The Perfect Marriage Between Oil & Gas and Renewables
Discover how the perfect marriage between oil & gas and renewable energy can accelerate decarbonization, secure critical mineral supply chains, and unlock a more resilient, sustainable future.
Introduction – Rethinking the Energy Debate
The energy world is often framed as a battleground: oil and gas vs. renewables.
One part is legacy; the other is future.
But that narrative no longer fits the moment we are in.
Global energy demand is rising — up 12.5% by 2050 — and climate goals are more urgent than ever. Despite decades of pledges and progress, greenhouse gas emissions hit a record 53.0 gigatonnes in 2023, and 73.7% came from fossil fuel combustion.
The energy system is under pressure from all sides.
Meanwhile, oil and gas still supply more than half of the world’s primary energy, even as wind, solar, and EV adoption accelerates. And as electrification surges, securing the supply chain for critical minerals — like lithium — becomes just as important as expanding clean energy itself.
This is not a story of replacement. It is a story of reinvention — and smarter integration.
Because the fastest way to reduce emissions is not to dismantle the old system. It is to reimagine how it fits into the new one.
- Switching from gas-powered vehicles to EVs tackles the single largest source of CO₂ emissions.
- Adding more renewables helps meet growing energy demand — affordably and sustainably.
- Extracting lithium from oil & gas wastewater transforms a liability into a clean-energy asset.
- And embracing a diversified energy mix gives us the flexibility and resilience the world needs.
A future shaped by the perfect marriage between oil & gas and renewables.
Featured Talk: CERAWeek 2025
Want the executive perspective behind this blog?
Watch Sune Mathiesen, CEO of Lithium Harvest, present “Securing the Supply Chain of Critical Minerals for the Energy Expansion” live at CERAWeek 2025 — where industry leaders gathered to discuss the future of energy.
Explore the full story of energy integration and lithium innovation below.
The Environmental Challenge
Despite years of climate pledges and progress in clean energy, emissions are still heading in the wrong direction.
In 2023, global greenhouse gas emissions reached a new peak: 53.0 gigatonnes of CO₂ equivalent. And the main driver remains unchanged — 73.7% of those emissions came from fossil fuel combustion.
Two sectors dominate this challenge:
- Transportation is the single largest emitter of CO₂
- Electric power generation is the second-largest
If we can address just these two sectors — through electrification and clean energy — we can significantly cut global emissions in the coming decade.
And the science is clear: Electrifying transportation and scaling renewable energy are the fastest and most effective levers to make that happen. Switching from combustion engines to electric vehicles directly targets the largest source of CO₂. And expanding solar and wind reduces dependence on carbon-intensive power generation — but scaling energy storage is essential to make that clean power reliable around the clock.
But this transition does not come without demands.
A cleaner energy future hinges on battery minerals — and how we source them matters. Mining lithium, nickel, and other critical materials using traditional methods is energy- and water-intensive. And in some parts of the world, it comes with serious environmental and social costs.
If we are serious about decarbonization, we need to scale electrification responsibly — with battery materials as clean as the technologies they power.
At the same time, energy demand is still rising. Electricity use grew 4.3% in 2024 — faster than GDP. Renewables are expanding but often adding to the energy mix rather than replacing fossil sources.
This is not just an emissions problem. It is a systems challenge that calls for more than switching fuels. It calls for rethinking how we source, power, and connect the energy expansion.
Global emissions are rising. A cleaner energy future demands smarter solutions — starting with sustainably mined critical minerals.
The Road to Net Zero Starts with the Vehicle
EVs are not better for the environment — or are they?
Fossil fuel combustion remains the dominant driver of global CO₂ emissions — and transportation is one of the fastest-growing and most visible contributors. And what is the most effective way to address this? Electrify the vehicle fleet.
Battery electric vehicles (BEVs) emit 45–65% less CO₂ over their lifetime than combustion-engine cars — even after factoring in manufacturing and electricity use. On average, a single EV can save up to 50 tonnes of CO₂, and it typically reaches emissions breakeven after just 11,000 miles (18,000 km).
At scale, the impact is massive: EV adoption is expected to avoid 2.6 gigatonnes of CO₂ by 2035 — equivalent to the annual emissions of the entire European Union.
But here is the catch: every EV depends on a battery. And every battery depends on critical minerals like lithium — minerals that must be mined, refined, and transported before a single clean mile is driven.
If we are serious about electrifying transport at scale, we need to ensure that what goes into the battery is as clean as what comes out.
Sustainable mining of battery materials is key to further reducing EV lifetime emissions.
How We Make EVs Even Cleaner
Electrifying transportation is essential — but EVs are only as sustainable as their supply chain.
Most of the emissions tied to electric vehicles come from battery production, especially the sourcing and refining of critical minerals like lithium. Traditional mining methods — including open-pit extraction and evaporation ponds — are resource-intensive, slow to scale, and environmentally damaging.
That is why making EVs truly green means going beyond the vehicle itself.
At Lithium Harvest, we have developed a sustainable alternative that transforms how battery materials are sourced — and how clean an EV really is.
Our carbon-neutral extraction technology significantly lowers emissions from car manufacturing:
- Up to 47% lower CO₂ emissions from battery-grade lithium production
- No open-pit mining or destructive evaporation ponds
- Efficient extraction from oilfield wastewater and geothermal brines
- 3x faster EV breakeven — batteries using our lithium reach breakeven in just
- 3,500 miles, compared to 11,000 miles with conventional sources
The World Is Facing a Lithium Shortage
The global green energy expansion has triggered a surge in lithium demand — and the world is struggling to keep up.
As countries race to decarbonize and electrify, lithium demand is projected to grow 3.5x between 2023-2030 and 6.5x by 2034. This surge is driven by the rapid adoption of EVs and the expansion of battery storage — but it is also accelerating pressure on the supply chain.
The outlook is sobering:
- A critical lithium shortage is expected by 2029 — or even sooner.
- Market volatility and long permitting timelines are already delaying new supply projects.
- By 2030, the base case supply gap could be nearly 4x current production levels.
- In the long term, 55–65% of the forecasted lithium supply is at risk between 2030 and 2040, and without new projects or advanced recycling, that gap could nearly double by 2040.
The clock is ticking.
To secure the energy expansion, we need faster, cleaner, and more resilient ways to bring lithium to market.
Why Traditional Lithium Mining Cannot Meet the Moment
Most of today’s lithium still comes from open-pit mines or evaporation ponds — methods that are water-intensive, slow to scale, and often environmentally damaging. Projects can take 5–15 years to become operational, and many face community opposition or regulatory delays.
To meet exploding global demand without deepening environmental and social costs, the world needs better solutions — ones that are:
- Faster to deploy
- Scalable in new locations
- Environmentally responsible
- Less exposed to global price volatility and permitting risks
New approaches like Direct Lithium Extraction (DLE) — particularly from produced water and geothermal brines — offer a way forward. They unlock new supply sources while significantly lowering environmental impact.
Lithium Demand Drivers – EVs & BESSs Fueling the Future
So, what is behind the surge?
As the world races to decarbonize, lithium is becoming one of the most critical building blocks of the clean energy economy.
The rise of electric vehicles and battery energy storage systems (BESSs) is driving unprecedented demand — and it’s only accelerating.
EVs: Driving Demand
- 87% of lithium demand by 2030 will come from electric vehicles
- The global EV fleet is expected to grow more than 8.5x by 2035, reaching over 500 million vehicles
- EV battery production alone will require millions of tonnes of lithium carbonate equivalent (LCE) annually
BESSs: Powering the Grid — and Beyond
- Grid-scale battery storage demand is projected to rise 280% by 2030 (+450 GWh)
- BESSs are essential for stabilizing power grids as intermittent renewables like solar and wind grow
- By the end of the decade, 13% of lithium demand will come from energy storage systems alone
However, the role of BESS is expanding far beyond grid-scale stabilization.
As we move toward a more decentralized energy future, lithium-ion battery systems are being installed in homes, factories, commercial buildings, and local microgrids — bringing clean, flexible power closer to where it is needed. In a world that demands both resilience and decarbonization, BESS will be foundational.
Learn more about how lithium is powering the renewable energy revolution
This is no temporary spike — it is a structural shift. Unlike fossil fuels, lithium is not burned. It is built into long-lived energy assets, whose value compounds over time.
That is why securing a reliable and sustainable lithium supply is more critical than ever.
EVs continue to drive lithium demand — and the acceleration of intermittent renewable energy resources is only increasing it further.
The Diversified Energy Future: Addition, Not Transition
A perfect marriage between old energy and new energy.
Renewables are booming - Global capacity is expected to grow +209% by 2050. Electrification is accelerating. Wind and solar are breaking records. Battery storage is scaling faster than ever. But this is not a replacement story — it is a reinforcement story.
Global energy demand is set to rise 12.5% by 2050, and renewables — while essential — cannot shoulder the entire load alone, especially not on the timeline the climate crisis demands. Even under the most ambitious climate scenarios, oil demand is projected to keep rising through 2030 and will remain a part of the energy mix for decades.
Why? Not because oil is growing as a share of energy supply — but because oil is used for far more than fuel. From plastics and chemicals to industrial products and construction materials, oil remains embedded in the modern economy far beyond combustion.
Electric vehicles are expected to only displace 6 million barrels of oil daily by then — but that still amounts to just 5% of total global oil demand. This is not a story of substitution.
This is not a story of substitution. It is a story of addition — and transformation.
Here is why that matters:
- Targeting electrification barely dents the oil & gas industry — but it delivers massive CO₂ savings.
- Transportation is the world’s largest source of CO₂ emissions — and EVs directly address that.
- The oil & gas industry holds underutilized resources — like lithium-rich wastewater — an overlooked feedstock that can become a cornerstone of clean battery production.
- Lithium recovered from oilfield wastewater helps scale BESS, supporting grid stability and ensuring renewables deliver consistent, reliable power.
This is energy integration in action. Repurposing oilfield infrastructure to solve renewable challenges.
This is energy integration in action.
Electrification does not have to hurt oil & gas — it can empower it. By turning what was once discarded into something essential, we are not just reducing emissions but transforming the system.
Because the future of energy is not divided, it is diversified, integrated, and built on innovative collaboration.
The future of energy is not about choosing between oil and renewables — it is about integrating them into a balanced, more sustainable energy mix.
By extracting lithium from oilfields, we transform today's infrastructure into tomorrow's solutions — accelerating a more sustainable future.
Rethinking Critical Minerals Supply
Why look overseas when the solution is right below our feet?
As EVs, battery storage, and renewable technologies scale, the demand for critical minerals — especially lithium — is exploding. But today’s supply chain is not keeping up.
Most lithium still comes from hard rock mines and evaporation ponds, often far from manufacturing centers. These methods are carbon-intensive, water-heavy, and take years to develop. Processing and refining are concentrated in just a few countries — increasing costs, creating geopolitical risks, and exposing the entire transition to delays.
Meanwhile, governments and companies continue searching for minerals in remote areas with poor infrastructure — adding complexity, instability, and environmental impact.
And here is the irony: while the world looks abroad, a scalable, domestic solution already exists — hidden in plain sight.
Produced water, a byproduct of oil and gas operations, is generated at a rate of 4–5 barrels for every barrel of oil. Globally, this adds up to over 250 million barrels per day. What was once a costly waste stream is now an opportunity — a consistent, high-potential feedstock for battery-grade lithium, ready to be unlocked with the right technology.
It is time to shift our thinking. The future does not need to be built on new footprints — It can be built on the ones we already have.
Why rely on distant and high-cost sources when the solution is right below our feet?
Securing the Supply Chain of Critical Minerals for the Energy Expansion
If the world is serious about scaling clean energy, it must be serious about securing the materials that power it. We cannot expand clean energy without rethinking how we source what powers it.
From electric vehicles to grid-scale batteries, lithium is no longer optional — it is foundational. But the way we extract and supply it must evolve.
That is where Lithium Harvest comes in. We do it a little bit differently.
We have developed a sustainable, scalable technology that turns oilfield wastewater into high-purity, battery-grade lithium — unlocking a new domestic resource without new environmental compromise.
This is not just about supply. It is about synergy.
Lithium Harvest is the perfect marriage between oil & gas and renewables:
- Leveraging existing infrastructure to power the energy future
- Sourcing critical minerals locally, quickly, and sustainably
- Delivering a model that is both commercially viable and climate-positive
It is not a transition. It is a transformation. From waste to value. From old systems to smarter ones. From fossil-only thinking to integrated, forward-looking energy strategies.
Green Energy Transition
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