Australia-listed Vulcan Energy gets $106 mln funding from German ministry (updated)

Vulcan Energy Resources

12/11/2024 07:26

(Adds details in paragraphs 1 & 4; share moves in paragraph 6)
       Nov 12 (Reuters) - Australia's Vulcan Energy Resources
 VUL.AX  said on Tuesday it had received 100 million euros
($106.42 million) in funding from the German economy ministry
for its renewable energy plant in Landau, Germany.
    The Vulcan HEAT4LANDAU project is for generating renewable
geothermal heat to support Landau's transition to sustainable
and renewable district heating, starting 2026. 
    The project is part of Vulcan's Phase One Lionheart Project,
which aims for a 24,000 metric tons of lithium hydroxide
production capacity per year, strengthening Europe's green
lithium supply chain.
    The company's Phase One Lionheart Project financing process
is on track, led by BNP Paribas, with a debt structuring group
including the European Investment Bank, and others. 
    The German Recovery and Resilience Plan funding programme is
one of the several grants under the German national government
and European Commission initiatives for which Vulcan has
applied, the company said.
    Shares of Vulcan Energy surged as much as 16.8% to a more
than 18-month high on Tuesday, before closing up 12%.
    

($1 = 0.9397 euros)

 (Reporting by Sneha Kumar in Bengaluru; Editing by Rashmi Aich)
 ((Sneha.Kumar@thomsonreuters.com;))