It’s well-known that lithium is a crucial mineral for many new technologies. According to research by the International Energy Agency (IEA), the world’s biggest producers of the mineral are currently Australia, China and Chile.

The IEA research also highlighted how much demand for lithium is growing – and is projected to grow – in the coming years, driven partly by the transition to clean technologies to replace those that rely on fossil fuels. 

Naturally, with production concentrated in other countries, it makes sense for the UK to explore its own avenues for accessing this vital mineral. 

This is why the government is supporting a lithium mine in Cornwall. 

 

What support is the Cornish lithium mine receiving?

The government’s DRIVE35 fund will provide approximately £10 million in funding to support the lithium mining venture by Geothermal Engineering Limited, which will be investing a further £43 million in the project. 

According to the Department for Business, Innovation, Science and Trade, demand for lithium is expected to increase by 1,100 per cent by 2035, making this particular mineral a very lucrative and important one to extract from the ground. 

The creation of the lithium mine in Cornwall is not only expected to give the UK direct access to this valuable mineral, but will also create 50 jobs at the facility and support approximately 80 others elsewhere in the supply chain. 

 

Is this the only lithium mining facility in the UK?

The Cornish lithium mine is the second such project in the UK, with work to establish one of the largest lithium refineries in Europe already underway in Teesside. 

This project is expected to receive £18.3 million from the DRIVE35 fund, in addition to £185 million of private investment from Tees Valley Lithium. 

Other related projects that have been supported by this government fund include those for lithium extraction and production being run by Cornish Lithium, Watercycle Technologies, Weardale Lithium and Northern Lithium. 

 

Why do we need more lithium?

Lithium has become a crucial element in many forms of new and emerging technology, but the area that is driving the strongest demand for this mineral are electric vehicle (EV) batteries. 

More specifically, lithium is crucial for the next generation of EV batteries because it helps the battery store energy without making the battery itself too heavy or large in size. 

In a vehicle, where space is at a premium and extra weight requires more power to move the vehicle, the properties lithium provides really matter. Another reason that lithium-ion batteries have become the preferred option for EVs is their longevity.

When managed correctly, lithium can go through many charging cycles. For vehicles, which need to recharge regularly, this is a crucial piece of the puzzle to get right. 

But while EV batteries are the most frequently cited reason for our increased need for lithium, this is far from the only technology that uses lithium-ion batteries. 

Our mobile phones, tablets, laptops and many other portable pieces of technology also employ lithium-ion batteries to keep them running and allow them to be recharged many, many times. 

However, because the transport sector contributes considerably to greenhouse gas emissions the world over, electrifying this sector – especially when it is coupled with an uptick in renewable energy generation on a national scale – can have a significant positive impact on the environment.

Meanwhile, the geopolitical tensions that have seen the oil price spike considerably in the past 12 months will have made governments the world over even more aware of the need to develop their own supplies of critical materials. 

This is another reason why the UK government is prioritising projects like the lithium mine in Cornwall and extraction plant in Teesside. By having this mineral available in our country, there is less concern over global supplies.

 

Is lithium mining the only capability the UK needs to develop?

In addition to mining lithium and extracting it from both brine and rock, the UK will then need to process the metal to ensure it takes a usable form.

This is where toll processing, a method whereby raw materials like lithium are processed into a product that can be used. Toll processing is important because it gives the companies that extract the lithium a cost-effective way to turn it into a form whereby it can be used in the likes of batteries. 

Toll processing requires specialist equipment and expertise, which is another reason why many companies that mine or extract lithium and other raw materials seek support with toll processing. 

Under this arrangement, the company that extracted the lithium retains ownership of it and simply pays for the manufacturing capability to turn it into a more usable end product.