Tesla and other electric vehicle (EV) automakers in the West rely heavily on lithium, and as prices for the raw material continue to increase, another new mining operation in Canada is set to help answer the call.
A new Quebec lithium mine expected to open in early 2023 could be a part of the key to unlocking more affordable EVs in North America, the New York Times reports.
The mine, located in a pine forest roughly 350 miles to Montreal’s northwest outside La Corne, is currently operated by Sayona Mining, though the space has changed hands several times over the years — with some of its owners even filing for bankruptcy.
Still, the mine arrives at a time of high EV demand causing a strain on raw minerals needed to build EV batteries, perhaps most significantly including lithium.
“Those of us in the industry are quite confident that lithium will be in short supply for the next decade,” said Piedmont Lithium CEO Keith Phillips, an owner of 25 percent of the Sayona’s Quebec project. “Others are taking a contrarian view.”
Tesla Signs 4-Year Deal with Australia’s Core Lithium https://t.co/X2dhCJBqIv
— TeslaNorth.com (@RealTeslaNorth) March 2, 2022
Sayona is an Australian company operating the Quebec mine, another small illustration of the complex web of countries making up the world’s lithium market.
While China currently controls the vast majority of the lithium mining and refining supply chain, the news also comes as U.S. President Joe Biden is directing funding toward North American lithium operations to help take some of the mineral’s market share and help make EVs cheaper for the average consumer.
Calls for U.S. and North American lithium to increase in production have been echoing loudly in the past few years, as other factors like the COVID-19 pandemic have made the supply chain issues and costs even worse as inflation rises.
