Stellantis N.V and Vulcan Energy Resources Ltd have announced today the extension of their orginal offtake agreement, as Stellantis invests €50 million equity into Vulcan. The partnership has been further extended to 10 years.
The equity investment is said to be going towards Vulcan’s planned production expansion drilling in its producing Upper Rhine Valley Brine Field. Vulcan is already producing geothermal energy from its URVBF and plans to produce lithium hydroxide with zero fossil fuels and net zero carbon footprint as part of the Zero Carbon Lithium™ Project.
“Making this highly strategic investment in a leading lithium company will help us create a resilient and sustainable value chain for our European electric vehicle battery production,” said Carlos Tavares, Stellantis CEO.
“We continue our quest of forming strong relationships with partners who share our values as we collectively fight against global warming and provide clean, safe and affordable mobility to our customers.”
Vulcan Managing Director, Dr Francis Wedin, has also commented saying: “Stellantis’ significant investment in Vulcan and the Zero Carbon Lithium™ Project represents a strong statement by one of the world’s largest automakers regarding sustainable and strategic sourcing of battery materials,”
He continues to say: “We are fully aligned with Stellantis’ decarbonisation and electrification goals, which represent some of the most ambitious in the industry. It is encouraging to see a leading automaker investing in local, low carbon lithium production for electric vehicles. As our largest offtaker, we look forward to deepening our relationship with Stellantis as a substantial shareholder in Vulcan and our Zero Carbon Lithium™ business.”
Stallantis has announced its plans to reach 100% of passenger car battery electric vehicle sales mix in Europe and 50% passenger car and light-duty truck BEV sales mix in the US, as part of the Dare Forward 2030 Strategic plan.
The Dare Forward 2030 plan was announced back in March and outlines Stellantis’ new era of mobility as they expect to reach carbon neutrality by 2038.