In May 2024, Equinor entered a strategic partnership with Standard Lithium acquiring a 45% share in two lithium companies in Southwest Arkansas and East Texas.
USD 225 million funding from the DOE’s Office of Manufacturing and Energy Supply Chains will support construction of a processing facility for the SWA project, which in Phase 1 is targeting an annual production of 22,500 tonnes of lithium carbonate for use in battery production.
“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.
Lithium is an essential mineral and is required to meet the projected growth in electric vehicles and broader battery energy storage. Direct Lithium Extraction (DLE) is a method of producing lithium from lithium-rich saltwater typically from deep underground reservoirs which cannot be used for drinking or agriculture purposes.
The project’s design is being updated from its original Preliminary Feasibility Study (PFS). The target is now a larger total output of 45,000 tonnes per annum of lithium carbonate, to be developed in two phases of 22,500 tonnes each. A Definitive Feasibility Study (DFS) and Front-End Engineering Design (FEED) study are currently underway to mature the project towards a final investment decision (FID).
The SWA project’s facilities are planned to be located in Lafayette County, approximately 7 miles south of Lewisville, Arkansas and the brine unit that will source lithium-bearing brine for the project facilities spans Lafayette and Columbia counties. Pending a positive investment decision, the project is expected to create up to 300 construction and 100 direct jobs. The project could further benefit the local community through infrastructure improvements, healthcare initiatives, educational partnerships, and workforce development programs.
