Tesla Expands Battery Efforts with New ‘Lithium Lab’ in Nevada

Tesla is in the process of building a new ‘Lithium Lab’ in Sparks, Nevada, according to a recently obtained building permit by Electrek.

The new Lithium Lab in Nevada is part of Tesla’s broader effort to ramp up battery production. Interestingly, the facility is not situated at Tesla’s Gigafactory Nevada, which is itself undergoing expansion following the announcement that the company will produce Tesla Semi trucks and its newest 4680 battery cells there.

Located in the town of Sparks, just outside of Reno, the “Tesla Lithium Lab” is currently undergoing upgrades, as indicated by a building permit application.

The company described the facility as a “Manufacturing R&D (Lithium Lab)” in its application, stating that the scope of work includes “mechanical, electrical, plumbing, and minor architectural upgrades to support tool installation and process optimizations.”

The exact purpose of the Lithium Lab remains unclear, but Tesla has been increasingly involved in the lithium industry. The company is building a lithium refinery in Corpus Christi, Texas, which is anticipated to develop a new processing technique for converting lithium into battery-grade lithium hydroxide.

Additionally, Tesla has previously discussed mining lithium in Nevada using a novel technique, but there has been little information on this project since its announcement in 2020. The precise role of the new Tesla Lithium Lab in these ventures remains uncertain at this stage.

Back in February, Tesla was said to be in talks to acquire Canadian lithium miner, Sigma Lithium.

Tesla CEO Elon Musk has reiterated many times lithium ore is plentiful on Earth, but the limitation is refining capacity.

“Lithium ore is very common throughout Earth. What matters is refining capacity,” said Musk last month.

Earlier this year, he said, “Lithium refinement needs to increase dramatically, but lithium ore itself is extremely common throughout Earth.” Essentially, lithium batteries “are the new oil” according to Musk.

During Tesla’s recent Investor Day, the company said needs to scale battery production capacity by tenfold by the end of the decade, in order to meet its growth ambitions.