Vulcan progresses lithium plant

A Gina Rinehart-backed battery metals company has begun commissioning its lithium million hydroxide testing plant in central Germany.

Perth-headquartered Vulcan Energy Resources on Thursday started the commissioning process for its testing plant outside of Frankfurt, where it also plans to build a commercial scale plant.

The plant will convert lithium chloride from an upstream facility into Europe’s first pit-to-product domestic battery-grade material.

Vulcan chief executive Cris Moreno said the company’s operations would boost Europe’s electric vehicle supply chain independence.

“The start of commissioning of Vulcan's downstream lithium optimisation facility is a significant milestone for Europe’s critical raw material independence,” he said.

“In the coming months, Vulcan will begin to transport the first [lithium chloride] parcels from our upstream facility through to [the plant] for production of the first battery-grade lithium hydroxide products in Europe, all from a European lithium resource.”

Vulcan has been progressing what it labels a zero-carbon lithium project centred on its geothermal power plant and a brine field in the Upper Rhine Valley, where it is targeting initial production of 24,000 tonnes a year.

The company’s major Australian investors include Mrs Rinehart (7.4 per cent), her son, John Hancock (2.7 per cent), and CIMIC Group (6 per cent).