Stellantis has made a $52.1 million investment in Vulcan Energy Resources, ensuring their lithium supply for years to come.
Th $52M investment takes the two companies’ original binding agreement from late 2021 and extends it out 10 years, through 2031, helping to ensure that Stellantis has enough access to raw materials to tackle its bold EV initiatives.
The equity investment will go toward Vulcan’s planned production expansion drilling in its Upper Rhine Valley Brine Field (URVBF). This investment will increase Vulcan’s low-carbon production of lithium hydroxide that’s needed for Stellantis’ European production of electric vehicles
This investment and the projects it will fund are part of the carmaker’s Dare Forward 2030 plan, a commitment for the next decade to reaching carbon net zero emissions by 2038. Key goals of this plan include reaching 100% of passenger car BEV sales in Europe and 50% of passenger car and light-duty truck BEV sales in the US by 2030.
“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, the controversial 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.”
“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,” said Vulcan Managing Director Dr Francis Wedin. “We are fully aligned with Stellantis’ decarbonization 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 off-taker, we look forward to deepening our relationship with Stellantis as a substantial shareholder in Vulcan and our Zero Carbon Lithium™ business.”
You can see a summary of Vulcan Energy’s ZCL project in this video, below, then scroll down to the comments section and let us know what you think of Stellantis’ latest investment.
SOURCE | IMAGES: STELLANTIS.