weedpharma:
The 100mA is the maximum current the battery is rated to give.
Uhm, no... The 100mA he talks about is from a device (which device that may be...), not the battery!
And weedpharma, where do you live? I rarely see anyone use E for voltage.... U (in Europe) and V (in the VS) are more common. And although ohm's law is good to know I think it's useless here.
h4344:
@septillion Its an infrared proximity sensor 
Any link to it? Datasheet, sellers page etc? You did get your info from somewhere, why not share it with us?
h4344:
So the whole idea sounds like connect the battery to the component and make sure the battery output voltage is the same as the component input voltage.
Yes, but you still did not give us the supply voltage of the device. Based on the high/low rating it's probabl 5V but you can't be sure without just looking up the supply voltage.
h4344:
So what about when an LED has 100mA being supplied to it rather than the recommended 20mA? Wont it blow despite current being load dependent?
Did you even read my part about the LED?
h4344:
Or does the current reflect the voltage so 100mA means the voltage is probably too high too?
It might, but it's current driven, not voltage. So the voltage reflects the current, not the other way around. A change is current might almost not change the voltage. For example, when you drive a LED with 20mA the forward voltage might me like 3,20V but when driven at 100mA is maybe just risen to 3,25V. So don't concern about the voltage of the LED, as long as the current is in spec it's okay.
So voltage driven devices you drive with a voltage and the devices takes as much current it need (you don't regulate the current).
Current driven devices you drive with a current and there appears some voltage across them (you don't regulate the voltage across it).