BASF and Vulcan Partner to Tap Geothermal Power and Green Lithium in Germany

BASF, a leading chemical company, and Vulcan Energy Resources, a developer of lithium extraction and renewable energy projects, have signed a significant agreement to explore the potential of geothermal energy at BASF's largest site in Ludwigshafen, Germany. This strategic partnership aims to achieve several key goals:

The project leverages the Upper Rhine Graben's geothermal potential. If successful, heat pumps will utilize deep geothermal sources to generate CO2-free steam, potentially reaching an output of 300 megawatts of thermal energy. This translates to an estimated 4 million metric tons of steam produced annually for BASF, significantly reducing their CO2 emissions by around 800,000 metric tons.

The geothermally heated water in the Upper Rhine Graben is rich in lithium, a critical component for lithium-ion batteries in electric vehicles, laptops, and smartphones. Vulcan plans to build a lithium extraction plant at BASF's site, using an efficient adsorption-type direct lithium extraction (A-DLE) process powered by the geothermal heat. This approach aims to produce green lithium, minimizing environmental impact.

Beyond industrial applications, the project explores the possibility of utilizing geothermal energy for district heating in surrounding urban areas like Ludwigshafen and Frankenthal. This could play a crucial role in transitioning these communities to sustainable heating solutions.

This partnership highlights strong collaboration between various stakeholders. Committed to achieving carbon-neutral energy goals at their Ludwigshafen site, BASF sees this project as a significant step towards a sustainable future. As a leader in carbon-neutral lithium exploration, Vulcan brings expertise in geothermal energy utilization and lithium extraction with minimal environmental impact.

Daniela Schmitt, Rhineland-Palatinate's Minister for Economic Affairs, expressed strong support for the project, recognizing its potential to position Germany as a leader in sustainable industrial development.

Stadtwerke Frankenthal and Technische Werke Ludwigshafen are actively involved, evaluating the feasibility of using geothermal energy for district heating in their communities.

Uwe Liebelt, President of European Verbund Sites at BASF said, "We want to supply our Ludwigshafen site with CO2-free steam in the future. Deep geothermal energy offers immense potential for our energy transformation."

Thorsten Weimann, Chief Development Officer at Vulcan Energie Ressourcen GmbH said, "This project represents a major contribution to reducing CO2 emissions. Supplying renewable heat to Upper Rhine Valley companies is central to our development strategy.”

Daniela Schmitt, Rhineland-Palatinate Minister for Economic Affairs said, "It's encouraging to see the private sector develop innovative technologies. By leveraging domestic energy resources, we can reduce dependency on imports.”

The initial phase involves conducting seismic surveys in the Upper Rhine Graben to explore geothermal conditions in detail. Vulcan will lead this exploration process, with initial work expected to begin in early 2025.

This Vulcan-BASF partnership presents a promising example of how collaboration between industry, government, and regional stakeholders can drive the transition towards a more sustainable future. By harnessing geothermal energy and establishing a green lithium source, this project offers significant environmental and economic benefits for the region.