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When the developing world faced higher oil prices, it guided its development toward power generation. But when the developed world, already married to an oil based infrastructure, faced higher oil prices it guided its development towards growth in credit. The United States is the number 2 user of coal, behind China, at 565 mtoe per year. And Germany is the number 7 user of coal at 85 mtoe per year. But coal demand growth in the OECD is largely halted by infrastructure. Most of the powergen additions in the OECD the past 30 years have been natural gas fired. Take a look at the growth of coal demand over the past 20 years, meanwhile, back in the developing world.

ADES (the Social and Economic Development Association), where local people talked with us late into the night about how they had come to oppose mining. ADES organizer Vidalina Morales acknowledged that “initially, we thought mining was good and it was going to help us out of poverty…through jobs and development.”

He talked about watching the river near his farm dry up: “This was very strange, as it had never done this before. So we walked up the river to see why…. And then I found a pump from Pacific Rim that was pumping water for exploratory wells. All of us began to wonder, if they are using this much water in the exploration stage, how much will they use if they actually start mining?”

Three people recounted how a Pacific Rim official boasted that cyanide was so safe that the official was willing to drink a glass of a favorite local beverage laced with the chemical. The official, we were told, backed down when community members insisted on authentication of the cyanide. “The company thought we’re just ignorant farmers with big hats who don’t know what we’re doing,” Miguel said. “But they’re the ones who are lying.”

Thirty years ago, several thousand civilians in the northern Salvadoran community of Santa Marta quickly gathered a few belongings and fled the US-funded Salvadoran military as it burned their houses and fields in an early stage of the country’s twelve-year civil war. Dozens were killed as they crossed the Lempa River into refugee camps in Honduras.

Miguel drove us to the office of his employer, ADES (the Social and Economic Development Association), where local people talked with us late into the night about how they had come to oppose mining. ADES organizer Vidalina Morales acknowledged that “initially, we thought mining was good and it was going to help us out of poverty…through jobs and development.”

He talked about watching the river near his farm dry up: “This was very strange, as it had never done this before. So we walked up the river to see why…. And then I found a pump from Pacific Rim that was pumping water for exploratory wells. All of us began to wonder, if they are using this much water in the exploration stage, how much will they use if they actually start mining?”

Chile exports 50 percent of the world's lithium, mostly through a formerly state-owned company called SQM. The company mines lithium at the huge Atacama Salt Flat, tapping an estimated 2.5 million metric tons in lithium reserves. Julio Ponce Lerou is the son-in-law of the brutal military dictator, Augusto Pinochet, and is the man in control of formerly state-owned SQM.

Larou's control of Chilean lithium is a classic story of corruption common wherever privatization schemes have unfolded.

Unfortunately, Bolivia does not have the money to mine, refine and add value to lithium this way. Morales has stated that he is actively seeking private investment, but that Bolivia wants "partners, not bosses." This approach has scared away foreign investment, compounded by Morales' closeness to Venezuelan President and U.S. antagonist Hugo Chavez. There are also significant infrastructure problems. The Uyuni flats are remote and inaccessible by road and train, whereas the Atacama flats are very easy to reach. Bolivia has established a state-owned lithium company, and even has met local resistance. The local folk of Uyuni insist on sharing the benefits of mining. Bolivian leaders believe that increasing global demand for lithium will help trump these challenges and will allow the country to become the dominant producer.