Australia-listed Vulcan Energy is in talks with lithium companies to license its filtration technology, tapping a new revenue source as the firm commercializes its renewable energy project in Germany, the CEO said on Tuesday.
Vulcan began producing lithium hydroxide earlier this month from its Rhine Valley operations using adsorption direct lithium extraction (A-DLE) – harnessing geothermal heat to extract lithium from brine deposits.
DLE is expected to reshape the lithium market by speeding the production process of the metal used in EV batteries and electronics to hours or days, compared with months or longer.
Vulcan has joined the ranks of companies like Eramet and Exxon Mobil aiming to make the technology commonplace.
“We are talking to all sorts, including developers and producers. If you have a four-to-five-year window to get into production, you need to act now,” CEO Cris Moreno told Reuters.
“There’s also producers out there that are trying to get an extra 1-2% of efficiency.”
Moreno said such efficiency gains represent a lot of money for large producers.
Vulcan is in the final stage of finalizing a 1.4 billion euro ($1.47 billion) funding package to build a commercial facility in Landau that is set to start production in 2027. Its lithium hydroxide is going to customers like Stellantis for quality testing in the meantime.
The lithium and energy producer expects to finalize commitment letters on the 40% debt portion of its funding by Christmas and secure strategic equity by the first quarter of next year.
It was awarded 100 million euros in funding from Germany this month for the project, whose geothermal heat will help decarbonize the Landau district.
($1 = 0.9554 euros)
(By Melanie Burton; Editing by Saad Sayeed)
Comments