- Vulcan Energy (VUL) has substantially upgraded the mineral resource estimate at its Upper Rhine Valley Lithium Project (URVP)
- The project already contained Europe’s largest JORC-compliant lithium resource; the global indicated resource has increased a further 131 per cent
- There’s now a little over 3.6 million tonnes of lithium carbonate equivalent (LCE) in the indicated category — a significant resource by any measure
- The upgraded resource will be incorporated into the project’s pre-feasibility study, aimed for release in early 2021
- With Europe’s largest lithium resource and a blueprint for sustainable production, Vulcan is at the vanguard of Europe’s green lithium revolution
- Vulcan Energy is up 5.70 per cent, trading for $1.78
Vulcan Energy (VUL) has substantially upgraded the mineral resource estimate at its Upper Rhine Valley Lithium Project (URVP).
Growing resource
The project already contained Europe’s largest JORC-compliant lithium resource; now, with a 131 per cent increase to the global indicated resource, the project is growing ever larger.
The upgrade to the Ortenau zone resource also saw some inferred resources upgraded to the indicated category, which now accounts for 23 per cent of the total resource.
The updated total URVP inferred and indicated resources are now 15.85 million tonnes of lithium carbonate equivalent (LCE) at a grade of 181 milligrams per litre lithium.
There’s a little over 3.6 million tonnes of LCE in the indicated category — a significant resource by any measure.
Indicated resources from the Ortenau and Taro zones will be integrated into the project’s pre-feasibility study (PFS), which is nearing completion.
The company is looking to become the world’s first zero carbon lithium producer, and the substantial resource upgrade will help underpin a more robust PFS.
Vulcan Managing Director Dr. Francis Wedin says the company is well positioned to take advantage of a burgeoning market.
“The European Commission regulations announced last week, setting limits on CO2 footprints for lithium-ion battery production in Europe places Vulcan in the prime position to be a lithium supplier of choice for the European market,” Dr Wedin said.
“With the majority of the PFS work completed, we expect final review to be concluded by January, so we look forward to an exciting start for shareholders in 2021,” he added.
Outlook
The new EU regulations stipulate a ratings system will be introduced to mark out the green credentials of lithium battery products.
The system will be somewhat similar to Australia’s labelling of water heaters and whitegoods with energy efficiency ratings, with the aim of giving consumers a quick metric to compare products.
Given the URVP is aiming for net zero carbon production, potential offtakers will be keen to get their hands on Vulcan’s lithium to underpin their own green credentials downstream.
With Europe’s largest lithium resource and a blueprint for sustainable production, Vulcan appears well set to play a significant role in Europe’s push towards a green lithium revolution.
Vulcan Energy is up 5.70 per cent, trading for $2.78 at 10:32 am AEDT.