Oil and gas majors are increasingly investing in direct lithium extraction (DLE) from brines—particularly in the Smackover Formation (Arkansas & East Texas) and Appalachia—as part of a broader energy diversification and decarbonization strategy.
Occidental Petroleum’s move into the lithium extraction space highlights the increasing interest among oil and gas companies in diversifying into critical minerals, particularly in response to the growing demand for lithium-ion batteries.
Companies like E3 Lithium and Imperial Oil in Canada, Occidental Petroleum, and ExxonMobil in the US are investing in technologies to extract lithium from brine. This shift is driven by the increasing demand for lithium, particularly for electric vehicle (EV) batteries, and national initiatives to secure domestic sources of battery metals.
