Lithium mining in Germany is gaining momentum

China, Australia, South America—lithium, a key raw material for car batteries, has so far come from distant parts of the world. This makes supply chains vulnerable and creates enormous dependencies. But that could soon change: The foundation for commercial lithium mining in Germany was recently laid. Soon, enough lithium is expected to be mined to supply around half a million electric car batteries per year.

For nearly 200 years, no one knew exactly what lithium could be used for. That changed abruptly in 1991: That was when the Japanese electronics company Sony launched a video camera that, for the first time, used a lithium-ion battery as its power source. Today, lithium-ion batteries are virtually everywhere: in cell phones, electric toothbrushes, cordless screwdrivers, consumer electronics, and—in electric cars.

Lithium, an alkali metal with atomic number 3, is now one of the most sought-after raw materials of all. It is primarily extracted from massive open-pit mines in Australia and China, as well as through the evaporation of lithium-rich water in South America. Either way, this method of lithium production is harmful to the environment, requires long transport routes, and thus leads to fragile supply chains. This is especially true because the further processing of lithium—so that it can serve as a raw material for batteries—takes place almost exclusively in China.

Since a car battery contains between five and 15 kilograms of lithium, depending on its size, an electric car’s carbon footprint is quite large due to the battery alone—which is why the carbon balance only turns positive after driving several tens of thousands of kilometers without fossil fuels. But now there’s a promising opportunity for that to change: with lithium extracted in a particularly sustainable manner in Germany.

“Lionheart” is the name of the project, which aims to establish a completely domestic supply chain for lithium that will then be processed exclusively in Europe. The projections are astonishing: up to 24,000 metric tons of lithium hydroxide monohydrate—the substance needed for battery production—are expected to be produced annually. That’s enough material for around half a million electric vehicle batteries.

A few months ago, Vulcan Energy finalized the overall financing package for the Lionheart project and has moved into the implementation phase. Production facilities are currently being built in Landau and Frankfurt-Höchst, where lithium and renewable energy will be produced on a commercial scale starting in the second half of 2028.

And that’s not all: In addition to the highly sought-after lithium, Vulcan Energy Resources will also generate 275 gigawatt-hours (GWh) of electricity and 560 GWh of heat—also annually and in a climate-neutral manner. How does this work? The lithium in the Upper Rhine Graben is found in thermal water layers deep beneath the Earth’s surface. To bring this lithium-rich water to the surface, the aquifers are drilled at a depth of approximately 2,500 meters, and the thermal water—which is between 150 and 200 degrees Celsius—is pumped to the surface. Here, the thermal water is first directed to a geothermal power plant, which generates electricity and heat—energy that is fed into the power grid and the district heating network.

Once the thermal water has cooled from its depth to about 70 degrees, it has reached the optimal temperature for filtering out the lithium using a special process. The lithium chloride obtained in this way is then converted into lithium hydroxide at a lithium refinery in Frankfurt-Höchst—the raw material that can then be used directly by battery manufacturers. “We aim to be the first company in Europe to produce domestic lithium and the first company worldwide to produce climate-neutral lithium hydroxide monohydrate for electric vehicle batteries,” says Francis Wedin, CEO of Vulcan Energy Resources.

So far, it looks as though this ambitious plan could come to fruition. Funding for the Lionheart project—which aims to launch and establish lithium mining in Germany—has been secured; the 2.2 billion euro capital package was approved in May. Permits for industrial-scale lithium extraction have also been granted. Five wells have already been completed, and two more are currently under construction. A total of up to 28 boreholes at seven sites are planned to extract lithium-bearing thermal brine. Incidentally, the thermal water, once stripped of its lithium, is pumped back down into the depths from which it was extracted at the end of the process.

Cost is another important factor. The process of pumping thermal water up from deep rock layers may initially seem extremely labor-intensive and therefore expensive. In fact, however, the process pays off, because it yields not only lithium but also significant amounts of energy. As a result, lithium from the Upper Rhine Graben can even be offered at a significantly lower price than lithium from other regions of the world.

Cris Moreno, Managing Director of Vulcan Energy Resources, describes the additional advantage—the geopolitical highlight of the project, so to speak—as follows: “We’ve brought the lithium supply chain to Europe. The security aspect, therefore, is that no one can take the lithium supply chain away from Europe—it’s right here in Europe.” (aum)