Renault inks lithium offtake agreement with Vulcan

2nd August 2021 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Lithium developer Vulcan Energy has struck an offtake agreement with Renault Group at its Zero Carbon lithium project, in Germany.

The five-year offtake agreement secures between 6 000 t/y and 17 000 t/y of battery grade lithium chemicals.

The agreement with Renault followed a similar lithium hydroxide offtake term sheet inked with lithium-ion battery producer LG Energy Solution in July.

Vulcan on Monday said that the offtake agreement was in line with Renault Group’s ambition to offer ‘made in Europe’ cars, and following the launch of Renault ElectriCity, the most competitive and efficient production unit for electric vehicles in Europe.

Renault has set a carbon-neutral target for 2050, and its offtake agreement with Vulcan is expected to save the company some 300 kg to 700 kg of carbon dioxide for a 50-kWh battery, given that Vulcan zero-carbon footprint.

“It is important that we work with companies who share our ethos on sustainability. Renault Group is a pioneer in the electric vehicle space, with the successful introduction of truly affordable, mass market models,” Vulcan MD Dr Francis Wedin said.

“Perhaps most importantly, the number one pillar of Renault’s strategy is “Carbon neutrality - Green as a business”, with a commitment to producing carbon-free batteries and becoming carbon neutral. We look forward to a long and productive relationship between Vulcan and Renault going forward.”