Vulcan Energy, a lithium supplier, has commenced the production of lithium chloride at its extraction plant in Germany, marking a significant milestone in producing battery-grade lithium hydroxide. The CEO, Cris Moreno, highlighted the historic achievement, emphasizing that it is the first locally produced lithium resource in Germany.
With licenses covering over 1,000 kilometers of land in Germany’s Upper Rhine Valley region, Vulcan Energy is tapping into super-hot lithium-rich brine from underground reservoirs, utilizing geothermal energy to extract lithium. This innovative approach aligns with the European Union’s targets for sourcing critical metals needed for its green transition.
Acknowledging the importance of securing access to critical raw materials, the German government has established a 1.1 billion-euro investment fund, reinforcing the nation’s commitment to high-tech and green projects, as announced by Vulcan Energy in February.
Vulcan Energy, with offtake agreements with major automakers like Volkswagen, Stellantis, and Renault, has seen promising results from its lithium extraction optimization plant in Landau, Germany. The company is now gearing up for the conversion of lithium chloride into battery-grade lithium hydroxide at its new plant in Frankfurt.
Looking ahead, Vulcan Energy aims to commission its first large-scale industrial plant by the end of 2026, with an expected annual output capable of powering 500,000 electric vehicles. Moreno expressed optimism about closing the financing for this ambitious project in the coming months.
In February, Vulcan Energy received preliminary approval from the European Investment Bank (EIB) for debt financing of up to 500 million euros, signaling further support for its endeavors in the lithium production sector.
