Carbon-focused mining company Snow Lake Lithium has announced the signing of a memorandum of understanding (MOU) with battery maker LG Energy Solution to establish a domestic lithium supply chain in the North American market. Snow Lake Lithium plans to start a lithium mining operation in 2025 and plans to provide LG with precious earth materials that are critical to current EV battery chemistry. This domestic supply chain could also help several automakers receive U.S. federal tax credits.
Snow Lake Resources Ltd. ($LTIM) is a publicly traded mining company looking to source precious battery materials in new, more sustainable ways. The company has pledged to provide fully traceable, carbon neutral and zero-hazard lithium for the North American electric vehicle and battery markets through the use of hydroelectric power and zero-emission mining machinery.
Snow Lake Resources Ltd. currently holds the mining rights to a piece of land in Manitoba, Canada, which is rich in lithium resources. The company began an initial assessment of the land in early 2022, but said it would take 18-24 months to complete the work before commercial lithium mining could actually begin in North America.
Snow Lake Lithium still has a lot of work to do before mining such a rich supply of lithium for North American automakers. Based on early assessments, the company believes that resources on the continent alone could provide enough lithium to power 5 million electric vehicles, which could reduce U.S. automakers’ reliance on China.
In its latest announcement, LG Energy Solution — a major battery supplier to North American electric vehicle manufacturers — will establish a viable domestic lithium supply chain that will bring economic benefits to the automaker and its U.S. customers.
Editor in charge: Aijiwei