South Korea's Posco Holdings eyes investment in Alberta lithium fields

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pSouth Korea's Posco Holdings — which is best known for steel production but also invests in minerals, energy and more — signed a memorandum of understanding this week with provincial Crown corporation Invest Alberta./p

CALGARY — South Korean company Posco Holdings is considering investing in the exploration, development and commercialization of lithium in Alberta.

"Through our strategic collaboration with Invest Alberta, Posco Holdings is not only advancing our commitment to securing lithium but also reinforcing our standing in the global secondary battery supply chain," said Kyung Sub Lee, Posco Holdings executive vice-president, in a news release. Posco Holdings is the parent of Posco Future M, which is building a joint-venture battery-materials plant in Quebec with General Motors.

Currently, the world's biggest lithium producers are Australia, Chile and China. However, it has long been known that Alberta, a major oil-and-gas producer, is also home to one of the world's largest underground lithium deposits. One Calgary-based company, a publicly traded junior resource company called E3, has developed its own technology to extract the lithium that occurs naturally with Alberta's oilfield brines. E3 holds the mineral rights to an estimated 16 million tonnes of lithium resource, and hopes to open a full-scale commercial plant in the central part of the province by late 2026.

"That's where the real value-add is for Canada. If we just export the minerals out of here, that's not really a win in our minds."

 

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