Vulcan Energy Resources Limited (Vulcan; ASX: VUL, FSE: VUL, the Company) is pleased to announce it has entered into a binding collaboration agreement with Enel Green Power(EGP), the largest geothermal energy producer in Italy,to develop its Italian project and to explore future opportunities for cooperation.

Vulcan and EGP have signed a binding collaboration agreement to explore and develop Vulcan’s Cesano license in Italy through a joint scoping study. Both companies also agreed to evaluate the opportunity to cooperate on other geothermal lithium projects in Italy.

• EGP is part of the Enel Group dedicated to the development of energy generation from renewable sources. EGP is a global leader in geothermal energy, with plants in Italy, Chile and the United States.

• Vulcan and EGP will assess the potential of Vulcan’s Cesano license in a step-wise approach, starting with a scoping study. EGP has already previously explored and drilled a number of wells in the Cesano area and gathered relevant data direct from local reservoirs.

• Vulcan and EGP will bring together their respective lithium extraction and geothermal expertise to explore the development of geothermal lithium projects in the area and potentially in other locations in Italy.

• Vulcan’s Cesano Permit extends over an area of 11.5 km2, 20 km NNW of Rome. The area hosts wells drilled by Enel Group which yielded hot geothermal brine with high lithium values (See ASX announcement on 24 January 2022 for more information).

• The Cesano license area will become co-owned 50:50 by Vulcan and EGP

Vulcan’s Managing Director Dr Francis Wedin commented, “Vulcan is aiming to increase the future supply of our sustainable lithium product in response to significant customer demand, as we leverage our extensive experience in lithium extraction from heated brines to have a materially decarbonizing effect on global electric vehicle supply chains. By growing and diversifying our project development portfolio, we ultimately aim to develop a globally significant Zero Carbon LithiumTM business focused on Europe, for Europe.
“We welcome the opportunity to collaborate with Enel Green Power on the development of geothermal lithium. As the largest producer of geothermal renewable energy in Italy, Enel Green Power is a leader in its field and has strong, positive relationships in the region. We look forward to working with Enel Green Power to make a lasting and sustainable contribution to the local community.