Customers for lithium exist all around the planet. The compound is a key ingredient in lithium-ion batteries, power cells that are found in laptops, smart phones, and crucially electric vehicles.

A pilot project was put in place this summer to test a new technology created by the Saskatchewan based company Prairie Lithium. The project took place at a west central Whitecap Resources location last year, and the partnership between the two is in an effort to help meet the worlds growing demand for this precious compound.

"It's our partnership with Whitecap Resources that really enabled this pilot project to take place." said Prairie Lithium President and CEO Zach Maurer in a Saskatchewan Jobs feature.

Lithium is a trace element that is prominent in Western Canadian groundwater aquifers, so what Maurer and Prairie Lithium have tried to do is develop a technology that will selectively extract lithium out of the acquired by-product called brine-water.

"The brine-water is made up of almost every element in the periodic table. It's a really salty water (sodium, chloride, potassium, magnesium), and then really small amounts of lithium" said Maurer, "We developed a technology to basically recover the lithium and reject all the other salt. We then take that extracted lithium, and convert it into a battery quality chemical."

This summer's pilot was the first time the technology was used in the field, and "was really aimed at understanding the fundamental economics for developing the technology in the industry, around lithium in Saskatchewan" according to Maurer.

"Lithium is incredibly un-explored in Saskatchewan, it's kind of a new frontier in resource exploration"

What made the Kindersley area an attractive target? Oil and gas operations in general create a substantial amount of brine-water, as pre-pandemic numbers saw 800,000 cubes per-day in Saskatchewan according to Maurer. This massive waste-stream enriched with lithium led to the idea of a lithium filter, and eventually a way to monetize one of the largest waste streams in the province.

They also chose the area because of already existing mineral rights, but mostly due to the quality of brine seen in the area.

"It's the best in production right now. It has the most lithium in the brine that's in production right now."

Another advantage the west central area brings according to Maurer, would be the list of people eager for work that carry applicable skill-sets. He understands the oil and gas industry has been hit hard in recent years, and sees massive potential in this new industry for the region.

"The fact is that we can utilize people that have knowledge of the exact same industrial processes, find a new opportunity for a new industry, that really almost reduces the polarization between why the oil and gas industry is getting beat up in the first place." said Maurer,"There is a lot of environmental pushback, people want to de-carbonize transport, and lithium and electric vehicles are the number one contender to replace internal combustion engines"

"It's really converting the oil-field, into places that we can just produce a product that the world wants."

Maurer believes that if the price of lithium continues to move directly upwards, a trend that he doesn't expect to end soon, there could be a potential supply/demand gap coming.

"It was a summer pilot program, so it's not a permanent infrastructure in the area." explained Maurer, "I think that there is a pretty large disconnect between the critical material industry, and the consumer. It takes a long time to get minds and technology online, but (right now) you can go online and buy an electric car."

"With increased commodity and lithium chemical prices, lower grade resources become economically viable. The Kindersley area definitely has a nice resource in the area, at the right resource price."

There is still a great deal of research and development required to get the project going, but Maurer doubled down on the fact that if the price of lithium chemicals continues to rise, then lower grade resources will become more economically viable. The amount of lithium data in the area is definitely limited, though the data that does exist is promising, and Maurer believes it is a major positive for the area.

This Saskatchewan initiative comes during a time where oil and gas has been under increased pressure on a public stage. The most recent example being when the City of Regina considered restricting energy sponsorship dollars at city facilities, an unpopular move that the municipal government immediately backed away from. It’s somewhat ironic that one of the most stable and cleanest sources of a compound that plays a crucial role in future energy strategies, may be found in the very oil patch those strategies are looking to replace.

It will be tough to argue with the environmentally friendly way Prairie Lithium and their partners will extract the lithium, compared to the mining process seen across most lithium producing nations. Success from this project could provide the oil and gas industry a chance to refine their public image, while giving parts of the west central region hope of becoming a top producer for the future commodity.