LITHIUM RESERVES AND RESOURCES R.

KEITH EVANS
Gulf Resources & Chemical Corporation, 47th Floor.

1100 Milam Building, Houston, TX 77002, U.S.A.

(Received 29 August 1977) --As a result of accekratint research efforts in the fields of secondary batteries and thermonuclear power genera&. concern has been expressed in certain quarters regardiw the availability. in su%eet quantities. of lithium. As part of a recent study by the National Research Council on behalf of the Energy Research & Development Mtnin&atior. a subpanel was formed to conrider tlte outlook for lithium. Priacii areas of concern were reserves. resources and the surplus available for energy appl&tions after allowing for the gowth in current Mbium applications. Reserves and resources were catinto four classes ranging from fully proved reserves to resources which are probably dependent upon the ma&ing of co-products to become ewaomi&y aura&e. lkuuae of tbc proprietary nature of data on beneficiation and processing ncoveries, the tonnages of availabie litbhtm are expresrcd in terms of plant feed. However, highly consewative assumptions have been lnrde~mi~recDverierradthCKpacoaridcnbkwayto~~for~loircs.Wertcm of all classes are estimated at 10.6 millioa toaAts Li of which 3.5 milliin WfRidMeWUaltdEMKces tonnes Li are located in the United States. Current United States capacity, virtuaUy equivalent to Western Wald apacity. is 4700 tonnes Ji rpd production io 1976 approximated to 3500 tonnes Li. Production for cunntrppl~~sisex~to~torpprox.10~~~~ycu~~13~00tonnesadecrde later. The massive excess of reserves and resources over that necessary to support conventional mqukements has limited tba amount of ju&abk exploration expeoditures: on the last occasion. there was a major ti in demand (by the USAEA) reserves and cap&y were incmased rapidly. There are no foreaeMkreaaanwllythisJaddathappett@rlwhentbanruiisclaar. Rnwrccs not included in the estimates are discussed. Some have great promise should their development ever prove necessary.

INTRODUCTION

Tbe .symposifimon lithium resources and requirements held in Golden, Colorado, in January 1976 revealed widely divergent points of view on the adquacy, or otherwise-of lithium reserves and resources in view of massive potential demands in battery and fusion applications. Caught between the contentions of industry representatives and members of the U.S. Geological Survey were the energy technologists and other current and potential lithium consumers, who must have emerged in a state of some confusion regarding the long term availabilityof iithium. Other published data on lithium reserves and resources add to the confusion because of the widely differing estimates contained therein so it is fortunate, in all respects, that in mid-1976a group was establisbed to report, principally, on the reserve and resource situation. At the request, in mid-1975,of the Energy Research and Development Administration, the National Academiesof Sciences and Eqginecring formed a National Research Council Committee on Nuclear and Alternative Energy Systems (CONEAS) to report upon the role of nuckar power in the context of alternative energy systems in the time period 1985to 2010. CONEAS was organized into four major panels and twenty-six sub-panels. The Energy Resource Group, under the Chairmanship of Mr. James Boyd, was concerned with raw material availability and a Lithium Sub-Panel was one of several formed to consider specific minerals. The lithium group, chaired by Dr. Tbomas A. Kesler and consisting of Dr. Ihor Kunasz of the Foote Mineral Company, James D. Vine of the United States Geological Survey and the writer, met on several occasions in June and July 1976and klixed a report in August. The appropriate authorities have agreed to my reporting our klings and tht tonnage estimates are identical with those submitted. Some of the observations, however, are personal in that add&mal inform8tion has become available over tbe last year and itseems appropriate that some general observations should be made on the overall resource picture as seen by someone from within the lithium industry. 379

380 RESERVES

R.K. EVANS AND RESOURCES

Pegmatites

In the case of pegmatitic lithium sources, three categories of material were tabulated. Class refers to proved or measured reserves but in view of widely differing reporting standards by different companies some overlap into what would normally be categorized as probabk ore is conceivable. Class B material accords, generally, to probable ore and Class C represents resources inferred on geological evidence. In most cases, CJass C material represents the downdip potential of strong and continuous pegmatites where there is evidence that exploration, to date, is far from complete. The one major exception is the total tonnage for North Carolina outside of the areas of activity of the current producers. Here, and only here, a wider resource* concept has been used. Data on recoveries in mining, beneficiation and chemical processing are rarely published and, therefore, it has not been possible to calculate the ultimate yield from each source. However, assumptions have been made concerning mining losses and these are so conservative that they go some considerabk way towards accounting for aB processing losses. In the case of anticipated underground mining operations, ore loss of 50% has been assumed except in one case where records clearly indicate that substantially higher recoveries were achieved and can confidently be expected if the operation is reactivated in future. A 75% ore recovery in open pit operations was assumed, but again with one exception, where the published reserve total is in respect of recoverable ore. Table 1 summarizes the United States tonnages. The Lithium Corporation of America total includes the net open-pittable reserves of the HaIlman-Beam property together with the proved reserves at five other properties within the area, plus the probable (Class B) ore at each. The Class C material inclwles ore grade material outside of currently envisaged mining limits and a conservative estimate of the tonnage within a 500 ft down-dip extension of the main pegmatites.
A generally Table 1. Reserves and resources,pcgmatitcs4I.S.A.

Black Hillm. S. D. lnor GJtay,niru

C C

7 500,DDD

l.lDD,DDD. +0.&i 375,DDo 0.50 ?

5.ooo 2,200

(FootnotesfollowTabk 4)

Foote Mineral Company figures throughout, allow respectively for 75% and 50% recoveries in open-pit aud projected underground operation. The Carolina lithium belt, 48 km in length has, to date, been the chief source of lithium for the Western World. Two large operations are current and embrace an area equivalent to less than one-thirtieth of the belt. Exploration within the area of activity has been restricted to the top 3OOm. The geological setting is such that expectations of large tonnages of ore-grade pegmatite at depth and, to a lesser extent, beneath thick soil cover at current erosion levels, must be high. Statistically, down to a 1500m level, a resource tonnage of 754 million tons at a grade typical for the area has been estimated. This is approximately equivalent to seven times the total listed reserves and resources of the two active companies. Other known pegmatite sources in the United States are not of great significance. Table 2 summarizes the Canadian situation. Only known occurrences in Quebec, Ontario and Manitoba are included. Historical review of the lithium industry clearly demonstrates that when an. inducement exists to explore, a high discovery rate can be anticipated in the Greenstone Belt areas of the Canadian Shield but this potential has been ignored.

Lithiumreserves and resources Table 2. Reserves and resources.pegmatites-Canada.

laIaBLF.BY

OPEN PIT T
3,600.OOO

FEED1 ItECOVFUBLE2 _ArIoN ltmNEs a lO,OOO.OW 10.000.000 2.900,000 S.OOO.OW S.OOO,OOO 3.375.000 20.090.000 3,400.000 10,260.OOO 12,290,OW 1,700,ow 6,030.OW 0.58 0.58 0.58 1.38 0.56 0.51 0.53

4,SW.OOO 3,~.ooo 1.200,OOO

(Foomotes follow Table 4)

The Sullivan Muting Group has announced proved and probable reserves of 13.6 million tonnes within a small radius of its existing shaft. Reconnaissance drilling strongly suggests that the ultimate tonnage could be nearly double this. Available information indicates a historical underground mining recovery of 8046 and this percentage has been used in this case. Although the current Bemic Lake operation for the mining of tantalite is an underground one, it has been assumed that recovery of lithium ore on a larger scale would be open-pit although necessitating the drainage of a small lake. A 75% mining recovery factor has been used. The other Canadian tonnages are in respect of three deposits in Quebec, seven in Ontario and six in Manitoba for which there is publistied reserve information. Known sign&ant overseas pegmatite sources are listed in Table 3. Bikita has the worlds highest known grade ore, approximating to 3.6% Li20. Prior to the imposition of sanctions against Rhodesia it satisfied an exceptionally hi percentage of world demand for high grade ore for direct use in glasses, ceramics and other applications. Its plant capacity, at that time, could comfortably meet total world demand approximating to 50,000 tonneslyr and its published proved and probable reserves were probably suflicient for 40 yr of operation. The inducement to increase reserves was not, therefore, a strong one and the on-strike and downdip potential of the main pegtnatite and associated bodies is considerable. Conservatively, a Class C tonnage quivalent to the proved and probable reserves is assumed. The largest known lithium pegmatites occur in the Manono area of Zaire. Each, of a pair, has a length of 5000 m and a width of approx. 400 m. Exploration, to date, for tin and columbite has been concentrated in the weathered surface xone but assuming, only, a 50 m thickness of unleached pegmatite, the tonnage is as shown in Table 3.
Tabk3.Rcsavesu1dms
oul

Res,

.. pegmmm-Westemworld excluding N. America.

gsgyg
4W:WO:OOO
ihribib ar

26,250,OOO 63.750.000 360.000.000

z 0.6

%G 1,ew:wo

65O:OOO g.g

ll2,500 4S7,5w 225.000

1.4 1.4

1,600 6.800 3.100

4*=vJOO 3,11)0,000

3,225.OOO 2.385,000

0.69 0.77

22.300 18,400

735.000 1,7so,OOO
2.550.000

367.500 875,000
1.275,OOO

i::
0.7

2.600 6.100
8.900

140.000
@otmtea

70.000

0.7

500

follow Table 4) -

382

R. K. EVANS

Other tonnages in respect of known deposits in South West Africa, Brazil, Argentina and Australia are relatively modest.

The total lithium content, to a depth of 360 m, of the Clayton Valley brines in Nevada has been calculated as 706,100 tonnes Li. Of this total, 117,800tonnes are considered to fall within Classes A and B with exploitation of a portion of the residue being probably dependent upon new technology and higher lithium prices. At Searles Lake, California, lithium is a co-product of the production of soda ash, potash, borax and salt cake. The lithium content is very low and continued production is dependent upon the sales of these other salts. In the Great Salt Lake, Utah, the overall tonnage of contained lithium approximates to 520,000 tonnes. Grade varies with depth and location but using a low average of 35 mg/lt and a cut-off of half of this concentration in recognition of gradual dilution of feed, a Class D resource of 260,000 tonnes has heen included. The classification recognizes the fact that sales of magnesium from any operation on the lake is a prerequisite for lithium production at current price levels. In view of the advocacy, in some quarters, of considering sea water as a lithium source, it is interesting to note that the cut-off grade is about 100 times that of water in the oceans.
Table 4. Reserves and resources. brines-Western World.

Foomotcs Tables kl.rsificeoon

t-4
system

In Chile, the Government and Foote Mineral Company have recently announced agreement concerning the possible development of the Salar de Atacama brines for their contained lithium and potash. This evaporative basin is vast and has been pit-sampled and test-pumped over an approximate area of 400 km*. An area three times as large has been examined on a reconnaissance basis. The grade of the brine is substantially higher than brines currently being exploited for lithium and the Class A and C reserves are estimated in Table 4.
Summary

A summary by class, source and showing a distinction between United States occurrences and those in other western countries is tabulated below. The only figure not in earlier tables is in respect of the U.S. Government stockpile of approx. 6100 tonnes Li in the form of lithium hydroxide. Relevant to a total appreciation of the resource situation is a brief summary of potential sources that have not been included in the estimates. First, with the exception of the Carolina pcgmatite belt, no regard has been paid to potential resources within the wide definition of the term which includes both hypothetical and speculative resources. To do so would invite certain criticism, but the fact remains that certain

Lithium reserves and resources Table 5. Reserve and resource, summary Western World.

383

I cLA!ss A1 From pagantiter From brines From stockpile3

366.400 1.290,000 __ 1,656.*00 47,300 L 47,300 456,800 __ 456.800 1.%9.W0 +k!E

CUSSB
From pagmatitcs From brines

cuss c

From From brines

ps@atite8

2,780,900 dk#

CUSSD

Pram brines

283,700 375.700 423,000 3.281,200 3,56*.9W -_. 1.656.400 2,113,2W 7.082,200

Total, cuss A Total, CUSSES A aad B Total, CUSSES A, B, aad C Total. CLASSES A, B, C, and D Caddmd
CUES

f --.7,0.32.200

Totals:
A ............................

2.032.100

CUSS A and 8 ...................... 2.536.200 .................. 10,363.*00 CUSSA,B,mdC CUSS A, B. C. and D............... 10,647.lW
chsmddtnedinfoomMe8

loTdk4

2Tomqm*to

ffiyo*

of litam

beMficiatLon and proms 11otill Favloua T&l.*. Approdmtc Li cOllt.mt

hydraam

from U.S. wt

cmratly availablefor purehan rteckpih.

geological environmats arc conspicuous in having a concentration of pegmatites within them. In many areas, pegmatites are well exposed as a result of frequently being more resistant to weathering than their hosts; in areas of greater weathering an abundance of silicious float is not uncommon. These aids to early discovery dont exist, though, in heavily glaciated areas. The quality of exposure in the eastern part of the Canadian Shield, for example, coupled with the remoteness of large areas, considerably reduces the possibility of chance discoveries in a situation where geophysics are of no assistance. Mention has been made previously of the high discovery rate in this region when an apparent inducement existed in the mid-1950s. There has been no such encouragement to explore in the area since that time. The brines currently considered uneconomic in Clayton Valky are not included in the estimates. A change in the lithium pricing stnicture or pressure on other sources as the result of a quantum jump in demand could act as a spur for their eventual development. Potential large tonnages within known oil field brines in North Dakota, Wyoming, Oklahoma, east Texas and, in particular, Arkansas have been ignored as have all geothermal brines. Sedimentary chys appear unattractive at this stage in comparison with current sources. However, work in tire western United States is in its infancy and if, as seems probable, lithium prices would not be a major factor in fusion energy production costs in the 21st century, such clays may one day be exploited in the unlikely event of more conventional sources being inadequate in terms of sixe or political acceptability. Piily, of all the Salars in the Andean region of eastern Chile, western Bolivia and northwest Argentiua, only Salar de Atacama in Chile has been incl~ in the estimates. This simply reflects the fact that evaluation of that par&ular salar is more advanced. The others in the area are receiving some attention and prelii indications are that, overall, the resources could be vast. RESOURCESINTXECONTEXTOFCURRENTANDFUTUREDEMAND Virtually all western world production of lithium, certainly in the form of chemicals or metal, is concentrated in tbe United States. Apart from small scale co-production from a Kerr McGee Chemical Corporation operation in California, capacity of about 4700 tonnes Li is
ffiY Vd 3 No. 3-K

384

R. K. EVANS

divided about equally between Lithium Corporation of America and Foote Mineral Company. Approximately 70% of capacity is based upon pegmatite sources in North Carolina. Until the mid-1950s. the level of lithium demand remained low, but the prospect and placing of Atomic Energy Commision contracts for their thermonuclear program stimulated fairly intensive exploration and, within a very short period, a massive increase in capacity. The boom was short lived, exploration died and the industry was left with 500% overcapacity. Operations in Texas, Quebec, Italy, West Germany, Japan and the United Kingdom closed. Gradually, in response to the unique properties of the element, demand has grown at a respectable rate over the last ten years in a wide range of applications. In the last five years, according to Lithium Corporation of America estimates, the growth in U.S. production has been from approx. 2800 tonnes Li to 3500 tonnes Lidquivalent to 41 million pounds of lithium carbonate. Historically, new applications have appeared with regularity and naturally the industry hopes that this will continue. However, with the exception of the expanding use of lithium carbonate in aluminum production there is an element of maturity in many current applications. One question the Lithium Sub-Panel had to consider was the possible future demand in conventional applications. Projected demand for new energy uses was not within either our scope or competence in view of the very wide range of estimated demand but conventional demand was considered relevant in order to determine the residue available for secondary batteries and fusion. The estimates are tabulated below and a comparison with the totals in Table 5 indicates a massive surplus available for energy uses even at our current levels of understanding of actual and potential sources.
Table 6. Co~~veatbnd WesternWorld demand estimate.

The reserves and resources of ail classes currently available in the United States to the major producers from their own active or adjacent properties total 660,000 tonnes Li. Ignoring processing recoveries, information on which remains proprietary, the tonnage is sufficient to support the current level of production of 3500 tonneslyr for a lengthy period. The major producer of lithium ores.for direct uses will, when full scale production is resumed (incidentally reducing the demand for lithium chemicals), be in the happy position of having reserves greatly in excess of currently conceived demand. The inducement, therefore, to expend massive sums on exploration is currently lacking although the existing producers naturally continue their efforts to locate, and possibly develop, sources which are either better in grade than present ones or worthy of development because of some marketing considerations. The monitoring system of my owncompany, for example, is a continuous one and should demand show signs of very rapid increase the options before us are well understood. Suggestions have been made that when the quantum increase in demand occurs, the pterodactyl in the sky versus the wren in the hand as described by the Industrial Minerals correspondent of Mining Engineers following the last Lithium Symposium, the current producers will have difficulty in responding. Rapid responses have been made, historically, by the lithium industry to the requirements of government and industry. Most notable was, the crash program established in the mid-1950s to fill the needs of the U.S. Atomic Energy Commission by a lithium industry which had a sound technical base but which was, in those days, both small and financially insecure with limited lithium reserves. The consequences to the fledgling industry of losing the governments requirement is well documented. In spite of this, in the succeeding 15 yr the industry struggled

Lithium rewves

and resources

385

to become profitable and demonstrated its faith in the intrinsic value of lithium by investing their very limited funds in developing a whole range of ore and brine resources, appropriate extraction technology, and many new lithium products and applications. The historical problem for the industry has not been resources, but rather markets. We see a continuation of this for years to come in view of the release of the 88 million pound GSA surplus hydroxide stockpile and announced expansion intentions. For an industry historically used to pushing lithium it anticipates no trouble being pulled by a much larger demand, if indeed this should materialize. Most technical problems can be foreseen and lithium reserves, fuel, raw materials and expertise are readily available. Lithium chemical production facilities are, essentially, nonpolluting and the only significant delays in bringing new capacity on stream with great rapidity would be bureaucratic.