Billionaire Buffett's renewables arm and oil giant to tap lithium using 'game changer' technology
Tycoon's BHE Renewables and Occidental will tap geothermal brine using DLE approach that analysts say could replicate shale's impact for oil, but this time for energy transition material
Berkshire Hathaway Energy, the energy group owned by investment tycoon Warren Buffett, has linked with oil giant Occidental to produce lithium in the US.
Berkshire Hathaway’s BHE Renewables subsidiary has formed a joint venture (JV) with TerraLithium, a unit of Occidental developing Direct Lithium Extraction (DLE) technologies.
TerraLithium’s DLE is said by the partners to enable the processing of high-purity lithium from brine in “an environmentally safe manner”, potentially widening access to the key energy transition material that’s used in batteries for EV and grid storage applications.
From its side, BHE Renewables has a ready source on tap thanks to its operation of 10 geothermal power plants in California’s Imperial Valley which between them process 190,000 litres of lithium-containing brine per second.
The two companies have started a DLE demonstration project at one of the California facilities, with BHE Renewables planning commercial production in the area. The JV later wants to license the technology and open facilities elsewhere.
“This joint venture with TerraLithium represents a significant advancement in BHE Renewables’ commitment to pursuing commercial lithium production that is environmentally safe, commercially viable and leads to good outcomes for the Imperial Valley community,” said Alicia Knapp, CEO of BHE Renewables.
Lithium is among a clutch of materials critical to the energy transition for which a widening of the supply base – and the ability to produce in an environmentally benign manner – is seen as crucial ahead of a coming demand boom.