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ExxonMobil and SK On Sign MOU for Lithium Supply Agreement
Slice of Energy Team
July 04, 2024
Key Highlights:
ExxonMobil and SK On sign non-binding MOU for lithium supply.
Up to 100,000 metric tons of Mobil™ Lithium to be supplied.
Lithium to support SK On's U.S. EV battery manufacturing.
Project aligns with ExxonMobil’s goal of supplying lithium for 1 million EV batteries annually by 2030.
Extraction and processing to be done in Arkansas.
Source (Business Wire)
Notable Quotes:
“This collaboration with SK On demonstrates the leading role we play in the growing market for domestically sourced lithium, a market that’s advancing energy security and climate objectives, as well as supporting American manufacturing.”
“SK On has been working with global partners to secure key battery raw materials in a move to support our growing U.S. manufacturing base and lead electrification in the region.”
Our Take:
The collaboration between ExxonMobil and SK On is a significant step in strengthening the U.S. EV supply chain. By securing a stable lithium supply, SK On can expand its battery manufacturing capacity, supporting the growing demand for EVs. ExxonMobil’s expertise in subsurface exploration and chemical processing ensures a reliable and efficient lithium production process, which is crucial for the future of clean energy technologies. This partnership not only advances energy security and climate goals but also bolsters American manufacturing, highlighting the critical role of domestic resources in the transition to sustainable energy.