Stellantis Enhances Electric Outlook with $100 Million Investment in CTR

Prominent multinational automaker Stellantis N.V. has unveiled a substantial investment exceeding $100 million in Controlled Thermal Resources Holdings (CTR), a notable producer of battery-grade lithium. This strategic move aims to propel the advancement of a geothermal lithium project situated in California and foster the decarbonization of its battery electric vehicle (BEV) supply chains.

The infusion of funds will be directed toward the expansion of CTR's Hell's Kitchen Project, widely acknowledged as the most extensive geothermal lithium endeavor. This initiative is set to harness its comprehensive resource potential to generate an annual output capacity of 300,000 metric tonnes of lithium carbonate equivalent. The lithium derived from this endeavor will render Stellantis vehicles eligible for consumer incentives under the U.S. Inflation Reduction Act (IRA), further promoting the adoption of battery electric vehicles.

Integral to the strategy, the Hell's Kitchen project devised by CTR revolves around the recovery of lithium from geothermal brines using renewable energy and steam. This integrated approach is meticulously designed to produce battery-grade lithium products while entirely circumventing the need for conventional methods such as evaporation brine ponds, open pit mines, and fossil-fueled lithium processing.

Carlos Tavares, the CEO of Stellantis, articulated the core principle underlying this ambitious venture, stating, "The bedrock of our pioneering commitment to decarbonization encompasses eco-friendly production and sustainable sourcing as the cornerstones underpinning our electric vehicles. The recent partnership with CTR stands as a significant stride towards our dedication to our clientele and the environment, as we strive to provide environmentally sound, secure, and economical mobility solutions in North America."

Under the terms of the collaboration, CTR is slated to supply Stellantis with battery-grade lithium hydroxide monohydrate, commencing from the year 2027. In an endeavor to further solidify their alliance, the two entities have chosen to expand their initial supply agreement, which was originally inked in June. In light of this expansion, CTR will notably enhance its supply commitments from the initial projection of 25,000 metric tons of battery-grade lithium hydroxide monohydrate (LHM) to a substantial scale of up to 65,000 metric tons of battery-grade LHM annually. This expanded collaboration is slated to extend over a decade.

This strategic engagement between Stellantis and CTR underscores the automotive industry's resolute drive towards sustainable innovation and the integration of cleaner technologies. By fostering the development of geothermal lithium and enhancing the viability of battery electric vehicles, this alliance signifies a tangible stride toward reducing environmental impact and fostering more responsible mobility solutions.