“Energy Leadership Requires Partnerships”

Arkansas

“Energy Leadership Requires Partnerships

Arkansas historically has played a significant role in our nation’s pursuit of energy independence by producing fuels that reduce our reliance on foreign countries. The state has a rich history of oil, natural gas and brine production. While we can’t abandon traditional energy resources without jeopardizing reliability, affordability and security, we must explore more efficient uses of these resources and prepare for alternative energy solutions. Today’s decisions will shape the future of our energy sector and elevate Arkansas’ position in global energy leadership.

How can we support Arkansas’ energy future? The answer lies deep underground: lithium. Lithium has long been crucial for producing the batteries that power items like smartphones, but its importance has grown recently. As global leaders aim for net-zero emissions, the U.S. increasingly relies on battery-powered machines to meet these goals. Consequently, lithium has become a coveted natural resource worldwide.

Fortunately, Arkansas holds one of the world’s largest lithium deposits in the Smackover Formation. At the recent Arkansas Lithium Innovation Summit, leaders described how the state could produce up to 15% of the world’s finished lithium supply. Lithium production will boost Arkansas’ global presence, secure the lithium needed for a national clean energy transition and reduce reliance on adversaries like China.

Arkansas’ lithium will be sourced from brine — saltwater unsuitable for drinking — found thousands of feet below the earth’s surface. Industry partners will use state-of-the-art wells that are cleaner and use less land than conventional methods. These wells will tap into the brine, and energy companies will extract the lithium and inject the saltwater back into its original deposits. Compared with traditional mining methods, this process, deep below the water table, reduces the risks to drinking water.

With a noninvasive extraction process, lithium will usher in a new era of growth for Arkansas. This means new, high-quality jobs in constructing and operating wells, as well as in on-site lithium production. It will also encourage the growth of related industries, such as battery production and the electric vehicle industry, creating sustained statewide growth.

Arkansas is familiar with this extraction process, as it has been used to produce bromine from the same brine for almost 70 years. Our bromine history provides an advantage with an established, proven regulatory program enacted in 1979. To ensure the long-term success of lithium extraction in the Smackover Formation, our state must act now. The construction and operation of these facilities will take time. To ensure this budding industry’s staying power, Arkansas is working to secure a sensible royalty structure and invest in necessary infrastructure. Without this investment and leadership, we risk losing this industry before it fully establishes itself.

As co-chairmen of the Arkansas Joint Energy Committee, we are committed to advancing our state’s burgeoning lithium industry and developing its potential. We look forward to collaborating with industry partners to transform Arkansas into a global energy leader while creating new opportunities for Arkansans.”