Vulcan’s lithium extraction test work to pave the way for PFS
Shares in Vulcan Energy Resources Ltd (ASX:VUL) surged 14% after management confirmed the commencement of lithium processing test work at its Vulcan Zero Carbon LithiumTM Project in Germany, the largest lithium resource in Europe, which it is rapidly developing.
Following positive results from the recently completed Scoping Study on the Vulcan Project, the company is progressing with its test work programme to advance its innovative Zero Carbon LithiumTM flowsheet.
The Scoping Study showed the potential for production of battery-quality lithium hydroxide monohydrate products from the project, which could be produced with a uniquely net zero carbon footprint.
Management believes this will be a premium, highly desirable product for the European electric vehicle market.
The Test Work Programme includes the use of geothermal brine for Direct Lithium Extraction (DLE) test work, a process that will initially be conducted off-site.
DLE extraction methods are well developed having been previously piloted on geothermal brines and these will be demonstrated with a focus on process routes which will enable Zero Carbon LithiumTM production and minimal operating costs.
DLE will be demonstrated at bench scale in preparation for pilot scale test work on-site in Germany, planned for this year, with the results of both being incorporated into Vulcan’s Pre-Feasibility Study (PFS).
Commenting on these developments in the context of volatile markets, managing director Francis Wedin said, “Despite globally turbulent times, we are maintaining our momentum by pushing ahead with developing and technically de-risking our globally important Zero Carbon LithiumTM project.
‘’This next step of lithium extraction test work will provide us with valuable data which will be used in our PFS.”
Pathway to becoming first producer of zero carbon lithium
In developing its technology, management aims to decarbonise the currently high carbon production footprint of lithium-ion batteries used in electric vehicles.
On this note Wedin said, ‘’We plan to produce a world-first Zero Carbon LithiumTM hydroxide product from our Vulcan geothermal lithium brine project.
‘’It is the largest lithium resource in Europe and located in the heart of the European Union.
‘’We will use our proprietary Zero Carbon LithiumTM process, married with our unique and very large lithium resource, to pump up hot lithium-rich brine to the surface, then use the renewable heat to drive lithium extraction, with renewable energy as a saleable by-product.’’
When the experts at Next Investors have a stock pick, it may pay to listen.
The Next Investors have been investing in ASX small cap stocks for years, with their best small cap picks yielding returns of 1,200%, 1,120%, 900% and 678%.
They have just revealed their hand-picked, FY2021 stock portfolio of high conviction long-term investments.
Click the link below to see what they are currently investing in.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.