Utah Halts A1 Lithium's Green River Project for Environmental Review

The Utah Division of Water Rights has paused A1 Lithium’s plans to extract lithium near Green River, Utah, to reconsider its water rights application. This action follows a petition from environmental groups concerned about water usage and potential environmental risks.

Initially approved on May 1, the project intended to use nearly 14,000 acre-feet of water annually, employing direct lithium extraction (DLE) technology. A1 Lithium claims this method is non-consumptive as the water would be reinjected into the ground. However, local experts have noted that non-consumptive water rights applications are uncommon for usage like this and DLE technology remains contentious.

Environmentalists argue that the project could contaminate local groundwater and worsen the drought-stricken Colorado River system's condition. The drilling also involves passing through a radioactive aquifer from a historical uranium mill, raising additional safety concerns.

The Utah Division of Water Rights will review the application and issues raised, possibly holding additional public hearings. A1 Lithium has expressed its commitment to address these concerns.

Author: Hongqiu Su | Battery Metals Analyst Associate | London Office, Shanghai Metals Market
Email: lilysu@smm.cn