Vulcan Energy Resources Limited (ASX: VUL) has started a number of initiatives to expand its Zero Carbon Lithium business into France and specifically Alsace, which is a natural extension of the Upper Rhine Valley Geothermal-Lithium Brine Field.
Vulcan already has a strong connection to the French market with France’s largest automakers Renault and Peugeot-Citroen (part of Stellantis, who is also Vulcan’s second shareholder) as lithium chemicals customers, and BNP Paribas, France’s largest bank, advising on financing. BNP Paribas is also an investor in the Zero Carbon LithiumTM Project under its BNPP Energy Transition Fund.
As a shareholder and customer of Vulcan, Stellantis commends Vulcan for the expansion of their Zero Carbon Lithium business into France. Investments like this support a future supply of sustainable Lithium, and contribute to the European battery manufacturing ecosystem, which aligns with our Dare Forward 2030 strategy to reach carbon net zero by 2038,” Maxime Picat, Stellantis’ Chief Global Purchasing and Supply Chain Officer, said.
Lithium production is strategically critical for France’s automotive industry, as Emmanuel Macron, President of France stated in October this year: “We need to work across the entire supply chain. We have lithium resources in France and we will develop them thanks to a new mining code; it is key for our sovereignty”
Where possible, Vulcan will seek public and strategic funding to help fund its expansion into France.
Vulcan is expanding its activities to the French side of the Upper Rhine Valley Brine Field (URVBF), which accounts for roughly one third of the Upper Rhine Graben, containing both geothermal energy and lithium-rich brine.
They had previously collected a bulk (10,000 litres) brine sample from the French side of the border and conducted test work on it. The sample returned a high grade of 214 mg/L Li and low impurities (inc. Si, Mn, Fe). Historical data and sampling coming from existing geothermal operations in the region indicate brine composition in Alsace is materially the same as the brine composition across the border at Vulcan’s operations in Germany, meaning Vulcan’s sustainable lithium production process is applicable across the whole field.
Vulcan has created a French entity, Vulcan Energie France SAS (VEF), registered in Strasbourg with offices in Haguenau, where Vulcan is growing an experienced French team.
VEF has applied for its first lithium exploration license in the region, “Les Cigognes”. The requested license is 155 sq. km in size and located East of the city of Haguenau. The company will look to access additional license areas in the near future.
They are also in discussions with local companies in Alsace to develop combined geothermal energy and lithium projects, and also to support industrials and municipalities to decarbonise their heating supply. The company is focused on increasing engagement with local stakeholders to develop projects in full alignment with local communities, which is paramount to the ongoing success of Vulcan’s activities.
“Vulcan is aiming to increase the future supply of our sustainable lithium product in response to significant customer demand, as we leverage our extensive experience in lithium extraction from heated brines to have a materially decarbonising effect on global electric vehicle supply chains,” Vulcan’s Chief Commercial Officer, Vincent Ledoux-Pedailles, said.
“An extension of our core operating area, the Upper Rhine Valley Brine Field, expanding into France is a natural next step for Vulcan as we can apply the same expertise and technology to extract lithium sustainably.
“We look forward to supporting our French customers and working with local communities and companies to decarbonise their energy mix.”
