[SMM Flash News] Vulcan Energy Advances German Lithium Project as Asian Battery Makers Expand European Supply Chains

On September 3(rd), Lithium developer Vulcan Energy Resources has launched phase two of its lithium project in Germany's Upper Rhine Valley, alongside a process to bring in additional strategic investors.

Phase two, Project Ludwig, is being funded as construction begins on phase one, Project Lionheart. Vulcan will produce primarily EV battery-grade lithium chemicals using geothermal brine.

The company is seeking additional minority strategic investors at the asset level. Executive chairperson Francis Wedin said phase one investors were largely Eurocentric, while a significant portion of unsolicited interest in phase two is coming from Asia, as Asian battery and EV makers establish lithium supply chains in Europe.

CATL, the world's largest EV battery maker, raised approximately $4.6 billion in a Hong Kong listing in 2025, with proceeds primarily earmarked for a battery plant in Hungary as part of its overseas expansion strategy.