MINEX Forum

Tag: Upper Rhine Valley

  • Vulcan Energy Completes Preliminary Feasibility Study for Project Ludwig in Germany

    Vulcan Energy Completes Preliminary Feasibility Study for Project Ludwig in Germany

    Vulcan Energy (ASX: VUL, FSE: VUL) has announced the completion of its Preliminary Feasibility Study (PFS) for Project Ludwig, marking a significant advancement in its lithium and geothermal energy production strategy in the Ludwigshafen region of Germany. This project is set to build on the successes and learnings from Vulcan’s first phase, Project Lionheart, and aims to establish an integrated lithium chemical and renewable heat production facility within the Upper Rhine Valley Brine Field (URVBF).

    The PFS highlights robust economic metrics, projecting a pre-tax net present value (NPV8) of €2.6 billion and an internal rate of return (IRR) of 25.0% over a planned 30-year operational life. Notably, Project Ludwig is expected to produce 21,100 tonnes per annum (tpa) of battery-grade lithium carbonate (Li2CO3) while also generating 3,125 GWh per annum of renewable heat for both internal use and external sales. The capital expenditure (CAPEX) for the project is estimated at €1.26 billion, reflecting a 15% reduction in capital intensity compared to Project Lionheart, showcasing Vulcan’s commitment to capital efficiency and sustainable production practices.

    The study indicates a significant increase in mineral resources, with indicated lithium resources rising from 655 kt LCE to 1,251 kt LCE, and inferred resources increasing from 2,128 kt LCE to 2,230 kt LCE. Additionally, a maiden geothermal resource estimate of 193 PJ has been established, further solidifying the project’s potential.

    Vulcan’s Managing Director and CEO, Cris Moreno, expressed optimism about Project Ludwig, stating that it represents a strategic next step in the company’s phased development approach. The project aims to leverage Vulcan’s existing infrastructure and expertise gained from Lionheart, applying a proven integrated geothermal-lithium development model to enhance shareholder value and contribute to Europe’s critical raw materials supply chain.

    The PFS was conducted with support from Worley and JordProxa, ensuring a comprehensive evaluation of the project’s technical and economic viability. As Vulcan prepares for a Final Investment Decision (FID) post-Lionheart production commencement, it is also pursuing an asset-level financing strategy to advance Project Ludwig, with strategic partner selection processes already underway. The project aligns with the European Union’s focus on securing sustainable domestic supply chains for critical raw materials, particularly lithium, as the demand for electric vehicles and battery storage continues to rise.

    Project Ludwig not only aims to enhance Vulcan’s lithium production capabilities but also integrates renewable geothermal heat generation, positioning the company as a key player in the transition to a sustainable energy future in Europe.

  • Vulcan begins commissioning of lithium extraction plant in Germany

    Vulcan begins commissioning of lithium extraction plant in Germany

    ASX-listed Vulcan Energy Resources has started commissioning of its lithium extraction optimisation plant (LEOP) in Landau at Upper Rhine Valley in Germany.

    Considered to be a milestone for Vulcan, the plant will extract, purify and increase the concentration of lithium chloride from brine. This phase is said to be a major step forward for the company and its zero-carbon lithium project.

    The start of the plant will enable the domestic supply independence of lithium, a critical raw material that is used in the production of electric vehicle (EV) batteries.

    Vulcan stated that the commissioning phase will continue until October, which is also when the first brine will be introduced into the plant to begin the lithium extraction process.

    Construction on the project began last year and was designed for optimisation, operational training and product qualification facility to provide commercial readiness by the end of 2025.

    Vulcan CEO Cris Moreno said: “By 2030, Europe is likely to face a significant lithium shortage, which could have serious implications for the European battery and automotive industries if domestic supplies are not realised. Vulcan is gearing up to be the first to produce lithium from Europe, for Europe, but also to be the first company worldwide to produce carbon-neutral lithium.

    “The start of the commissioning of our LEOP facility is a key step toward the implementation of phase one of our Zero Carbon Lithium™ Project, and in enabling a secure and independent European supply chain for lithium.”

    The initial phase of commercial operations at the plant aims to have a production of 24,000tpa of lithium hydroxide production, which will be supplied to off-takers in Europe.

    For lithium extraction from brine, Vulcan will use adsorption-type direct lithium extraction (A-DLE), which is claimed to have been commercially proven.

    The method can be deployed for low operating costs, more time efficiency and reduced carbon footprint compared to legacy industry methods for producing lithium. It will be powered using renewable heat instead of gas.

  • Vulcan fires up European lithium extraction plant

    Vulcan fires up European lithium extraction plant

    Vulcan Energy Resources has fired up its lithium extraction optimisation plant (LEOP) in Germany’s Upper Rhine Valley – a moment the company describes as a “significant milestone”.

    The budding carbon-neutral lithium developer is nudging closer to being the first company in Europe to produce the sought-after lithium hydroxide concentrate – crucial in the manufacturing of lithium-ion batteries – for the European market.

    Management has today revealed it has begun the commissioning phase for its LEOP and it is is expected to run until October, when the first bubbling-hot brine will be introduced into the plant for the lithium extraction process to begin.

    The newly-constructed LEOP is a ramped-up version of Vulcan’s pilot plant that has successfully produced lithium chloride from its producing well sites for the past two and half years.

    To extract lithium from brines, Vulcan is employing the adsorption-type direct lithium extraction (A-DLE) method, which has the added benefits of lower operating costs, greater time efficiency and a lower carbon footprint than legacy industry methods of lithium production.

    In the extraction process, the company will use its proprietary sorbent “VULSORB®”, which it has demonstrated to have a higher performance and lower water consumption for lithium extraction when compared with other commercially-available sorbents.

    From the LEOP, the lithium chloride will be refined to lithium hydroxide at Vulcan’s downstream central lithium electrolyser optimisation plant (CLEOP) in Frankfurt- Höchst and packaged up for further testing by notable offtake partners including Stellantis, Volkswagen, Renault, Umicore and LG Energy Solution.

    The commencement of the commissioning of our LEOP facility represents a significant milestone for us, as well as the entire European battery industry. By 2030, Europe is likely to face a significant lithium shortage, which could have serious implications for the European battery and automotive industries if domestic supplies are not realised. Vulcan is gearing up to be the first to produce lithium from Europe, for Europe, but also to be the first company worldwide to produce carbon-neutral lithium. The start of the commissioning of our LEOP facility is a key step toward the implementation of Phase One of our Zero Carbon Lithium Project, and in enabling a secure and independent European supply chain for lithium.

    Vulcan Energy Resources managing director and chief executive officer Cris Moreno

    With the company’s sights set firmly on a 2025 production target, it is also stepping up to help solve Europe’s looming lithium supply shortfall, with production forecast to supply up to 24,000 tonnes per annum of lithium hydroxide monohydrate.

    Located in the Upper Rhine Valley that extends across France, Germany and Switzerland, Vulcan has its foot on a 300km “graben” system that contains a sedimentary-hosted geothermal lithium reservoir that hosts 26.6 million tonnes of lithium carbonate equivalent – the biggest lithium resource in the European Union.

    Pioneering a carbon-free future, the company lays claim to the world’s first integrated renewable energy lithium extraction and lithium hydroxide project with net-zero greenhouse gas emissions, with the co-production of renewable geothermal energy on a mass scale.

    As Europe sweats through one of its hottest summers on record, discussions around climate change continue to be front and centre as the subcontinent steers towards its lofty 2050 carbon-neutral goals. With the transition to a global electric mobile fleet in full swing, Vulcan is neatly positioned to meet the unprecedented demand for the critical battery metal with its net-carbon neutral lithium.