10-07 Lithium

If we can get our heads around the concept of half of the world’s automobiles being electric by say 2050, then we can also comprehend that critical ingredients in lithium-Ion batteries will become sources of conflict.
And even today, China and the US are involved in sewing up sources of lithium. China, especially, is active in countries like Chile and Bolivia who are major suppliers.
Lithium is a strategic element and its control is what we like to call “geopolitics”. The future control of the EV market, for example, is completely linked to the control of lithium and cobalt.
And, it should be no surprise that the growth of the electric vehicle market is already creating a boom in demand for lithium. And, of course, a jump in prices.
To get some understanding of how much lithium we are talking about, consider that one Tesla battery requires about 63kg of Lithium, and that is the amount of lithium in 10,000 cell phone batteries.
Fortunately, Australia is a strategic ally of the United States and is a major supplier of lithium. The photo shows how lithium can be found in flats or areas that were once rivers and lakes.
What is so interesting today, with the war in Afghanistan going on for over a decade, and domestic political pressure to declare victory and get out, is that they have a reason to stay. Geologist have recently discovered in the order of a trillion dollars of minerals including gold and lithium.
So, it does not look like the US will be leaving Afghanistan, if this nation can become a major source of something as strategic as lithium. In terms of quantity, what is in Afghanistan is as big as what is in Bolivia.
Of course, it will be hard to get anything going because of the corruption in this nation. News reports tell a story of a minister in the Afghan government taking a $30 million bribe for giving a Chinese company drilling rights.
So, if the future conflict between the US and China is about the control of strategic resources, the US will stay in Afghanistan just to keep China out.
Love the photo of the Afghan with the huge rock on his back. There has to be more in Afghanistan than poppies.