In an effort to gain more control over the supply chain for its electric vehicle batteries, Tesla Inc is moving ahead on its plans to construct a lithium refinery in Texas.
In an earnings call Wednesday, CEO Elon Musk confirmed plans were moving forward when an analyst asked about Tesla’s progress in developing its new 4680 battery cell technology.
The plan is to build a battery-grade lithium hydroxide refinery in the area of Corpus Christi which will take raw lithium ore and process it into production-ready lithium for use in batteries. The plan has been being analyzed for months, and the company had been considering another site in Louisiana.
In the call, Musk referred to lithium prices as “crazy expensive.” He has often encouraged entrepreneurs to get into lithium refining, noting it would ease supply-chain bottlenecks in the rapidly expanding EV manufacturing sector.
The Daily Financial Trends