Stellantis and Vulcan Energy Resources Limited have signed a binding agreement for the first phase of a multi-phase plan to develop new geothermal projects to decarbonize the Stellantis industrial site in Rüsselsheim, Germany, where the DS4 and Opel Astra cars are manufactured. According to current calculations, the project could meet a considerable portion of the industrial site's yearly energy needs beginning in 2025.

The first phase of the project, which will take place on the northern outskirts of the Vulcan area in the Upper Rhine Valley, will comprise a pre-feasibility study by Vulcan on the development of geothermal plants at the Stellantis site. If the first phase is successful, the second phase will focus on drilling operations and more advanced research and development. Stellantis will seek funding for 50% of the project's development, which the local government also supports.

Stellantis and Vulcan will strive to produce clean power and deliver it to the grid for internal and external use per the German Renewable Energy Act (EEG) while also producing heat that will be transported to the Stellantis manufacturing facility.

"This collaboration with Vulcan reaffirms our commitment to promoting renewable energy solutions across our organization," Stellantis CEO Carlos Tavares remarked. "It is one of several projects we have launched to achieve results, impacts, and sustainability following our Dare Forward 2030 strategic plan."

Stellantis is dedicated to establishing the industry standard in the battle against climate change, with a goal of zero emissions by 2038 and a 50% reduction by 2030. Stellantis' partnership with Vulcan Energy is the company's first prospective usage of sustainable geothermal energy aimed at decarbonizing and localizing energy supply at an industrial site.

"Vulcan's main aim is to decarbonize," said Francis Wedin, Managing Director, and CEO of Vulcan. "Vulcan plans to assist Stellantis, our major lithium buyer and one of our largest shareholders, in decarbonizing its operating companies in Europe. While our primary focus remains on our geothermal lithium deposits in the central Upper Rhine Valley Brine Field, this project provides a complementary opportunity to expand our development pipeline to some of the Upper Rhine Valley's outlying areas with the help of industrial partners such as Stellantis."

"I am happy with the partnership launched today between Stellantis and Vulcan Energy," stated Boris Rhein, Minister-President of Hesse, Germany. "This is wonderful news for Hessen because it demonstrates that climate preservation and pioneering industrial development through innovative ideas are entirely compatible in our state."

The partnership with Stellantis further expands Vulcan's effect on the decarbonization of the European electric vehicle market, complementing the Zero Carbon Lithium project's removal of carbon emissions and delivering shareholder value.


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