Anahi Jorge, 23, works at a lithium extraction plant in Argentina‘s remote village of Susques, earning four times more than a local government worker. Despite her $1,700 monthly salary—a significant sum in economically troubled Argentina—she is concerned about the environmental impact on her community’s water resources.
“Lithium is both a blessing and a curse,” Jorge told AFP. “While it brings good income, the water issues it causes are harmful to us.”
Lithium is vital for electric car batteries and the global shift from fossil fuels, but its extraction consumes millions of liters of water daily, exacerbating water shortages in drought-prone regions like Jujuy province.
Susques, home to fewer than 4,000 residents, is near the Olaroz salt flat, which hosts two of Argentina’s four lithium production plants. Argentina, alongside Chile and Bolivia, forms the “lithium triangle,” which contains more than half of the world’s identified lithium resources, according to the US Geological Survey.
As Argentina’s fourth-largest lithium producer, the metal’s boom has brought economic benefits to the area. However, environmental concerns often take a backseat to immediate needs in a country where nearly half the population lives in poverty.
Jorge reflects on the opportunities the plant has provided, noting that before its arrival, young people like her had few options but to migrate to the provincial capital for low-paying domestic work.
Economic changes are visible in Susques, with new concrete and brick buildings emerging alongside traditional mud houses. The local economy has benefited from the lithium industry, though residents still face inadequate sewage and gas infrastructure. Some have used their earnings to start local businesses, such as transport services and small hotels.
According to town representative Benjamin Vazquez, 60 percent of Susques’ population is employed in lithium mining. However, the sector’s volatility poses risks. The price of lithium has plummeted from nearly $70,000 per ton in 2022 to just over $12,000 this year, causing widespread job insecurity.
Camila Cruz, a 19-year-old resident studying medicine online, warns of the fleeting nature of mining jobs. “Many young people think mining jobs are permanent, but once the boom is over, they might find themselves without opportunities if they haven’t pursued education,” she said.
Unlike Australia, where lithium is mined from rock, South America extracts it from salt flats. This process involves evaporating brine water and using additional fresh water to clean the extracted lithium. At Olaroz, between one and two million liters of brine water evaporate per ton of lithium, with an additional 140,000 liters of fresh water required, according to Argentina’s CEMA Chamber of Environmental Entrepreneurs.
Natividad Bautista Sarapura, a 59-year-old subsistence farmer from Susques, reports severe water shortages. “Finding water used to be easy, but now we have to dig deeper and deeper,” he said.
The UN’s 2024 World Water Development Report highlights the significant impact of lithium extraction on groundwater, local communities, and the environment. To address these issues, French mining group Eramet and China’s Tsingshan have recently launched a new plant in Argentina. This facility will use a less damaging “direct extraction method” and aims to produce up to 24,000 tons of battery-grade lithium carbonate annually, sufficient for 600,000 electric vehicle batteries.
