Stellantis and Vulcan Energy Resources have announced Stellantis’ $76 million (Rs 593 crore) equity investment in Vulcan and an extension of the original binding offtake agreement to 10 years. The investment will go towards Vulcan’s planned production expansion drilling in its producing Upper Rhine Valley Brine Field (URVBF). At present, Vulcan is 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 investment will help us create a resilient and sustainable value chain for our European electric vehicle battery production,” said Carlos Tavares, CEO, Stellantis.
Dr. Francis Wedin, MD, Vulcan said, “We are fully aligned with Stellantis’ decarbonisation and electrification goals. It is encouraging to see the automaker investing in local, low-carbon lithium production for electric vehicles.”
As part of the Dare Forward 2030 strategic plan, Stellantis announced plans of reaching 100 per cent of passenger car battery electric vehicle (BEV) sales mix in Europe and 50 per cent of passenger car and light-duty truck BEV sales mix in the United States by 2030. It aims to becoming carbon net-zero by 2038, with a 50 per cent reduction by 2030.
The OEM has recently announced its North American lithium hydroxide supply agreement.