German geothermal project may see world's first carbon-neutral lithium

A geothermal extraction project in Germany is set to produce the world's first fully certified carbon-neutral lithium, a key mineral in the development of car batteries and other electronics.

The project will see Australia's Vulcan Energy team up with British traceability specialists Circulor with the intention of making the lithium value chain fully traceable and dynamic in what the two firms describe as "a first for the sector."

Read more: General Motors partner with startup for lithium-battery development

The partnership plans to offer lithium-ion batteries a far more sustainable future as the world looks to shift away from carbon-intensive manufacturing - a large last hurdle in the way to fully green engines.

It will also help to ensure European automakers meet their sustainability objectives for traceability and CO2 transparency.

Production is planned to start in 2024, following a pilot project. Vulcan plans to produce both renewable geothermal energy and lithium hydroxide for batteries in Germany's Upper Rhine Valley, which it claims can "satisfy Europe's needs for the electric vehicle transition, from a zero-carbon source, for many years to come."

However, sceptics have questioned whether geothermal lithium production can become economically viable, with local figures opposing the idea over earthquake fears.

Australia is currently the dominant force in lithium mining, followed closely by Chile, Argentina and China.

The world's largest lithium deposits are concentrated in three South American countries: Bolivia, Chile and Argentina, which together represent 60% of currently available resources.

Read more: Galp buys 10% stake in Portugal lithium project

Lithium mining in this region has become associated with severe water risks in an area that is already one of the driest places on Earth.

Mining pulls up salty brine from reservoirs under the desert, which have rendered drinking water sources unusable.

Back to Homepage

Back to Metals & Mining

Back to Transportation