ExxonMobil Corp. signed a non-binding memorandum of understanding with SK On as the electric vehicle (EV) battery developer seeks a multiyear offtake agreement of up to 100,000 tonnes of lithium from the operator’s first planned project in Arkansas.
SK On plans to use the lithium in its EV battery manufacturing operations in the US, which would contribute to ExxonMobil’s goal of supplying lithium for about 1 million EV batteries annually by 2030.
ExxonMobil plans to produce lithium using its core capabilities in subsurface exploration, drilling, and chemical processing. Through the appraisal drilling program and technology pilot using direct lithium extraction (DLE) technology, ExxonMobil has produced lithium carbonate from the Smackover formation in southern Arkansas (OGJ Online, Nov. 14, 2023).
In the US, SK On currently operates two battery plants in Commerce, Ga., and is building four more plants through joint ventures with Ford Motor Co. and Hyundai Motor Group. After 2025, SK On expects its annual US production capacity to reach more than 180 GWh, enough to power about 1.7 million EVs a year.
