5.2 C
Donji grad
Wednesday, December 7, 2022

Ambitious plans to produce zero-emission lithium with geothermal in Germany

Source: ThinkGeoenergy

Australia’s Vulcan Energy Resources plans the production of zero-emission lithium in Europe after obtaining positive results in its pre-feasibility studies for a facility powered by geothermal energy.

Vulcan Energy Resources has been investigating the possibility of producing emission-free lithium at a project in the German Upper Rhine Valley. The company plans to pair the lithium production facility with a geothermal power project, powering the facility with zero-emission electricity.

The company said it would be possible to produce a quality lithium hydroxide chemical for batteries at the proposed facility and that it would seek to tap into the emerging European market for lithium-ion batteries and electric vehicles.

The feasibility study found that the planned EUR 1.74 billion facility could produce up to 40,000 tonnes of lithium hydroxide each year, a usable ingredient for battery production, and would seek to tap into a 1.12 million tonnes carbonate equivalent reservoir from lithium in Germany, the largest in Europe.

The company describes the lithium concentration in geothermal brine among the highest in the world, or actually  the highest together with the Salton Sea area in California/ U.S.,  another hot spot for lithium-geothermal extraction plants.

The production facility would be combined with 5 geothermal power plants with a combined 74 MW geothermal electricity generating capacity, which would extract heat from the lithium deposit itself. The power plant would allow the project to take advantage of a reliable supply of electricity without emissions that will also benefit from attractive subsidies (power fees).

The feasibility study showed that the company could achieve an expected pre-tax internal rate of return of up to 26 percent, a positive result that drove the value of the company’s shares up.

Lithium producers have benefited from the growing market for battery storage and electric vehicles. Europe is currently the fastest growing market for electric vehicles, and the market will accelerate further with the plans of Tesla’s ‘gigafactory’ in Berlin, as well as the push from major German automakers into the market for electric vehicles, including Daimler and Volkswagen .

Vulcan’s European lithium production ambitions are likely to be well received by battery makers in the region, with around 80 percent of the world market currently controlled by Chinese producers. Local production would help address supply chain and environmental concerns.

Latest posts

Hive Energy Ltd – new RES Croatia member

Hive Energy was founded in 2010 by Giles Redpath...

MEPs back boost for renewables use and energy savings

The Industry, Research and Energy Committee wants to accelerate...

RES Simplify for the simpler and faster development of RES

With its REPowerEU plan, the European Union decided to...

The Council of the EU agrees with the higher goals for RES and energy efficiency

The Council yesterday adopted its negotiating positions (general approaches)...

REPowerEU is the new energy reality

The REPowerEU strategy and impact of electrification on energy...

Sign up for our Newsletter

Sponsored by