Iran has discovered a huge lithium deposit, estimated to be as high as 8.5 million tons of lithium, in the north of the country. If estimates of the volume of the deposit are confirmed, then it will become the second largest deposit in the world after Chile, which has 9.2 million tons of lithium.

Often referred to as “White gold”, lithium is a key material for batteries in electronic devices and electric vehicles. Its price has risen sharply in 2022 due to higher demand for electric vehicle equipment, a heart attack in the global supply chain, and high inflation internationally.

However, the market has recently seen a correction amid falling sales of electric vehicles and low business activity in China, which is also the largest market for the electric vehicle industry.

The release of such a large amount of lithium on the international market could further accelerate the downward trend in prices. However, at the same time, it also has the potential to stimulate the local economy, which, despite the high potential for oil and natural gas production, has been on its knees due to Western sanctions and the isolation of the country from the global financial system. system.

Source moneyreview.gr with information from CNBC