Vulcan Energy secures second German lithium licence

• Vulcan Energy Resources received a second lithium production licence for its Lionheart Project in Germany.
• The approval satisfies a project milestone while the company works towards its 2028 operational target.
• The company stated that the licence supports its strategy to produce low-cost European battery materials.

Vulcan Energy (ASX:VUL) secured its second lithium production licence, designated Ilka, for the flagship Lionheart Project in Germany.

The permit follows an earlier production licence grant for the LiThermEx area in the Upper Rhine Valley Brine Field.

"Securing our second lithium production licence is another important achievement for Lionheart and further validates the progress we are making towards becoming Europe’s leading producer of strategic, low-cost lithium," said Vulcan Energy Managing Director and CEO Cris Moreno.

The Ilka licence is valid for six years until 9 September 2032, after which Vulcan Energy plans to combine it with LiThermEx for a minimum 30-year operational duration.

The company targets an annual production capacity of 24,000 tonnes of lithium hydroxide monohydrate starting in 2028.

Following the announcement, the Vulcan Energy share price was down at $2.50.

The integrated Lionheart Project is designed to produce geothermal energy alongside lithium extraction to supply local energy consumers.