Bolivia announced that it has signed a $1 billion deal with China's CBC, a subsidiary of the world's largest lithium battery maker CATL, to build two lithium carbonate plants in the southwest of the country.
Bolivia's state-owned company Bolivia Lithium Deposits (YLB) said the plants - one with an annual capacity of 10,000 tonnes of lithium carbonate and the other 25,000 tonnes - would be located in the vast Uyuni salt flats.
Lithium, called "white gold", is a key component in the production of batteries for electric vehicles and mobile phones.
Bolivia claims to have the largest lithium deposits in the world.
President Luis Arce, who presided over the signing ceremony on 26 November, noted that this paves the way for Bolivia to become "a very important player in determining the international price of lithium," AFP reported.
The deal follows an earlier agreement reached last year between Russia's Uranium One Group and YLB to build a $970 million lithium mining facility, also in Uyuni.
Both deals must be approved by the Bolivian parliament.
Arce stated that negotiations are underway with China's Citic Guoan Group for a third contract. "We hope to conclude this deal as soon as possible," he said. | BGNES
