Why Vulcan Energy Chose ABB for Renewable Lithium Project

Vulcan Energy has named ABB as its main electrical contractor for the initial phase of its Lionheart Project, a major renewable lithium facility located in Germany's Upper Rhine Valley.

The development could become one of Europe's first fully-integrated operations to produce lithium while also generating renewable energy.

The agreement involves a package of three contracts valued at over US$50m under which ABB is responsible for delivering the project's entire electrical infrastructure.

This remit includes powering Vulcan’s Lithium Extraction Plant in Landau, the Central Lithium Plant in Industriepark Höchst, near Frankfurt, and the surrounding well sites.

ABB will manage the full electrical scope of the project, from the high-voltage grid connection, down to building-level processes, ensuring a consistent and reliable power supply for the facility's operations.

Strategic partnership for EV supply chain

The partnership between Vulcan Energy and ABB could serve as a model for integrating clean energy production with advanced electrification.

Björn Jonsson Global Business Line Manager for Mining & Materials at ABB explained the project’s broader implications: “The Lionheart Project is a blueprint for how clean energy and advanced electrification go hand in hand.

“We are building the foundations for a stronger European battery supply chain, helping to meet growing demand for electric vehicles at a crucial point in the transition to clean mobility.”

The Lionheart Project is set to produce 24,000 tonnes of lithium hydroxide monohydrate (LHM) each year. This refined lithium is a key component in battery manufacturing and the facility's output is projected to be sufficient to power approximately 500,000 electric vehicles annually.

Vulcan's integrated approach combines this lithium extraction with the generation of 275 gigawatt-hours (GWh) of electricity and 560 GWh of heat contributing to both its industrial needs and wider clean energy objectives.

Offtake agreements and project funding

The facility’s integrated nature means Vulcan can supply lithium and renewable energy from a single location, which may offer a more sustainable option for downstream manufacturers in the battery supply chain.

Vulcan has secured ten-year offtake agreements to supply lithium from 2028 to major firms including Stellantis, LG Corp, Umicore and Glencore.

Speaking to Reuters, Francis Wedin, Executive Chair of Vulcan Energy, said construction was now fully funded and set to begin immediately. He confirmed the project would take two-and-a-half years with full-scale operations expected once commissioning is complete.

The project is supported by a multi-layered financing package of US$2.56bn combining equity grants and debt. The financing is backed by 13 institutions including the European Investment Bank, five export credit agencies and seven commercial banks.

Vulcan also received US$122m in grants from the German government.

ABB technology to underpin production

The partnership builds on a Memorandum of Understanding signed in April 2024 which was established to streamline engineering, optimise supply chains, and reduce project costs.

Cris Moreno, Managing Director and CEO at Vulcan Energy, comments: "ABB’s expertise and systems give us the certainty to scale efficiently. Together, we are establishing a robust model for industrial lithium production to meet market momentum while enabling battery supply chain decarbonisation at scale.”

ABB’s scope of work covers high-, medium-, and low-voltage electrical systems including switchgear transformers protection equipment and uninterruptible power supplies.

By managing the design, engineering, manufacturing and delivery, ABB will ensure that all aspects of the electrical performance align with safety and sustainability standards.

Its MNS low-voltage switchgear, which is widely used in mining and industrial sites, will be a central part of the infrastructure. As Vulcan moves towards full-scale construction, ABB's electrical systems are set to play a crucial role in delivering power reliably and safely to the landmark project.