Elon Musk tweeted that Tesla could mine and process lithium directly and on a large scale because the cost of the metal, a key component in battery production, has become very high.
The price of lithium has reached insane levels. Tesla will have to deal with mining and processing directly. There is no shortage of the element itself, as lithium is found almost everywhere on Earth, but the rates of extraction and purification are slow.
Elon Musk
The Tesla and SpaceX CTO responded to a tweet showing the average price of lithium per ton over the past two decades, which showed significant price increases from 2021. According to Benchmark Mineral Intelligence, the value of the metal has risen by more than 480% in the past year.
According to the US Geological Survey, a division of the US Department of the Interior, there are deposits of lithium throughout the United States Lithium is used in electric vehicle batteries because it is the lightest metal and the least dense solid element. This means that batteries made from lithium have a high power-to-weight ratio, which is important for shipping.
This is not the first time Musk has raised the topic of Tesla mining its own lithium. In 2020, Tesla received its own lithium mining rights in Nevada, although a deal to buy the lithium mining company fell through.
Source: ixbt
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