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Vulcan Energy Resources (ASX:VUL) secures site for lithium plant

Materials
ASX:VUL      MCAP $559.2M
29 September 2021 08:50 (AEST)

Höchst Chemical Park just outside of Frankfurt. Source: Vulcan Energy Resources

Vulcan Energy Resources (VUL) has signed a deal with chemical park management company Infraserv to secure a site for its proposed central lithium plant.

The commercial lithium hydroxide plant will support Vulcan’s Zero Carbon Lithium Project at the Höchst Chemical Park in Germany.

Höchst is one of the largest chemical sites in Europe and hosts more than 22,000 personnel and 90 companies.

The plant is intended to be used as a processing hub, which will process lithium chloride from multiple geothermal and lithium sorption plants into lithium hydroxide monohydrate.

The lithium hydroxide monohydrate will then be transported to Vulcan’s European customers in the battery and electric vehicle (EV) industry. According to the company, this will dramatically lower the transport footprint of the current lithium supply chain.

Vulcan is focused on producing geothermal and renewable energy, and lithium hydroxide. This will address Europe’s battery and EV market, as well as reduce the high carbon and water footprint of production.

Managing Director Francis Wedin commented on the importance of securing the site.

“Securing a site for the central lithium plant is an important step toward the execution of the Zero Carbon Lithium Project,” Dr Wedin said.

“Importantly, the location allows for low carbon transport options from our nearby project areas, as well as renewable energy to power the proposed plant, which underpins our commitment to minimising our carbon footprint in each step of our process.”

Vulcan will work with a dedicated team to obtain the necessary permits in the chemical park so it can construct and operate the central lithium plant.

Company shares were trading 2.01 per cent down at $12.69 at 10:32 am AEST.

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