Vulcan Energy has reached a major milestone with the Final Investment Decision (FID) for Phase One of its Lionheart lithium and renewable energy project in Germany’s Upper Rhine Valley. The decision follows the securing of an impressive €2.2 billion financing package, fully funding construction and development of this flagship European project.
Backed by strong support from European and German government agencies, commercial banks, strategic industry partners, and leading investors, the financing marks one of the largest commitments to a domestic, sustainable lithium project in Europe. The package includes €1.1 billion in senior debt from a consortium of 13 financial institutions including the EIB and significant equity investments from HOCHTIEF, Siemens Financial Services, Demeter, and the German Federal Government’s KfW Raw Materials Fund. In addition, the European Investment Bank (EIB) invested €250 million.
European Commission commits to accelerate CRM projects through RESourceEU
The news comes as the European Commission publishes its RESourceEU Action Plan to amplify efforts to secure the EU’s supply of critical raw materials, such as rare earth elements, cobalt or lithium.
The Commission will accelerate EU-relevant projects by mobilising up to €3 billion with the EIB over the next 12 months and removing regulatory bottlenecks and fast track permitting for projects given the “Strategic Projects” label which includes Vulcan’s lithium extraction project in Germany.
Lionhart project execution
With FID now complete, Vulcan will move immediately into project execution. The first phase of Lionheart is set to deliver homegrown, low-carbon lithium and renewable energy, strengthening Europe’s battery and electric mobility value chain.
Cris M., Managing Director and CEO of Vulcan Energy, highlighted the significance of this step: “Securing this financing package and taking a positive FID is a significant achievement in the history of Vulcan Energy. It will allow the company to transition from development phase into execution phase with the construction of the commercial scale supply chain for Lionheart.”
This decision marks an important step toward a more resilient and sustainable European energy and e-mobility ecosystem, one that InnoEnergy is proud to champion alongside its industrial partners.
