Utah Direct Lithium Extraction Project Advances With Posco-Anson Partnership

Anson Resources

Utah direct lithium extraction development is moving forward after Posco and Anson Resources agreed to build a demonstration plant at the Green River Lithium project in the Paradox Basin.

Utah direct lithium extraction will use Anson’s brine resources, while Posco will lead the design, construction and operation of the demonstration facility. Posco will also pay Anson a $5.2mn facilitation fee under the agreement.

Utah direct lithium extraction is strategically important because the project targets domestic battery-grade lithium production without relying on conventional evaporation ponds. Operations at the demonstration facility are scheduled to begin in 2027, with completion expected in 2028.

The wider Green River project is designed to produce 10,000 t/yr of lithium carbonate and has already secured major permits, financing interest and an anchor customer.

DLE Demonstration Will Test Commercial Processing Route

The demonstration plant will determine whether Posco’s DLE technology can recover lithium from Green River brines efficiently and consistently enough for commercial-scale production.

Direct lithium extraction is attracting growing interest because it can potentially reduce land use and shorten processing times compared with traditional brine evaporation.

However, commercial performance depends heavily on brine chemistry, recovery rates, reagent consumption and water management. Demonstration-scale operation is therefore a critical step before committing to full production.

Posco’s involvement adds technical and industrial expertise to the project. The Korean group has been expanding across battery materials and lithium supply chains, giving the Green River project a stronger downstream connection.

If the demonstration performs as expected, Anson would have a clearer route toward financing and construction of the 10,000 t/yr commercial operation.

Financing and Offtake Strengthen Green River Economics

Green River has already secured several important elements needed for project development.

The US Export-Import Bank has issued a $330mn letter of interest, providing a potential source of debt financing for the project.

Anson also has a binding offtake agreement with LG Energy Solution covering 40% of expected production. That provides long-term demand visibility and directly connects future Utah lithium output with battery manufacturing.

Estimated capital expenditure stands at $495mn, while projected operating costs are $4.37/kg of lithium carbonate equivalent.

Those economics could make Green River competitive if the DLE process reaches targeted recoveries and operating performance.

The combination of Posco technology, US financing support and LG Energy Solution offtake also illustrates how lithium projects are increasingly being developed through integrated partnerships rather than mining companies acting alone.

The Metalnomist Commentary

Green River is becoming a test of whether DLE can move from promising technology to bankable US lithium production. Posco’s involvement reduces technical risk, while Ex-Im financing and LG Energy Solution offtake strengthen the project’s commercial foundation.