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The extraction of lithium from brine and the refining of nickel are two critical processes in the production of batteries for electric vehicles and energy storage systems. Both processes are highly water-intensive, raising concerns about resource sustainability, environmental impact, and potential conflicts over water access. In regions like Chile’s Atacama Desert, where lithium brine operations are concentrated, competition for scarce water resources has already led to tensions between mining companies, local communities, and agricultural users. Similarly, nickel refining, particularly in water-stressed areas, poses challenges due to its heavy reliance on freshwater for leaching and processing. This article examines the water demands of these processes, explores emerging conservation technologies, and analyzes the risks of water-related conflicts.

Lithium brine extraction involves pumping saline groundwater from underground reservoirs into large evaporation ponds. The brine is left to evaporate over months, concentrating lithium and other minerals before further chemical processing. This method is favored for its low operational costs but requires vast amounts of water—approximately 500,000 gallons per ton of lithium produced. In arid regions like the Atacama, this poses significant ecological risks, as the brine extraction can reduce freshwater availability for ecosystems and human use. The Salar de Atacama, one of the driest places on Earth, has seen declining water tables and shrinking wetlands due to intensive lithium mining. Indigenous communities reliant on these water sources have raised concerns over long-term sustainability, leading to legal disputes and calls for stricter regulations.

Nickel refining, particularly for laterite ores, is another water-intensive process. High-pressure acid leaching (HPAL), a common method for extracting nickel from laterites, consumes large volumes of water for slurry preparation, acid dilution, and waste management. Estimates suggest that refining one ton of nickel can require up to 200 tons of water, depending on the ore grade and processing method. In regions like Indonesia and the Philippines, where nickel production is expanding rapidly, competition for water between refineries, agriculture, and households has sparked conflicts. Poor water management practices, including contamination from acidic runoff, further exacerbate tensions.

To mitigate these challenges, several water conservation technologies are being developed and deployed. In lithium extraction, direct lithium extraction (DLE) technologies are gaining attention as a more sustainable alternative to evaporation ponds. DLE methods, such as adsorption, ion exchange, and solvent extraction, selectively remove lithium from brine without extensive evaporation, reducing water loss by up to 50%. Some systems also enable brine reinjection, minimizing aquifer depletion. While DLE is still in early stages of commercialization, pilot projects in Chile and Argentina show promise for scaling up.

Nickel refiners are adopting closed-loop water systems and advanced filtration to reduce freshwater intake. Techniques like reverse osmosis and electrocoagulation allow for the reuse of process water, cutting overall consumption by 30-40%. In Indonesia, some HPAL plants have implemented zero-liquid-discharge systems, treating and recycling all wastewater. These measures not only conserve water but also reduce the risk of pollution. Additionally, dry stacking of tailings—a method that minimizes water use in waste disposal—is being adopted to further decrease the environmental footprint.

Despite these advancements, water-related conflicts remain a significant risk. In Chile, lithium mining companies face increasing scrutiny from regulators and communities demanding stricter water-use monitoring. The Chilean government has introduced quotas on brine extraction and mandated environmental impact assessments, but enforcement remains inconsistent. In Indonesia, rapid nickel industry growth has outpaced water governance, leading to disputes over resource allocation. Weak regulatory frameworks and lack of community engagement often escalate tensions, highlighting the need for better stakeholder collaboration.

The geopolitical dimension of water scarcity adds another layer of complexity. Countries rich in lithium and nickel resources are under pressure to balance economic growth with environmental and social responsibility. In South America, lithium-producing nations are exploring regional water management agreements to prevent cross-border disputes. In Southeast Asia, governments are tightening permitting requirements for nickel refineries to ensure sustainable water use. However, without coordinated policies and transparent reporting, conflicts are likely to persist.

Looking ahead, the battery industry must prioritize water stewardship to ensure long-term viability. Investments in R&D for low-water extraction and refining methods will be critical, as will partnerships with local communities to address shared water challenges. Policymakers must strengthen regulations and enforcement to prevent overexploitation, while companies should adopt best practices in water recycling and efficiency. The transition to clean energy depends on sustainable resource management—failure to address water risks could undermine the very goals that battery technology seeks to achieve.

The intersection of water scarcity, industrial demand, and environmental justice presents a complex challenge for the lithium and nickel supply chains. While technological innovations offer pathways to reduce water use, their success hinges on systemic changes in governance, corporate accountability, and community engagement. Without proactive measures, water-intensive processes could become a bottleneck in the global shift toward electrification, with far-reaching consequences for both industry and ecosystems.
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