Sunday, 18 November 2012

Bolivia's Golden Ticket


Bolivia, one of the poorest countries in South America, is sitting on an untapped reserve of Lithium Carbonate. This aqueous metal solution is the primary component in the lithium ion batteries we all use in our phones, tablets and laptops. However, with the popularity of electric vehicles on the rise demand for lithium carbonate is ever increasing, along with the price. Bolivia has the worlds largest known resource of lithium carbonate beneath the Salar de Uyuni salt flats located to the southwest. The salt flats, bordered by the Andes mountain range, are 3,656 meters above sea level in one of the most arid and inhospitable environments on Earth (Image below). However, beneath the 10,500 km squared of dried salt crust is an estimated 5.5 million tonnes of lithium.



I came across two video reports, one from 2009 and another from 2012 assessing the rather individual way that the Bolivian government is planning on exploiting the precious resource that they hold (links below). The master plan being that foreign companies would be allowed to utilise the lithium resource as long as all battery manufacture would take place within Bolivia and all profits made would be reinvested into the country. With this proposal the government hopes to bring an end to foreign exploitation of resources. However, it would seem that in the intervening 3 years between the reports Bolivia has made little progress in completing its goal to create a fully intergraded battery manufacturing facility without non-domestic investment. The mining process is relatively simple and environmentally friendly. The top layer of salt evaporite is removed and a pit is dug into which lithium in solution gathers. Evaporation of water leaves a concentrated solution of lithium carbonate behind in the pit which can then be syphoned off and transported. The problem is that there is no infrastructure at the Salar de Uyuni. Infrastructure that could have been funded by foreign investment. In these times of economic hardship Bolivia hardly has the excess to spend on developing industrial scale manufacturing and mining at 3,500m above sea level. However, if the government does not invest or allow investment in its own future now then in 10 to 20 years when battery technology has moved on, the proverbial gold rush will be over. 

Sources: Encyclopaedia Britannia, USGS, Image curtsy of Landsat