Stellantis signs agreement with Vulcan for CO2-free lithium supply in Europe
BERLIN – Stellantis has signed a preliminary agreement with lithium developer Vulcan Energy Resources for the supply of climate-friendly lithium from Germany, the automaker said on Monday.
Stellantis is the latest automaker to sign a deal with the German-Australian start-up to lock in battery metal supplies ahead of an expected increase in global demand as the transition to cleaner mobility gains momentum.
Under the five-year agreement, Vulcan will supply between 81,000 and 99,000 tonnes of battery-grade lithium hydroxide in Europe to Stellantis from 2026, they said in a statement. No financial details of the deal were provided.
Vulcan is one of many companies that are testing a direct lithium mining (DLE) method that uses less land and groundwater, making it more durable than the more common existing methods of surface mining and mining. brine evaporation ponds.
Stellantis has pledged to invest more than 30 billion euros ($ 33.8 billion) by 2025 in the electrification of its range of vehicles.
As part of this plan, the group will build three battery production plants in Europe, two in Germany and France through its ACC joint venture with Daimler and TotalEnergies and one in Italy, although details on this are not yet available. still disclosed.
Stellantis, whose brands include Opel, Citroën, Jeep and Alfa Romeo, is targeting more than 70% of sales in Europe to be low-emission vehicles by 2030.
“This agreement is further proof that we are competitive to deliver on our commitments,” said Michelle Wen, Director of Purchasing and Supply Chain, Stellantis.
The announcement comes a week after Vulcan signed a second agreement with Renault to supply up to 32,000 tonnes of battery-grade lithium chemicals from its geothermal brine fields in Germany.
Vulcan has already concluded supply agreements with the Belgian recycling group Umicore and the South Korean LG Chem.