Vulcan Energy Resources added Volkswagen as a customer for the developer’s lithium hydroxide for automotive batteries, Reuters reports.
The agreement has an initial term of five years and commercial delivery is scheduled to begin in 2026.
Volkswagen plans to build six battery cell plants by 2030 in a bid to become the top seller of EVs in the world.
Vulcan also has lithium supply deals with automakers Stellantis and Renault.
Vulcan uses geothermal energy to extract its lithium from Germany’s Upper Rhine Valley region.
Considered environment-friendly, the German-Austrian company says its extraction of lithium uses less energy, land and groundwater than brine evaporation ponds and open-pit mines.
