Albemarle Corp, one of the largest lithium producers globally, has announced plans to build a new lithium processing facility in Chester County, South Carolina. With an initial investment of $1.3 billion, the plant is expected to have an annual capacity of 50,000 metric tons of battery-grade lithium hydroxide, potentially expanding to 100,000 metric tons. The facility, dubbed “Mega-Flex”, will be capable of processing different types of lithium feedstock, including from recycled batteries, and is expected to create over 300 new jobs and 1,500 construction jobs.
The new facility is part of Albemarle’s efforts to support the rapidly growing demand for electric vehicles, as the auto industry shifts towards zero-emission vehicles. The company expects lithium demand to grow by nearly 400% by 2030 and is leveraging its leading position in the market to support over 100 new projects.
Albemarle’s expansion comes as the US looks to achieve a 50% EV share by 2030, up from around 6% in 2022. The company’s new plant will support the Inflation Reduction Act, passed last August, to incentivize the production of critical EV battery materials in North America. In addition, Albemarle has been awarded nearly $150 million as part of the first set of projects funded under the Bipartisan Infrastructure law to expand domestic EV battery production.
See also: Albemarle Forecasts 40% Growth in China’s EV Market, Boosting Demand for Lithium
The selection of Chester County, South Carolina, was based on the availability of rail access and a major port, which will enable Albemarle to bring its lithium products closer to its customers as the supply chain is built out in North America. The new plant is expected to produce enough lithium for roughly 2.4 million EVs annually, supporting the growing demand for electric vehicles and fueling the clean energy revolution.
Construction is expected to begin late next year, pending permit approvals. Albemarle’s CEO said, “This facility will help increase the production of US-based lithium resources to fuel the clean energy revolution while bringing us closer to our customers as the supply chain is built out in North America.” Albemarle’s position as a leader in the lithium market and its investment in new production facilities will help support the transition to a cleaner, more sustainable energy future.
