LibertyStream to Produce 500 Tonnes of Battery-Grade Lithium Annually

North Dakota lithium extraction moves forward under a new feedstock term sheet between LibertyStream and Goodnight Midstream LLC, targeting commercial battery-grade production from oilfield wastewater in the Bakken formation.

Under the agreement, Goodnight will source, transport, and manage the produced water while LibertyStream funds, designs, constructs, and operates direct lithium extraction and refining systems at Goodnight’s infrastructure. The partnership kicks off with Independence 1, designed as LibertyStream’s first commercial lithium carbonate facility in North Dakota.

The project follows successful testing at the company’s West Texas Midland Basin demonstration plant, where operators refined electric vehicle battery-grade lithium carbonate over multiple 24-hour production cycles across a three-month span.

Independence 1 aims to produce approximately 500 tonnes of battery-grade lithium annually, with operations targeted to begin in the third quarter of 2027. This output is intended to supply regional operations, including Fargo-based battery manufacturer Packet Digital.

Goodnight will receive a revenue share tied directly to lithium carbonate production and sales at each facility. Payments are calculated on realized sales proceeds and include a tiered structure that increases when lithium carbonate prices exceed specified benchmarks.

LibertyStream’s exclusive rights hinge on strict operational milestones. The company must commission an initial facility capable of processing approximately 23,000 barrels per day of produced water by December 31, 2027.

Financial backing for the initiative includes a partnership with Wellspring Hydro, providing access to $2.2 million in grant funding alongside $2.5 million in loans from the North Dakota Industrial Commission’s Clean Sustainable Energy Authority. State officials are also evaluating additional project financing options that could cover up to half of the facility costs for Independence 1 and subsequent sites.