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Chevron (NYSE: CVX), a leading U.S. oil and gas producer, is expanding into lithium production by leasing approximately 125,000 net acres across northeast Texas and Arkansas. The move marks a significant step in the company’s energy transition strategy, as it looks to develop lithium resources using direct lithium extraction (DLE) technology.
This strategic shift follows a similar move by ExxonMobil, which entered Arkansas’ Smackover brine formation in 2023 to tap into domestic lithium reserves. Both companies are leveraging their expertise in subsurface resource development to position themselves in the fast-growing battery materials market.
As demand for electric vehicles (EVs) and renewable energy storage surges, lithium has become a critical mineral for the clean energy economy. Chevron’s entry underscores the growing interest of traditional energy players in diversifying into critical minerals to support global electrification.
