Join our daily newsletter At The Bell to receive exclusive market insights
- Vulcan Energy (VUL) says development plans for its German lithium extraction plant are tracking along on schedule, with plant commissioning to kick off around mid-year
- The company told investors it has officially begun pre-fabrication work for its direct lithium extraction (DLE) Demonstration Plant in Germany, with all equipment ordered and design work finalised
- At the same time, Vulcan says it is on track to complete a definitive feasibility study (DFS) for its Zero Carbon Lithium project during the second half of the year
- Managing Director Francis Wedin says its geothermal and lithium division is particularly pertinent at a time when Europe’s reliance on Russia for energy is being keenly felt
- Investors have responded well to today’s update from Vulcan Energy, with company shares up 6.58 per cent to $10.20 at 12:15 pm AEDT
Vulcan Energy (VUL) shares have opened higher this morning after the company told investors development plans for its German lithium extraction plant were tracking along on schedule.
The company said in an announcement to the ASX it had officially kicked off pre-fabrication work for its planned direct lithium extraction (DLE) Demonstration Plant in Germany, with around 80 per cent of equipment ordered and all design work finalised.
This means the company is set to begin the commissioning of the plant around the middle of the year.
At the same time, Vulcan said it was on track to complete a definitive feasibility study (DFS) for its Zero Carbon Lithium project during the second half of the year.
Managing Director Francis Wedin said this all meant the company was stepping closer to becoming the world’s first “fully integrated renewable energy and battery raw materials” company.
“Vulcan’s geothermal and lithium divisions are leaders in their field and are working hard to continue to realise significant project milestones in the development of Vulcan’s Zero Carbon Lithium Project,” Dr Wedin said.
“Geothermal renewable energy on a mass scale, combined with lithium extraction from the same deep geothermal source, can and will play an important part in achieving Europe and Germany’s energy security and independence.”
Vulcan Energy’s DLE Pilot Plant, which began operating in April 2021, has seen lithium recovery rates average between 94 per cent and 95 per cent — above what was forecast in the plant’s pre-feasibility study.
The upcoming Demonstration Plant will add to the data from the Pilot Plant as Vulcan works to construct its first commercial plant in 2024.
“It is encouraging to see the consistent and successful track record of our lithium Pilot Plant as it comes up to one year of operation, and positive to see the Demo Plant start to take shape,” Dr Wedin said.
Vulcan said the role its geothermal and lithium division could play in Europe was particularly pertinent at a time when the continent’s reliance on Russia for energy was being keenly felt.
Vulcan’s lithium plant is designed to decarbonise the lithium-ion battery industry by producing a lithium hydroxide monohydrate chemical product with zero carbon footprint.
Investors have responded well to today’s update from Vulcan Energy, with company shares up 6.58 per cent to $10.20 at 12:15 pm AEDT. The company has a $1.3 billion market cap.
