LEOP starts LiCl production and delivers solid results

Vulcan Energy started the production (SOP) of the first Lithium Chloride (LiCl) atVulcan’s demo plant (LEOP) in Landau. The production is non-commercial and isintended to facilitate Vulcan’s commercial operational readiness, as it will be utilizedfor optimization, operational training and product qualification. However, it marks amajor milestone as it already replicates efficiency data from the pilot plant, showingover 90% (up to 95%) lithium extraction efficiency. Meanwhile, Vulcan is awaiting adecision on the proposed European Investment Bank (EIB) financing. Pendingcompletion of due diligence, Vulcan could obtain a financing up to EUR 500m. With thefinancing currently under way, the company is preparing for construction of the commercial sites. Our recommendation remains BUY with a PT of EUR 9.90