Contract with Vulcan Energy
Opel parent company Stellantis wants to build electric cars with climate-friendly batteries
Opel parent company Stellantis has announced electric cars with climate-friendly batteries (symbol photo)
Although electric cars do not emit any climate-damaging CO2, their manufacture is not climate-friendly. This is where Stellantis wants to start. The Opel parent company wants to build electric cars with climate-friendly batteries in the future.
Stellantis has signed an agreement with Vulcan Energy to secure dozens of tons of lithium hydroxide for the production of electric cars. The company announced on Monday. As part of a five-year contract, Vulcan Energy will supply a total of 81,000 to 99,000 tons of lithium hydroxide from 2026, which is not to be extracted from fossil fuels but from geothermal energy. The aim is to minimize water consumption and reduce the formation of carbon in the supply chain for battery metals. Vulcan Energy is carrying out a project in Höchst on the Upper Rhine.
The contract is part of part of a Stellantis electrification strategy. The car manufacturer, which includes Opel, Fiat, Jeep and Citroën, wants to use lithium hydroxide for the production of batteries for electric cars in Europe.
Stellantis wants to promote electric car production
Stellantis wants to invest more than 30 billion euros in electromobility and software development by 2025. More than 70 percent of its vehicle sales in Europe and over 40 percent in the USA are said to be low-emission vehicles.
“Safe, clean and affordable mobility is a strong expectation of our society and we are determined to deliver,” said Michelle Wen, Stellantis’ chief purchasing and supply chain officer. “The final off-take agreement with Stellantis is in line with our mission to decarbonise the supply chain for lithium-ion batteries and electric vehicles,” said Wedin.
Contract also between Renault and Vulcan Energy
Vulcan Energy had previously signed a similar supply contract with the Renault Group. As the companies announced in August, Vulcan Energy plans to deliver 6,000 to 17,000 tons of lithium chemicals to the carmaker annually from 2026 as part of a five-year contract.
Sources:Stellantis press release, Renault Group press release