(Reuters) – Russia’s state-owned nuclear energy provider Rosatom and metals producer Nornickel plan to develop a lithium deposit within the northwestern Murmansk area, RIA information company reported on Monday, citing Rosatom.

World demand for lithium is rising worldwide because of its use in batteries for electrical automobiles. Amid that demand, Rosatom’s subsidiary entered a lithium undertaking in Argentina in late 2021.

Nonetheless, the chance of a lithium deficit has turn into an even bigger concern for Russia since its essential suppliers – Chile and Argentina – have stopped exports to Russia because of Western sanctions imposed on Moscow over what Russia phrases a “particular navy operation” in Ukraine.

Rosatom sees the Kolmozerskoye deposit as probably the most promising lithium deposit in Russia and desires to develop it along with Nornickel, the world’s largest producer of palladium and refined nickel, RIA quoted Kirill Komarov, Rosatom first deputy chief government, as saying.

“We count on that the federal government will determine this 12 months to place it up for public sale and we need to begin engaged on it,” Komarov stated.

Nornickel didn’t reply to a Reuters’ request for remark.

Russia has to depend on provides of uncooked materials, lithium carbonate, from Bolivia since different producers have stopped exports to Moscow, Russia’s commerce ministry stated earlier in April.

If Bolivia stops supplying the uncooked supplies, there can be nowhere to get them, making it difficult for Russia to provide its lithium-ion battery wants, the commerce ministry added.

Rosatom controls Russia’s uranium manufacturing. Its provide of the gas, used inside reactors, is vital for the U.S. nuclear energy trade.