BOLIVIA: Japanese and Bolivian officials and businessmen meet to work on deal on lithium extraction

Record ID: 463604

  • Title: BOLIVIA: Japanese and Bolivian officials and businessmen meet to work on deal on lithium extraction
  • Date: 25th February 2011
  • Summary: UYUNI, BOLIVIA (FILE) (REUTERS) VARIOUS OF TRIAL LITHIUM LAB VARIOUS OF WORKERS EXTRACTING LITHIUM FROM SALT FLAT
  • Embargoed: 12th March 2011 12:00
  • Keywords:
  • Location: Bolivia, Plurinational State Of
  • Country: Bolivia
  • Topics: International Relations
  • Reuters ID: LVA34K6P20EDICGUORPEYTOGQSL9
  • Story Text: Japanese officials and businessmen met with Bolivian counterparts in La Paz on Thursday (February 24) as the two nations come closer on a deal to mine massive lithium deposits in Bolivia.
    Last year, Bolivia's state-run mining company agreed to work with a state-backed Japanese firm to develop technology to produce lithium carbonate, but not to commercialize it.
    But Bolivia's leftist President Evo Morales is wary about how the natural resource, which some call the oil of the future, will be exploited by foreign companies.
    Kaname Tajima, Japan's vice president of economics, trade and commerce, was hopeful of a strong partnership.
    "The relationship of cooperation between Bolivia and Japan is facing a new phase beginning with President Morales visit to Japan and the joint declaration made with Prime Minister Naoto Kan in December of last year. At that time, both countries were able to confirm their interest in working together in the industrial development of lithium in Bolivia, where there's great potential for development," he said.
    Tajima added Japan has the technology to mine pure lithium from under Bolivia's salt flat at Uyuni, where the world's largest known reserve lies.
    "The technology Japan is proposing to use permits, different from other technologies, the extraction of highly-pure lithium even in environments with high levels of impurities," Tajima said.
    Bolivia does not currently have a lithium mine, but a pilot project has been operating in Uyuni with an eye on forming a full plant that will mine up to 30,000 tons of lithium carbonate by 2011.
    On Thursday, Morales said he hoped money from the lithium extraction would help Bolivian people climb out of poverty.
    "(We want) to take advantage of the natural resources that mother nature gives us for the good of the Bolivian people and all of humanity. But we also want to be clear with nations and businesses," he said.
    Morales added lithium could also aid in cutting back the use of fossil fuel in the world.
    "This treasured resource that is lithium must be used respecting mother nature and also helping to fight global warming," he said.
    Lithium is the main component in rechargeable batteries that power products from laptops to cameras. Demand for lithium ion batteries is expected to surge as drivers switch to hybrid and electrical cars.
    Morales reportedly proposed the Japanese businessmen that they build their electric cars in Bolivia in exchange for an agreement to cooperate on lithium extraction.
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