Water Crisis Threatens Global Lithium Supply Amid Soaring Demand

By Abbas Nazil
Freshwater shortages in the Andean Plateau’s Lithium Triangle—spanning Argentina, Bolivia, and Chile—are placing the world’s largest lithium reserves under threat, according to new research.
A study published in Communications Earth and Environment reveals that freshwater available for lithium extraction in the region is about ten times lower than previously estimated, challenging the industry’s ability to meet rising global demand.
With lithium demand expected to grow 40-fold by 2040, the pressure on this already water-scarce region continues to intensify.
The mineral is critical for battery production, powering electric vehicles and renewable energy storage solutions.
However, lithium mining is a water-intensive process, requiring up to 500,000 gallons of water to extract just one ton of lithium.
The study’s authors urge companies to adopt more water-efficient methods to sustain mining operations while minimizing environmental and social impacts.
In the Lithium Triangle, freshwater not only supports the mining sector but is also vital for Indigenous agricultural communities and fragile ecosystems.
Wetlands in the region sustain rare species, including short-tailed chinchillas, wild camelids, and endemic pink flamingos. As freshwater levels decline, these habitats face severe ecological consequences.
David Boutt, a geosciences professor at the University of Massachusetts-Amherst and one of the study’s authors, highlighted the sensitivity of these water systems to environmental changes.
He remains hopeful that technological advancements will drive the lithium industry toward more sustainable water use.
Despite these concerns, lithium remains at the heart of the global shift toward clean energy, with battery demand projected to quadruple by 2030.
However, industry experts warn that supply shortages and regulatory delays could slow down mining operations.
Michael McKibben, a geology professor at the University of California, Riverside, emphasized the slow pace of mineral extraction, which contributes to lithium price volatility as demand rises faster than supply.
Freshwater plays a crucial role in lithium formation. Rainwater dissolves lithium from rock formations and carries it into deep Andean basins, where the mineral accumulates in brackish lagoons over millions of years.
Mining companies extract this lithium-rich fluid and concentrate it through evaporation, a process that heavily relies on local aquifers.
However, with annual rainfall as low as 20 millimeters in some parts of the Lithium Triangle, these aquifers struggle to replenish.
Boutt and his team developed a model analyzing 28 watersheds across the Lithium Triangle, incorporating national meteorological data and mining industry reports.
Their findings suggest that previous hydrological models have overestimated the region’s freshwater availability due to limited weather station data.
The issue extends beyond South America. In the United States, the nation’s sole lithium mine in Silver Peak, Nevada, has drawn criticism for its excessive freshwater use in a drought-prone area.
Experts, including Vanessa Schenker from ETH Zurich, stress the need for further research on the hydrology of lithium-rich regions worldwide.
She also calls for a broader examination of lithium’s environmental footprint, including chemical processing and transportation.
As global electrification accelerates, balancing lithium production with water conservation remains a growing challenge.