Vulcan Energy Resources announcement

Vulcan Energy Resources Limited (Vulcan, ASX: VUL, FSE: VUL) has announced the commencement of the first Lithium Chloride (LiCI) production at its Lithium Extraction Optimisation Plant (LEOP) in Landau, Germany. The company's LEOP has demonstrated over 90% lithium extraction efficiency, marking a significant milestone in the production of lithium chemicals from a local source in Europe for the European battery supply chain security.

Executive Commentary

Vulcan's MD and CEO, Cris Moreno, expressed, 'This significant milestone marks a pivotal moment in Vulcan's journey towards revolutionising domestic lithium raw material supply for Europe's Battery industry. Vulcan's LEOP facility is equipped with world-leading technology designed to showcase the efficiency of our A-DLE process and environmental benefits, whilst training our commercial production team in a pre-commercial environment as we build the Phase One commercial plant. It is encouraging to see LEOP deliver extraction efficiency in line with our expectations. I would like to thank our determined project execution and operations team for getting us to this landmark. We look forward to providing further updates on our Central Lithium Electrolysis Optimisation Plant (CLEOP) as we aim to produce Europe's first fully integrated lithium battery chemicals from our own domestic resource, and also to providing updates on Phase One of the Zero Carbon Lithium Project, including financing, in the coming months.'

Summary of Announcement

Vulcan Energy Resources Limited has achieved a significant milestone with the commencement of lithium chloride production at its Lithium Extraction Optimisation Plant (LEOP) in Landau, Germany. The company's LEOP has demonstrated over 90% lithium extraction efficiency, marking a crucial step in the production of lithium chemicals from a local source in Europe for the European battery supply chain security. The company's Phase One commercial production is estimated to produce enough lithium for approximately 500,000 EVs, showcasing its commitment to sustainable lithium production. Vulcan aims to leverage its multidisciplinary expert team, leading geothermal technology, and position in the European EV supply chain to be a global leader in producing carbon-neutral lithium. With the upcoming Central Lithium Electrolysis Optimisation Plant (CLEOP) expected to be in operation in mid-2024, Vulcan is poised to produce the first fully integrated lithium battery chemicals in Europe, including conversion to a battery-grade chemical, with the co-production of renewable energy and heat. The company's ambitions to empower a carbon-neutral future and its commitment to decarbonisation make it a key player in the sustainable energy sector.