Bolivia, Japan sign agreement on lithium research

Bolivia, Japan sign agreement on lithium research
(AFP) – 1 day ago

LA PAZ — Bolivia and Japan signed an agreement to help the Andean nation conduct research that will lead to the industrialization of its lithium wealth, the Bolivian firm said Wednesday.

The state-run Japan Oil, Gas and Metals National Corporation (JOGMEC) signed memorandum of understanding to work with the state-run Bolivian Mining Corporation (COMIBOL), the Bolivian company told AFP.

JOGMEC will coordinate the research with the Mitsubishi and Sumitomo Corporations, the University of Kita-kiusyu, the National Institute of Science and Advanced Industrial Technology, and the University of Kyoto "to continue the development of the research into the brine located in the Uyuni salt flats."

Lithium is widely used in rechargeable batteries for laptops, mobile phones and electric cars -- and an estimated 70 percent of the world's known lithium reserves are in Bolivia.

http://www.google.com/hostednews/afp/article/ALeqM5iGNC3xe_M7rro3cnjV4xaB8-fsUA?docId=CNG.343e541c0c6b010ffdd4b15c71b3040d.961

Notice the little detail? The powers behind the agreement are the Mitsubishi and Sumitomo keiretsu, giant multinationals which extend their tentacles all over Japanese society. The naive belief by some "socialists" that signing agreements with national entities will somehow shelter them from multinational predators is a dream, and they had better wake up from the dream in a hurry.

The Bolivians need to organize their own internal means to appraise the lithium potential, even if they have to hire foreign consultants to do it. But those consultants have to be independent of multinational influence. Once the Bolivians know what they have, and the true potential, they can have the multinationals compete for licenses to produce lithium. The competition can use sophisticated bid round methodology to make sure the "winners" leave as much money on the table as possible, via bonuses, royalties, and commitments to make batteries in Bolivia rather than export the raw material.

But of course, this simple method is not exactly what the Bolivians are using. They are following the wrong path - which lends itself to corruption, lack of transparency, and in the end will shaft the Bolivian people. It's deja vu all over again.

Japan to give know-how to Bolivia lithium project

TOKYO Nov 10 (Reuters) - A state-backed Japanese firm has agreed with the Bolivian Mining Corp (COMIBOL) to develop technology to produce lithium carbonate, it said on Wednesday.

"We signed a memorandum of understanding with Bolivia in which Japan will provide technology to Bolivia's pilot programme to help produce lithium carbonate," an official of Japan Oil, Gas and Metals National Corp (JOGMEC) said.

The technology is for research and development of Bolivia's lithium industry rather than commercialisation, but JOGMEC hopes the agreement will help Tokyo secure future business opportunities in the lithium industry in Bolivia, the official said.

Bolivian President Evo Morales has said his country does not need foreign investors to develop an ambitious lithium carbonate project by 2014.

Bolivia plans to build a plant to produce up to 30,000 tonnes a year of lithium carbonate from the Uyuni salt lake, which holds the world's largest reserves of lithium.

http://af.reuters.com/article/metalsNews/idAFTOE6A905T20101110
(my emphasis)

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Anybody else notice how rightwing opinions on Latin American leftist governments here at DU (and elsewhere) completely ignore the facts, never respond to facts when facts are cited, rarely or never cite references and present rightwing/corpo-fascist ideological premises AS fact?

It would be hilarious if it were not such stupid-making disinformation. Evo Morales' government in Bolivia, Hugo Chavez's government in Venezuela, Lula da Silva's government in Brazil and other leftist governments in Latin America are creating their own "level playing field" by asserting the sovereignty of their countries over their natural resources and by engaging in tough bargaining with both foreign state-owned and private corporations, pitting one corporation against another for the privilege of helping the country develop its resources. This is how it should be. In this way, Venezuela achieved 50% control of its oil resource and reversed the rightwing giveaway of the oil profits (10% to Venezuela's social programs, 90% to the fat cat corporates vs. a 60/40 profit split favoring Venezuela, under Chavez); Brazil followed suit and demanded similar terms for its new big oil find; and Bolivia did the same with its gas resource (DOUBLING gas profits for Bolivia and its social programs, from one billion to TWO billion dollars/year). After Exxon Mobil walked out of the talks, Venezuela got at least eight companies, from as many countries, to develop its huge Orinoco Belt oil reserves and is still attracting more investors. Bolivia is following the same strategy with its lithium--making the R&D competitive and retaining control. And Morales' stated intention is for Bolivia to develop the resource itself.

These leftists are STRONG BARGAINERS on behalf of their people. And look what Evo Morales just pulled off! State and private multinationals have been intensely courting Bolivia for several years to get a foot in the door for Bolivia's fabulous lithium resource. And what does he do? He gets a state-run company (Japan's) to put up the money for R&D on the HOPE that their corporations can MAYBE help develop the resource and profit from it. He gives nothing away. He gets development money. Then onto more rounds of being courted, multilateral bidding, hard bargaining and great benefit to the Bolivian people.

Multilateral bidding, bargaining and courting are the keys to this new Latin American power in the world. THEY are creating a competitive market, whereas multinationals like Exxon Mobil want all the power and all the resources for themselves, backed up by the U.S. military. Exxon Mobil & brethren are monopolistic bullies. They have been put in their place. And boy are they mad about it. Thus all the savaging of Latin America's leftist governments in the corpo-fascist press (and by RW-ers here at DU).

"social_critic" makes the weird argument that Bolivia--after considering all offers for several years now--should NOT let Japan get a foot in the door (even the little bit that Morales lets them in--merely R&D, no deal for Mitsubishi, et al) because Mitsubishi, et al, are big players in Japan. What developed country--with the technical expertise and funds to assess a resource-- does NOT have big corporate players in the background, hoping to benefit? It would take decades for Bolivia to "organize their own internal means to appraise the lithium potential," because Bolivia is a third world country, where the rich white minority has viciously suppressed the education and advancement of the Indigenous majority for more than a hundred years, and where crushing World Bank/IMF policies and other "first world" oppression have retarded economic development. These have been the policies of the U.S. multinational corporate/war profiteer rulers--to impoverish and oppress the majority and bleed "third world" countries dry.

The Morales government, utilizing the new Bolivarian principles (of which Venezuela and the Chavez government have been the pioneers)--sovereignty and toughness--takes its time, on the lithium, evaluates all comers--including, we can be sure, "foreign consultants" (as social_critic recommends) (meaning, um, Bechtel?)--and ultimately chooses Japanese R&D, strictly on Bolivia's terms. Japan can help. It cannot control. It gets no deal, as yet.

Smart move. Smart bargaining. But "social_critic" predicts "corruption, lack of transparency and shafting of the Bolivian people." In truth, the Bolivian people have never had it so good--never in their history--than with the LEFTIST government of Evo Morales. ALL development holds the potential for "corruption, lack of transparency and shafting" of the people. Will that happen in Bolivia, because Japan's state company gets a very LIMITED opportunity to assess the lithium resource? Only if the rightwing somehow overthrows the very popular and rigorously open, transparent, pro-people, pro-democracy, pro-equality, anti-corruption Morales government!

But, hey, leftists are always wrong. Leftists are always naive. Leftists always fail. Hear the echoes?

Morales has DOUBLED the gas revenues, and committed the money to education, to pensions for the elderly poor (who had absolutely nothing with rightwing/"free trade" governments), universal free medical care, small business development and other bootstrapping of the poor. But Morales doesn't know what he's doing? Morales is "following the wrong path"? These are mere RW assertions, with no facts behind them. The RW ideological requirement is to dis leftist leaders, no matter what they achieve. That is the "meme."

The INDEPENDENCE of these new leftist governments sticks in rightwingers' craws. And it most especially sticks in the craws of U.S. multinational corporations and war profiteers. Morales threw the corrupt, murderous, failed U.S. "war on drugs" out of the country. The people of Bolivia, with Morales' help as one of the leaders of those protests, threw Becthel out of their country. Now they are making THEIR OWN decisions about who gets to operate in Bolivia, without dictation from the U.S. 'Poor naive babies! Oh, they might get corrupt! Oh, dear!'

:rofl: