LITHIUM (Data in metric tons of contained lithium, unless noted) Domestic Production and Use: The United States was the largest producer and consumer of lithium minerals and compounds worldwide. The value of domestic lithium production was estimated to be about $115 million in 1995. Two companies produced lithium compounds for domestic consumption as well as for export to other countries. The use of lithium compounds in ceramics, glass, and primary aluminum production represented more than 60% of estimated domestic consumption. Other major end uses for lithium were in the manufacture of lubricants and greases and synthetic rubber production. Salient Statistics--United States: 1991 1992 1993 1994 1995e/ Production W W W W W Imports for consumption 590 770 810 851 1,000 Exports 2,400 2,100 1,700 1,700 2,000 Consumption: Apparent W W W W W Estimated1/ 2,600 2,300 2,300 2,500 2,500 Price, yearend, dollars per kilogram: Lithium carbonate 4.21 4.32 4.21 4.41 4.60 Lithium hydroxide, monohydrate 5.37 5.53 5.71 5.62 5.90 Stocks, producer, yearend W W W W W Employment, mine and mille/ 230 230 230 230 230 Net import reliance2/ as a percent of apparent consumption E E E E E Recycling: Insignificant. Import Sources (1991-94): Chile, 98%; and other, 2%. Tariff: Item Number Most favored nation (MFN) Non-MFN3/ 12/31/95 12/31/95 Other alkali metals 2805.19.0000 6.4% ad val. 25% ad val. Lithium oxide and hydroxide 2825.20.0000 3.7% ad val. 25% ad val. Lithium carbonate: U.S.P. grade 2836.91.0010 3.7% ad val. 25% ad val. Other 2836.91.0050 3.7% ad val. 25% ad val. Depletion Allowance: 22% (Domestic), 14% (Foreign). Government Stockpile: None. Prepared by Joyce A. Ober, (703) 648-7717. LITHIUM Events, Trends, and Issues: The Department of Energy (DOE) sold 41 million kilograms of lithium hydroxide monohydrate, material that was excess from the thermonuclear weapons programs of the 1950's and 1960's. Two U.S. companies purchased the material and will receive shipments during the next 6 years. Up to 30% of the stocks will be available on the open market at the established contract price for 6 months. The remainder of the 30% will be purchased at the end of the period by the two companies under terms of the contract. One buyer was one of the two domestic lithium producers. The other was a company based in California that recycles lithium batteries at its Trail, British Columbia, Canada, plant. The lithium compounds recovered from the batteries are marketed as additives to improve the long-term stability of concrete. The California company also will sell the DOE lithium hydroxide monohydrate as a concrete additive also. Two new lithium carbonate operations approached completion. A plant in Western Australia was expected to begin production of lithium carbonate from spodumene ore by yearend. A U.S. company continued development of its brine deposit in Argentina and expected lithium carbonate production to begin early in 1997. Further lithium carbonate projects were under consideration in Canada, Chile, and Zimbabwe. World Mine Production, Reserves, and Reserve Base: Mine production Reserves4/ Reserve base4/ 1994 1995e/ United States W W 340,000 410,000 Argentinae/ 8 8 NA NA Australiae/ 1,700 1,800 370,000 440,000 Bolivia -- -- -- 5,400,000 Brazil 32 32 910 NA Canada 630 650 180,000 360,000 Chile 2,000 2,100 1,300,000 1,400,000 China5/ 320 320 NA NA Namibiae/ 40 40 NA NA Portugal 180 180 NA NA Russia5/ 800 800 NA NA Zaire -- -- -- 320,000 Zimbabwe 380 350 23,000 7,000 World total (rounded) 6/ 6,100 6/ 6,300 7/ 2,200,000 8/ 8,400,000 World Resources: The identified lithium resources total 760,000 tons in the United States and 12 million tons in other countries. Substitutes: Substitutes for lithium compounds are possible in manufactured glass, ceramics, greases, and batteries. Examples are sodic and potassic fluxes in ceramics and glass manufacture; calcium and aluminum soaps as substitutes for stearates in greases; and zinc, magnesium, calcium, and mercury as anode material in primary batteries. Lithium carbonate is not considered an essential ingredient in aluminum potlines. Substitutes for aluminum-lithium alloys as structural materials are composite materials consisting of glass, polymer, or boron fibers in engineering resins. e/Estimated. E Net exporter. NA Not available. W Withheld to avoid disclosing company proprietary data. 1/Based primarily on monitoring at the concentrate stage and assuming a 15% lithium loss during conversion of concentrate into chemicals. 2/Defined as imports - exports + adjustments for Government and industry stock changes. 3/See Appendix B. 4/See Appendix C for definitions. 5/These estimates denote only an approximate order of magnitude; no basis for more exact estimates is available. Output by China and Russia has never been reported. 6/Excludes U.S. production. 7/Excludes Argentina, China, Namibia, Portugal, and Russia. 8/Excludes Argentina, Brazil, China, Namibia, Portugal, and Russia. Mineral Commodity Summaries, January 1996