Australian Vulcan Energy signs second lithium supply agreement with Renault, Auto News, ET Auto
Australian lithium developer Vulcan Energy Resources Ltd said on Monday it had signed a second lithium supply agreement with Renault SA, locking in agreements to supply battery material for its project in Germany before an expected increase in demand.
Under the agreement, Renault will purchase between 26,000 and 32,000 metric tonnes of battery-grade lithium chemicals from Vulcan for an initial period of six years. Financial terms were not disclosed.
Vulcan, one of many companies testing a direct lithium extraction (DLE) method that uses less land and groundwater, signed an agreement in August to supply 6,000 to 17,000 tonnes of lithium per year. to Renault from its geothermal brine deposits in Germany from in 2026.
The company has already concluded lithium supply agreements with Belgian recycling group Umicore and Dutch automaker Stellantis NV, as well as with South Korean LG Chem Ltd.
The second supply agreement between Vulcan and Renault is expected to begin commercial delivery in 2026 as part of the deal, Vulcan said in a statement.
Lithium is an essential component in the manufacture of lithium-ion batteries used in electric vehicles. It has quickly gained ground as the world moves towards cleaner forms of energy.