Vulcan Energy’s Zero Carbon Lithium Project Achieves Key Operational Milestone

A critical production test at Vulcan Energy's flagship lithium extraction site in Germany has delivered positive results, reinforcing the project's foundational plans. The company confirmed that a newly drilled well at its Lionheart field has successfully met expected performance criteria during initial assessments.

This operational progress builds upon a solid financial foundation. The company had previously announced in December 2025 that the funding for Phase One of the Lionheart development was fully secured. The convergence of confirmed financing and successful early testing significantly enhances the project's overall viability and execution prospects.

Vulcan's initiative, branded as Zero Carbon Lithium™, is designed to produce battery-grade lithium hydroxide from a combined geothermal brine source in Germany's Upper Rhine Valley. The proprietary process aims for a net-zero greenhouse gas footprint, directly tackling the substantial carbon emissions typically associated with conventional lithium mining and processing.

Lionheart Well Performance Validates Projections

The recent test on the Lionheart production well provided robust flow-rate data directly from the reservoir. This real-world performance data offers strong support for the company's existing production models and increases operational confidence during these early stages of development.

Based on its current models and this successful test, Vulcan continues to target an annual production capacity of 24,000 tonnes of lithium hydroxide monohydrate from Phase One. This output volume is estimated to be sufficient for the batteries of approximately 500,000 electric vehicles per year.

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Core Project Details:
* Location: Upper Rhine Valley, Germany
* Initiative: Zero Carbon Lithium™ Project (Phase One: Lionheart)
* Target Annual Output: 24,000 tonnes of lithium hydroxide monohydrate
* Co-product: Renewable geothermal energy
* Phase One Financing Status: Fully secured as of December 2025

Offtake Agreements Signal Strong Market Demand

The project has already secured binding offtake agreements for a portion of its future production with several major industry players, underscoring market demand for a localized and sustainable European lithium supply chain. Key partners include:
* The automotive manufacturer Stellantis
* Battery producer LG Energy Solution
* Cathode materials maker Umicore
* Commodities group Glencore

These agreements establish multi-year supply relationships, with commercial lithium deliveries scheduled to commence in the coming years.

Path Forward to Production

With the well test milestone achieved, Vulcan's focus now shifts to subsequent development steps. These include advancing additional drilling work, commencing construction of processing facilities, and finalizing outstanding project contracts. The successful execution of these tasks is required to realize the planned annual production capacity of 24,000 tonnes.