The bill aims to amend existing laws concerning natural resources by conducting a comprehensive study related to critical minerals, particularly focusing on lithium recovery in Arkansas. The General Assembly recognizes the importance of critical minerals for various industries, including energy, defense, and technology, and emphasizes the need for a diversified approach to ensure energy independence. The findings highlight the expected quadrupling of global lithium demand by 2030 and the necessity for Arkansas to enhance its domestic lithium production to reduce reliance on foreign imports and bolster energy security.

To facilitate this, the bill mandates a study to evaluate Arkansas's competitiveness in attracting lithium recovery projects and related manufacturing activities. This study will assess various factors, including state and local taxes, permit fees, regulatory burdens, infrastructure needs, and workforce availability. Additionally, it aims to identify potential impediments to development and provide recommendations to improve Arkansas's investment attractiveness in the lithium sector. The bill underscores the urgency of addressing these issues to maintain Arkansas's first-mover advantage in the face of increasing competition from neighboring states.