Saturday, June 3, 2023

Oil company Exxon focuses on lithium extraction and bets on the rise of electric vehicles

America’s largest oil company Exxon Mobil seems to be beginning to change the direction of its business. The company is currently focusing on lithium extraction — a key component in batteries for electric cars, mobile phones and laptops — thus preparing for a future less dependent on gasoline, The Wall Street Journal (WSJ) announced this Sunday.

Texas-based oil company recently bought drilling rights According to specialized media, on land in Arkansas, from where it intends to extract the mineral. Exxon bought 120,000 gross acres (about 48,562 hectares) in the Smackover Formation in southern Arkansas from Galvanic Energy for more than 92 million euros. According to the outlet, the oil company could start drilling in the coming months.

The company’s new bet, according to sources with whom WSJ was able to speak, reflects Exxon’s recognition that demand internal combustion engines It could peak soon and mark the oil company’s return to an industry it led nearly 50 years ago.

Exxon Chief Executive Darren Woods said last year that the lawsuit fossil fuel It would remain strong for decades, driven by chemical production and heavy transportation and industry.

Exxon estimated last year that fuel demand for the internal combustion engines of light vehicles could reach this level peak in 2025, While electric, hybrid and fuel cell-powered vehicles could increase new car sales by more than 50% by 2050.

The company also estimated how much the global fleet of electric vehicles could be 420 million by 2040, compared to 3 million in 2017.

the United States became largest lithium producer In the 1970s, Exxon played an important role in this industry, but its production has decreased and it is now dependent on other countries such as China for supplies of the element.

Nation World News Desk
Nation World News Desk
Nation World News is the fastest emerging news website covering all the latest news, world’s top stories, science news entertainment sports cricket’s latest discoveries, new technology gadgets, politics news, and more.
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