SANTIAGO, March 25 (Reuters) - U.S.-based Albemarle

, the world's largest lithium producer, said on Wednesday

it had begun the environmental review process in Chile for its

first project using Direct Lithium Extraction (DLE).

Albemarle said in a statement that the project is designed

to recover nearly twice as much lithium, while reducing the

amount of brine extracted compared to current operations.

If the entire project is built, it would have a total

investment of about $3.1 billion and a useful life extending

through 2045, Albemarle said in a filing to the Chilean

environmental assessment agency.

"The initiative aims to move toward more efficient and

sustainable production in the Salar de Atacama," it said, a

location that is one of the world's richest sources of the metal

essential for electric vehicle batteries.

The project would consist of a DLE plant within Albemarle's

mining concession area, with up to six processing trains at the

heart of Chile's salt flats, and the construction of a power

transmission line, Albemarle said.

The filing said net brine extraction will drop from 442 to

342 liters per second with one DLE train in operation, and as

low as 142 liters per second with all six trains in use.

The water around the vast Atacama salt flat, both fresh and

brine, has long been a sticking point for miners operating in

the desert. Native communities have raised concerns about mining

depleting the scarce reserves of freshwater and lithium-rich

brine, reducing its availability for people and wildlife.