Snow Lake Lithium Ltd (Nasdaq:LITM) has outlined plans to develop the world’s first all-electric Lithium mine in Manitoba, Canada developing a domestic supply of this critical resource to the North America electric vehicle industry.
With demand for electric vehicles growing rapidly, the global automotive and energy storage industries will be competing to access raw materials, especially lithium, that are a crucial component of batteries.
North American automotive manufacturers have committed manufacturing capacity to meet the demand for electric vehicles, but the future of the North American automotive industry relies on sourcing lithium hydroxide on the continent rather than importing it from China and Asia as well as creating an integrated domestic supply chain.
To enable the seamless integration of the supply chain, Snow Lake Lithium plans to establish a joint venture to create a lithium hydroxide processing plant and is seeking a partnership with an automotive OEM or a battery manufacturer to deliver this.
Philip Gross, CEO of Snow Lake Lithium said, “We are facing a once-in-a-century industrial pivot as North America accelerates towards an electrified future. If we don’t act now to secure a seamless lithium supply chain from rock to road, the North American car industry will not exist in 10 years’ time.
“Our ambition is to become the first fully integrated, carbon neutral lithium hydroxide provider to the North American electric vehicle industry. We are developing the world’s first all-electric lithium mine, operated by renewable power, and are currently looking for a joint venture partner to create a lithium hydroxide processing plant in the region.”
Based in Manitoba, Canada, Snow Lake Lithium is ideally located to serve the North American automotive industry with access to the US rail network via the Artic Gateway railway, which reduces transportation from thousands of miles by road and boat to just several hundred by train.
Snow Lake Lithium’s 55,000 acre site is expected to produce 160,000 tonnes of 6% lithium spodumene a year over a 10 year period. Currently, Snow Lake Lithium has explored around 1% of its site and is confident that this will expand over the course of the next year. Snow Lake Lithium’s mine will be operated by almost 100% renewable, hydroelectric power to ensure the most sustainable manufacturing approach.
The Manitoba region has a rich history of mining giving Snow Lake Lithium access to some of the most talented and experienced miners in North America.
Philip Gross continued, “Mining runs through Manitoba’s DNA, the evolution of the electric vehicles supply chain offers a once in a generation opportunity to deliver economic growth and secure a sustainable future for mining for the province. We are working closely with Manitoba Province to develop the right conditions to make the most of this opportunity.”
Over the coming months, Snow Lake Lithium will continue its engineering evaluation and drilling programme across its Thompson Brothers Lithium Project site, with the expectation that the mine will transition to commercial production in late 2024.