Mapping Global Lithium Deposits: Where Lithium is Found and Why It Matters for Energy Future

Understanding where lithium is found across the globe has become critical for energy transition strategy. As electric vehicle adoption accelerates and battery storage demands surge, the geographic distribution of lithium reserves increasingly shapes global energy independence and supply chain resilience. While industry observers frequently focus on which nations rank as top lithium producers, a closer examination of proven reserves reveals where lithium is found in economically viable quantities—and which countries are positioned to dominate the battery metal supply for decades to come.

The world currently holds approximately 30 million metric tons of lithium reserves in measured deposits. However, reserve concentration is striking: just four nations collectively control over 60% of global supplies. This geographic imbalance presents both opportunities and vulnerabilities for companies and nations betting on the lithium-dependent economy.

According to recent market analysis from Benchmark Mineral Intelligence, the lithium market remains in robust growth mode. “Demand for lithium-ion batteries is projected to accelerate substantially in 2025, with EV and energy storage system-related demand both poised to increase by over 30 percent year-over-year,” noted Adam Megginson, senior analyst at the firm. This forecast underscores why identifying where lithium is found—and in what quantities—matters for long-term supply planning.

The Chilean Lithium Dominance: 9.3 Million Metric Tons Under Strategic Control

Chile remains the world’s largest lithium reserve holder at 9.3 million metric tons, with the majority concentrated in the Salar de Atacama region, which accounts for approximately one-third of global lithium reserve bases. Despite holding the premier position, Chile ranked second in 2024 production at 44,000 metric tons—a paradox rooted in legal and policy constraints rather than resource scarcity.

Two international producers—SQM and Albemarle—have long dominated Chilean lithium extraction. However, the political landscape shifted decisively in 2023 when Chilean President Gabriel Boric initiated partial industry nationalization. “This represents our best pathway toward sustainable and developed economic growth,” Boric stated, signaling intent to bolster state control through Codelco, Chile’s state-owned mining entity.

Codelco has since negotiated substantially enlarged stakes in both SQM and Albemarle’s lithium operations, establishing controlling interests across Atacama salt deposits. This restructuring reflects broader tensions: while Chile possesses unmatched reserves, regulatory frameworks and political intervention have constrained its competitive market share. Research from the Baker Institute suggests Chile’s mining concession structure has historically limited its global market penetration relative to its resource endowment.

The bidding landscape shifted again in early 2025 when Chile opened lithium operation contracts across six salt flats, attracting seven bids including a consortium pairing Eramet, Chilean miner Quiborax, and Codelco. Winners will be announced in March 2025, with extended bidding phases designed to encourage broader participation.

Australia’s Hard-Rock Advantage: 7 Million Metric Tons and Market Leadership

Australia holds the world’s second-largest lithium reserve base at 7 million metric tons, predominantly located in Western Australia. What distinguishes Australian reserves is their mineral composition: unlike the brine-based deposits prevalent in South America, Australian lithium occurs primarily in hard-rock spodumene formations, which require different extraction technologies and capital structures.

This geological difference has translated into operational advantage. Australia was the world’s largest lithium producer in 2024 despite holding fewer total reserves than Chile, underscoring how extraction method efficiency can outweigh sheer resource quantity. The country operates multiple active lithium mines, anchored by Greenbushes—the world’s longest continuously operating lithium source, producing since 1985. Greenbushes operates as a venture combining Talison Lithium alongside Tianqi Lithium and Albemarle, representing a successful multinational partnership model.

However, recent market headwinds have created operational challenges. Sharp lithium price declines prompted several Australian producers to curtail or suspend operations pending improved market conditions. Simultaneously, exploration opportunities are expanding geographically: while Western Australia traditionally dominated, emerging research highlights untapped potential in Queensland, New South Wales, and Victoria.

A 2023 study published in “Earth System Science Data,” conducted by University of Sydney researchers in collaboration with Geoscience Australia, mapped lithium-dense soil regions across the country. “We developed the first comprehensive lithium soil map identifying elevated concentration zones,” explained Professor Budiman Minasny. “The mapping validates existing mines while signaling potential future production regions.” This research suggests Australia’s long-term production capacity may extend far beyond current operational footprints.

Argentina’s Lithium Triangle Position: 4 Million Metric Tons and Expansion Trajectory

Argentina represents the third pillar of global lithium reserves, holding 4 million metric tons. Critically, Argentina, Bolivia, and Chile collectively constitute the “Lithium Triangle,” containing over half of planetary lithium reserves. Argentina itself ranked fourth globally in 2024 production at 18,000 metric tons.

Policy support has accelerated Argentine development. In May 2022, the Argentine government committed up to $4.2 billion in lithium sector investment over a three-year horizon, explicitly targeting production increases. By April 2024, this commitment materialized when authorities greenlit Argosy Minerals’ expansion at the Rincon salar deposit, raising planned annual lithium carbonate output from 2,000 to 12,000 metric tons.

Argentina currently hosts approximately 50 advanced lithium mining projects in various development stages. According to Fastmarkets analysis, “Argentine lithium production sustains cost competitiveness even during low-price market cycles,” noted Ignacio Celorrio, executive vice president of legal and governmental affairs at Lithium Argentina. This cost advantage positions Argentina as a resilient long-term supplier.

The most significant recent development occurred in late 2024 when global mining major Rio Tinto unveiled $2.5 billion in expansion capital for its Argentine Rincon operations. The investment targets capacity expansion from 3,000 to 60,000 metric tons annually, with full production commencing following a three-year ramp-up beginning in 2028. This project alone would substantially alter Argentina’s lithium market position.

China’s Strategic Reserve Build-Up: 3 Million Metric Tons Plus Rapid Expansion Claims

China officially maintains 3 million metric tons in proven lithium reserves, comprising a mixture of brine deposits, spodumene hard-rock, and lepidolite reserves. China produced 41,000 metric tons in 2024, representing a 5,300 metric ton year-over-year increase. Paradoxically, despite significant domestic production, China currently imports the majority of battery-grade lithium from Australian sources.

This import dependency reflects China’s outsized lithium consumption driven by electronics manufacturing and electric vehicle production dominance. China produces the majority of global lithium-ion batteries and operates most of the world’s lithium-processing infrastructure, creating a bottleneck where raw material demand exceeds domestic supply.

Geopolitical tensions emerged in October 2024 when US State Department officials accused China of flooding lithium markets with predatory pricing. Jose W. Fernandez, US Under Secretary of State for Economic Growth, Energy and the Environment, stated: “They engage in predatory pricing… lowering prices until competition disappears.” This accusation reflects Washington’s concern over Chinese market control strategies.

Claims of expanded Chinese reserves surfaced in early 2025. Chinese media reported that national lithium deposits now constitute 16.5 percent of global resources, up from previously stated 6 percent levels. This revision reflects recent discoveries including a 2,800-kilometer lithium belt spanning western regions, with proven reserves surpassing 6.5 million tons of lithium ore and potential resources exceeding 30 million tons. Concurrent advances in salt lake and mica lithium extraction have further boosted reserve estimates.

Secondary Lithium Reserve Holdings: Emerging Supply Diversification

Beyond the dominant quartet, additional nations maintain significant lithium reserves worthy of investor consideration:

United States — 1.8 million metric tons, primarily concentrated in Nevada’s Thacker Pass deposit and Nevada’s Clayton Valley region, representing emerging domestic supply alternatives.

Canada — 1.2 million metric tons, with Quebec establishing itself as a North American exploration hub.

Zimbabwe — 480,000 metric tons in pegmatite hard-rock deposits, attracting recent international mining interest.

Brazil — 390,000 metric tons, with emerging production initiatives.

Portugal — 60,000 metric tons in European deposits, making it the continent’s leading reserve holder and producing 380 metric tons during 2024.

As lithium-dependent industries mature, reserve-rich nations have increasingly transitioned toward active production. Geographic diversification of supply sources continues advancing, reducing singular-market dependencies while creating competitive dynamics among emerging producers.

Understanding Lithium Reserve Concentration and Future Implications

The fundamental reality remains clear: where lithium is found geographically shapes the battery metal supply chain architecture. The concentration of reserves across four nations creates both supply security concerns and investment opportunities. Countries hosting large proven reserves possess long-term production optionality, while geological discoveries in secondary regions promise future supply diversification.

The convergence of accelerating demand, policy interventions, geopolitical competition, and technological advances in extraction methodologies ensures that lithium reserve geography will remain central to energy transition strategy for the foreseeable future.