Vulcan Energy Resources Limited has provided an update on the project execution for its Zero Carbon Lithium Project in Germany’s Upper Rhine Valley Brine Field.
With 73 days before the projected mechanical completion date in August, Vulcan reported that its Lithium Extraction Optimisation Plant (LEOP) had entered the “endspurt,” or final sprint to finish.
LEOP’s commissioning is scheduled for September, following which it will go into full operation. This will consist of:
- the first domestically produced tonnes of lithium chloride concentrate in Europe, announcing the emergence of a new sector in the EU; and
- the first tonnes of lithium produced utilising the commercially proven process of sorption-type Direct Lithium Extraction (DLE) but powered by renewable heat rather than fossil gas.
LEOP will deliver lithium chloride to CLEOP, Vulcan’s downstream Optimisation Plant, which will manufacture the final lithium hydroxide product. This comes after 2.5 years of successful pilot testing.
The three goals of Vulcan’s optimisation plants are as follows:
- to provide products for testing and validation to Vulcan’s automotive and battery clients in Europe, including Stellantis and Volkswagen;
- to serve as a training ground for operational preparedness in Vulcan’s production team, directed by Vulcan’s VP Production, ex-BASF executive Christian Tragut, for the commercial Phase One of the Zero Carbon Lithium Project, which is also progressing;
- to optimise process parameters in preparation for the commercial plant whilst the latter is being constructed.
Vulcan also announced senior appointments from the oil and gas (O&G) and battery manufacturing industries and Tier One worldwide EPC organisations. Vulcan’s Zero Carbon Lithium Project is harnessing complementary skills from the O&G sector as part of the Just Transition to deliver Phase One, supplementing its workforce of ca. 300 in-house personnel.
Vulcan has begun the Request for Proposal (RFP) process for its EPC and EPCM contracts for its integrated commercial geothermal plant, and Lithium Extraction Plant (LEP) and Central Lithium Plant (CLP) to produce lithium hydroxide, with a Phase One capacity of 24,000 tonnes per annum. Prospective contractors will meet with the Vulcan Project Execution team in Karlsruhe, Germany, during the week of 5 June to start the sessions.
To sustain quick project progress, Vulcan is utilising its financial position of €164m ($269m as of 26 May ’23) to sign Early Works Agreements (EWAs) and make purchases for crucial long-lead commercial plant equipment.
Vulcan’s MD and CEO, Dr. Francis Wedin, commented: “Enabled by our strong cash position, we are making steady, methodical progress towards the execution of the Zero Carbon Lithium™ Project. With the final sprint to finish to mechanical completion of our Lithium Extraction Optimisation Plant and negotiation of key contracts for commercial Phase One, there is a hive of activity on the ground. We are fortunate to be joined by some highly motivated, highly skilled project execution professionals from the O&G and chemicals industries, deploying their considerable experience towards decarbonization, electrification and supply chain security in the West. Completing our Optimisation Plant and starting operations in the coming weeks and months will represent the culmination of over 5 years’ work on the Zero Carbon Lithium™ Project, and the birth of an entirely new domestic lithium industry in Germany and Europe, which we are very excited to share with our stakeholders.”
