Lithos poised to lead in the production of lithium

Lithium is key to the future of Quebec-based Lithos (LTS-M), as surely as electric cars will eventually replace the ones now powered by gasoline.

Lithos controls all known lithium deposits in Eastern Canada, and holds a patent on an electrolytic process that transforms lithium carbonate into pure lithium, the choice metal for the electric car battery.

Lithium is a light, reactive metal which explodes in contact with air.

Lithium metal batteries are far lighter than common lead-acid batteries and produce a stronger, longer-lasting charge. Many U.S. states have passed laws requiring a minimum amount of electric car production by the early part of the coming century, and Lithos is preparing to take advantage of the situation.

“What is not certain is what share of the market metallic lithium batteries will take,” says Alain Zubrzycki, Lithos’ director of finance, noting that there is some competition from ionic lithium batteries.

The key to the design of the metallic lithium battery is the plastic membrane that serves as a barrier between the lithium in the battery and the outside air, keeping the explosive reaction between the two under control. Electrons, however, are able to pass through the membrane and generate a substantial electrical charge.

In 1990, Lithos acquired all of Eastern Canada’s deposits of spodumene, a lithium-rich mineral. The four largest — Sirmac, Lacorne, Lamothe and Lac Moblan — are in the Chibougamau and Val d’Or areas of Quebec, and hold a total lithium oxide resource of close to 500 million lb.

Despite its extensive Canadian lithium supply, Lithos plans to use foreign sources.

Lithos can buy lithium carbonate from operations in Chile and elsewhere for about $1 per lb. It will cost Lithos about $20 per lb. to convert it into pure lithium metal, but it can sell lithium metal for close to $40 per lb.

“Our deposits are there in the background, as bargaining chips. It’s like having a treasure in the bank.

“We may put them into production, but I doubt it. It’s not our primary goal.” At its labratory in Shawnigan, Que., Lithos is producing lithium metal; it is the first company in Canada ever to do so, and one of only four producers in the world.

“We’re coming to the point where we’re fine-tuning the process and producing a small amount of lithium metal.”

After perfecting its electrolytic process in 1997, Lithos will spend $5.1 million to construct a pilot plant that will produce 20-30 tonnes of lithium metal in 1998. Its commercial plant eventually will be equipped to churn out 200-300 tonnes of lithium metal annually.