Vulcan Energy, Frankfurt-based Nobian seek to develop lithium plant

Australian lithium producer Vulcan Energy said on Tuesday it is exploring to jointly develop its Central Lithium Plant with Frankfurt-based chemical producer Nobian.

The potential deal comes as demand for lithium hydroxide sees a surge due to shifting preferences towards electric cars, with Vulcan looking to cash in on its position to be a key supplier of raw materials for European automakers, including Volkswagen, Stellantis and Renault.

Lithium hydroxide is a crucial chemical used in making batteries for electric vehicles.

Vulcan and Nobian signed an MoU and a term sheet to explore the joint development, which will occur in phases. The company had already secured a site in Frankfurt for the “zero carbon” lithium plant.

Jürgen Baune, managing director at Nobian, said the deal will allow Nobian to become a key player in supplying raw materials to the battery industry.

($1 = 0.8826 euros)

(By Savyata Mishra; Editing by Uttaresh.V)