The Energy Law Blog has previously identified various legal uncertainties regarding direct lithium extraction from brine. We are now seeing the Louisiana legislature address some of these uncertainties head on with Senate Bill 285, which was filed on March 1, 2024 by Louisiana Senator Stewart Cathey, Jr. Namely, SB285 would grant authority to the Office of Conservation to establish units for brine production. Furthermore, the proposed legislation would revise the Mineral Code to expressly include brine among the substances to which the Mineral Code applies. While some uncertainties will undoubtedly remain – particularly relating to existing mineral leases that predate any new legislation – SB285 represents a meaningful first step towards making Louisiana a significant destination for direct lithium extraction.
You can read the full text of SB285 here.
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