Zero-carbon lithium producer Vulcan Energy purchases 3D seismic and drilling data from Rhein Petroleum
Vulcan Energy Resources, which intends to produce a battery-quality lithium hydroxide chemical product from a combined geothermal energy and lithium resource (earlier post), will purchase 3D seismic and drilling data from Rhein Petroleum GmbH. Rhein Petroleum is an exploration and production oil and gas company with many years of experience in Germany.
The 3D seismic data consists of two surveys totalling 315 km2. Part of the dataset overlaps with Vulcan’s granted Mannheim and Lampertheim licenses, which did not form part of the company’s production plans in its Pre-Feasibility Study, while the other area overlaps with Vulcan’s other license applications.
The acquisition ties in with the use of funds from the institutional equity raise completed in September 2021 to expand and accelerate project development through increased data procurement.
Vulcan’s in-house geological engineering team will conduct studies and assessments on the data to define the next steps of project development in these areas. The new data assists with understanding of the sub-surface in the areas, allowing the team to target high brine flow zones in a precise, tailored and careful manner, therefore contributing to public acceptance.
Acquiring the 3D seismic and drilling data is consistent with Vulcan’s strategy to progress further renewable energy and lithium projects through exploration to development, to meet demand from offtakers in Europe, while providing renewable heat and power for local communities. Further updates on lithium offtakes are expected CY21.
A strength of the Upper Rhine Valley region is the extensive exploration historically conducted by oil and gas companies, and Vulcan continues to leverage the work performed by the hydrocarbons industry to advance the Zero Carbon Lithium Project. This data acquisition potentially enables us to progress projects more efficiently and cost effectively than we would otherwise be able, at a time of unprecedented demand for lithium for electric vehicles, and for renewable energy in Europe. The Vulcan team is committed to advancing renewable energy development and decarbonisation for the benefit of all stakeholders, and is on track with the development of our Zero Carbon LithiumProject, targeting phase one production in 2024.—Managing Director Dr. Francis Wedin