Bolivia has signed a $1 billion deal with China’s CBC to construct two lithium carbonate plants in Uyuni, with capacities of 10,000 and 25,000 tons, respectively. President Arce stated this positions Bolivia as a significant factor in determining international lithium prices. Negotiations for a third contract with Citic Guoan Group are in progress.
On November 27, 2024, Bolivia announced the signing of a significant $1 billion agreement with China’s CBC, a subsidiary of the leading lithium battery producer, CATL. This deal includes the construction of two lithium carbonate production facilities in the Uyuni salt flats, an area renowned for its vast lithium deposits. The first plant will have a production capacity of 10,000 tons annually, while the second plant is slated for 25,000 tons. President Luis Arce emphasized that this project positions Bolivia as a critical player in the international lithium market, which is crucial for electric vehicle and mobile phone battery production. Additionally, negotiations with China’s Citic Guoan Group for a third contract are reportedly underway, with hopes for a swift conclusion.
Lithium, often referred to as “white gold,” has surged in demand due to its vital role in battery manufacturing, particularly for electric vehicles. Bolivia is recognized for possessing some of the largest lithium reserves globally, which has attracted the attention of foreign investors. The current agreement builds upon prior collaborations that seek to develop Bolivia’s lithium industry, which is becoming increasingly significant amid the global shift towards electric mobility. The country’s government is working to establish Bolivia as a key supplier in the lithium market, further enhancing its international standing.
Bolivia’s recent agreement to construct lithium carbonate production plants with China’s CBC marks a pivotal moment for the country’s role in the global lithium market. With this $1 billion deal, alongside ongoing negotiations for additional contracts, Bolivia aims to capitalize on its vast lithium deposits, potentially influencing international market prices. The country’s commitment to developing its lithium industry not only marks a step towards economic growth but positions Bolivia as an important player in the renewable energy sector.
Original Source: jordantimes.com
