LG Chem struck a deal with ExxonMobil to secure lithium carbonate supply from Arkansas, marking a significant push into the North American electric vehicle supply chain.
The South Korean chemical maker will receive up to 100,000 tons of lithium carbonate over 10 years starting 2030 from ExxonMobil’s 14,700-acre brine operation. The site reportedly holds reserves sufficient for 50 million electric vehicle batteries.
The agreement will feed LG Chem’s Tennessee cathode material plant, which began construction in 2023. With 60,000 tons of annual production capacity, it represents the largest such facility in the US.
ExxonMobil began extracting lithium using Direct Lithium Extraction technology at the Arkansas site last November. The companies will collaborate on developing materials for the extraction process, including RO filters.
The partnership aligns with broader efforts to establish domestic battery supply chains in North America. For LG Chem, the Tennessee plant’s central location offers strategic advantages for customer deliveries and raw material logistics.
According to company executives, the agreement aims to strengthen LG Chem’s mineral supply chain while supporting US lithium production and sustainability goals.
