(CercleFinance.com) – Stellantis announced on Friday that it would become a shareholder in the low-carbon lithium production company Vulcan Energy, an investment described as “highly strategic” by its managing director Carlos Tavares.
With its 8% stake for an amount of 50 million euros, the automotive giant will become the second largest shareholder of Vulcan behind Francis Wedin, the founder of the German-Australian company.
In a press release, Stellantis specifies that its acquisition will be accompanied by an extension of the initial supply agreement concluded with Vulcan, which will be extended to 10 years.
The manufacturer explains that this investment is intended to allow it to increase the production of low-emission lithium hydroxide necessary for its electrified vehicles in Europe.
The funds are intended in particular to support the development of production planned by Vulcan from its brine deposit located in the Upper Rhine Valley in Germany.
Vulcan, which already generates geothermal energy from this deposit, plans to produce lithium hydroxide without using fossil fuels and with a neutral carbon footprint.
Stellantis is now its first customer.