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Brazilian white gold deposits targeted by Elon Musk's billion-dollar investments and promising to transform Brazil into the richest country in America

Written by Flavia Marinho
Published 02/02/2025 ร s 09:18
investment - lithium - white gold - deposits - mining - ore - elon musk - brazil - electric cars - batteries
Billionaire Elon Musk's strategic investment in Brazil aims to exploit lithium reserves to boost Tesla's electric car production and transform Brazil into the richest country in the Americas

Billionaire Elon Musk's strategic investment in Brazil aims to exploit lithium reserves to boost Tesla's electric car production and transform Brazil into the richest country in the Americas

Elon Musk has been showing increasing interest in Brazil in recent years. After visiting the country to launch the Starlin internetk, the tycoon's investment focus is now on lithium, a mineral essential for electric vehicle batteries. Known as the "new oil of the 21st century," lithium attracts global companies, including Tesla, which Musk aims to expand using Brazil's vast reserves.

This investment in Brazil, with large lithium reserves, mainly in Minas Gerais, represents a strategic opportunity for mining, capable of benefiting from the growing global demand for the mineral and the need for more sustainable production.

The country has around 1,2 million tonnes of lithium, making it one of the worldโ€™s largest holders of the resource. Rising demand for rechargeable batteries is boosting export prospects. Global demand for lithium is expected to quadruple by 2035, reaching 4 million tonnes, driven by growth in electric car sales.

Lithium in Brazil: sustainability and attracting billion-dollar investments from Elon Musk, currently dominated by large producers such as Australia, Chile and China

Currently, the lithium market is dominated by large producers such as Australia, Chile and China. Brazil, however, has an important difference: a more sustainable extraction method. While the Lithium Triangle (Bolivia, Argentina and Chile) uses techniques that affect local ecosystems, Brazil adopts a cleaner model.

Lithium is extracted from rocks through drilling, without the use of harsh chemicals or evaporation processes that release carbon. This โ€œgreen lithiumโ€ has attracted companies such as BYD and Sigma Lithium, as well as Elon Musk, who sees the value in environmentally friendly methods for producing his electric vehicles.

'White gold': the secret to producing electric car batteries

The sustainability of Brazilian extraction attracts automakers seeking to minimize their environmental impact. The country's environmental commitment positions it as a potential hub for sustainable innovation, with the potential to become a production center for batteries and electric vehicles, especially with projects such as that of Bravo Motor Company, which plans to install an industrial complex in Nova Lima, Minas Gerais.

Elon Musk and billion-dollar investments in strategic reserves

In addition to its large reserves, Brazil has the potential to lead the electric vehicle economy. With the Chinese company BYD investing R$5,5 billion to set up a factory in the country, Brazil is already attracting giants in the sector. Sigma Lithium, which owns the largest lithium reserve in Brazil, has also been targeted by investors. Musk tried to acquire this mining company, and although the negotiations did not move forward, he remains on the lookout for new opportunities.

Tesla already has an agreement with Vale to supply nickel, which is essential for electric car batteries. With the growing attention on sustainable Brazilian lithium, there is a chance that Musk will open a Tesla factory in Brazil, which would create thousands of jobs and strengthen the economy, consolidating the country as a sustainable hub for electric vehicles in Latin America.

Sustainable lithium mining in Brazil and the future of batteries and electric vehicles

Despite the potential, the race for lithium in Brazil presents challenges. Although local mining is more sustainable than in other countries, there are still environmental impacts to consider. There are also socioeconomic challenges, requiring planning so that the country can seize this opportunity without repeating past mistakes.

With demand for lithium projected to grow through 2040, Brazil has a historic opportunity to become a global leader in the electric vehicle market. Maintaining a focus on sustainable investments and practices could position the country among the largest manufacturers of batteries and electric vehicles, strengthening the economy and paving the way for a sustainable energy future.

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Marcio
Marcio
02/02/2025 11:05

But will he install a factory to process the metal or will he do as others do, just explore minerals and process them outside, generating jobs and wealth.

Paulo
Paulo
02/02/2025 11:05

We must keep our distance from this DEMON ELON MUSK, he will NOT be satisfied with PAYING the FAIR PRICE, it will be more PROFITABLE for him to FINANCE a COUP and have these MINERALS at BANANA PRICES, like in the COUP in 2016 in which the USA took over the most PROMISING WELLS of the PRE-SALT, a TRILLION MP that EXEMPTS US OIL COMPANIES from TAXES.

Benedito
Benedito
02/02/2025 11:45

He won't come, the Chinese will be the ones investing.

Flavia Marinho

Flavia Marinho is a postgraduate engineer with extensive experience in the onshore and offshore shipbuilding industry. In recent years, she has dedicated herself to writing articles for news websites in the areas of military, security, industry, oil and gas, energy, shipbuilding, geopolitics, jobs and courses. Contact flaviacamil@gmail.com for suggestions, job openings or advertising on our website. Do not send your resume, we are not hiring!

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