Vulcan Energy Resources (ASX:VUL) has bolstered the Mineral Resource Estimate (MRE) for its Zero Carbon Lithium Project in the Upper Rhine Valley Brine Field (URVBF) of Germany.
The $489.85 million market capitalisation company reports its URVBF lithium resource — which it already touted as the largest lithium resource in Europe — has increased to 27.7 million tonnes of contained lithium carbonate equivalent (Mt LCE) @ 175 milligrams per litre (mg/L) from 26.6Mt LCE @ 174mg/L.
This upgrade reflects a larger resource in the phase one Lionheart area.
Vulcan adds that its URVBF area now comprises 11.2Mt LCE @ 179mg/L of measured and indicated resources, of which 4.6Mt LCE @ 181mg/L lithium is in the phase one Lionheart area and 2.11Mt LCE is now in the measured category.
The company says this comes as its phase one Bridging Study nears completion, currently slated for November 2023, after which phase one financing will begin, with the company seeking project-level strategic equity and debt.
A market-sounding process for debt financing has already been completed with ‘positive’ results, according to Vulcan.
Several key value improvements not identified in the Definitive Feasibility Study undertaken in February have now been identified, including driving further economies of scale through reductions of the planned 2 lithium extraction plants (LEP) and 2 geothermal power plants to one central LEP and geothermal plant with an unchanged 24 thousand tonne per annum (ktpa) lithium hydroxide equivalent capacity.
While the final stages of the phase one Bridging Study are being completed, Vulcan is progressing with work at its new drill site in the Insheim licence within the phase one upstream area.
The aim of the Bridging Study is to demonstrate a ‘higher’ definition of engineering, at a Class 2 estimate, sufficient to secure an engineering, procurement, and construction management (EPCM) contractor for phase one.
The upstream area for phase one of the Zero Carbon project comprises Lionheart district, consisting of 3 licence areas.
Vulcan Energy Resources aims to help decarbonise the transition to electric mobility through its Zero Carbon Lithium Project. As of 30 June 2023, the company had $147.696 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Vulcan Energy Resources
