansas is enhancing its role in the U.S. efforts to outpace China in the rare earth minerals sector.
“Arkansas is ramping up its critical mineral initiatives against China by tapping into one of North America’s largest lithium reserves,” noted CNBC’s Becky Quick. “Companies like Exxon and Chevron are securing land in southern Arkansas, positioning the state to potentially meet 15% of the world’s lithium demand. Joining us now is Governor Sanders—thank you for being here this morning. Can you elaborate on the lithium reserves? How long have you been aware of them, and when did other companies begin to recognize the need to invest in this?”
“It’s an exhilarating time for Arkansas, especially for the lithium sector, and we are ready to take the lead,” Sanders remarked. She highlighted the advanced technology enabling eco-friendly lithium extraction, contrasting it with the often-destructive mining practices seen elsewhere. With lithium being integral to various uses—from mobile devices to military applications—she asserted that Arkansas has the resources to capitalize on these reserves while keeping production local. “We’re looking to handle everything from extraction to manufacturing domestically, which means we won’t have to depend on outside sources for lithium.”
“Lithium is found in saltwater and brine within geological aquifers,” Quick interjected. “When was it first understood that lithium could be extracted this way?”
“It’s always been there,” Sanders explained. “However, the recent advancements in extraction methodologies, which are both efficient and less disruptive, have only come about in recent years. We have also established a royalty framework that landowners and companies have agreed upon, allowing us to commence actual extraction operations.”
Quick noted, “This comes at a time when the rare earth crisis is escalating. With China, ExxonMobil isn’t just discussing plans for a processing facility; they are actively investing. When do you anticipate that will be operational?”
“Exxon, Chevron, Standard Lithium, and Albemarle Lanxess have each poured millions into Arkansas recently, securing land rights and setting up facilities as they prepare for this moment,” Sanders added. “We’re moving forward with great momentum. In the coming days, nearly 1,000 members of the lithium industry will gather in Arkansas to discuss our resources, our strategies, and how we can emerge as a global leader in lithium extraction and integrate it into manufacturing.”
