Announcement of a lithium refining project near Strasbourg, France
A French company has announced plans for France’s first lithium refining plant exploiting lithium resources from geothermal brines in the Alsace region of France.
In a shared version already in June 2022, the company viridian announced the construction of a lithium refining plant in Lauterbourg. A first in France. be whereoperational by the end of 2025, the group shows the desire to become a key player in the production of lithium for Europe.
The Strasbourg company was created in November 2021 and announced its plans for the Lauterbourg site in June 2022.
Viridian plans to establish itself at the level of the ports of Lauterbourg, belonging to the Autonomous Port of Strasbourg (NOT). Rémy Welschinger, CEO of the company, explains this choice: “In Lauterbourg, we have privileged access to the Rhine. The site is already largely developed and has all the necessary industrial permits, except those at the chemical level. Enough to move the project forward quickly.
Having industrial permits upstream makes it possible to avoid carrying out impact studies. A real time saver for the builder.
A tight schedule
Two major steps still await Viridian before it can definitively launch its production of lithium hydroxide by the end of 2025. First, the company has launched a financial feasibility study over the next twelve months. Once the results have been obtained, the objective is to recover the necessary funds during the second half of 2023. The total cost of the plant is estimated between 160 and 180 million euros. Construction is expected to begin in late 2023 and take approximately two years.
By the end of 2025, Viridian plans to produce 25,000 tons of lithium hydroxide per year. “In concrete terms, with 25,000 tonnes of lithium hydroxide, we can build around 500,000 city-type cars”, explains Rémy Welschinger.
By 2031, the stated objective is to open three additional production lines on the site, which would quadruple production and make it possible to reach 100,000 tonnes of lithium hydroxide per year. By reaching this production capacity, Viridian could supply approximately 20% of the European market by 2030. Within ten years, European lithium demand is estimated at 500,000 tons per year, more than the current production of the world market, which amounts to 475,000 tons. over a year.
The desire to have the lowest carbon intensity
Behind these objectives, there is the ambition to become the world leader in the production of lithium hydroxide. Where Viridian wants to stand out from its competitors is through its low carbon production. It starts with the choice of the raw material.
There are two ways to extract raw lithium in the world. The first is to extract ore from mines, particularly in Australia and Latin America. The problem is that the lithium concentration is quite low, around 1%. And the extraction is very energy intensive. This technique represents 60% of the world supply.
The second method relies on brine extraction and is done mainly in Latin America. Concretely, brine and a mixture of water and various chemical elements including lithium. Once extracted, it dries for several months in the open air, forming what looks like salt marshes. This process is five times cleaner than mining.
Next comes the refining of lithium into lithium hydroxide. Viridian wants to source brines, the least energy-intensive method. And for the transformation of Lauterbourg, which requires chemical treatment and large quantities of electricity, the group intends to rely on the French energy mix. The production of electricity in French nuclear power plants is considered to emit little CO2. “Through these raw material supply choices associated with the French energy mix, we will produce lithium hydroxide with the lowest carbon intensity in the world. We really think we are providing a realistic solution”, underlines the CEO of Viridian.
A booming market
By setting up in Lauterbourg, Viridian will become the first refined lithium production plant in France. Nowadays, 60% of lithium is refined in China. “The lithium industry barely existed 20 years ago. It’s a bit like oil in the 20th century. The majority of people were digging in the ground looking for black gold. The smart ones understood that refining had to be controlled. It’s a bit the same thing today,” explains Rémy Welschinger.
On June 8, the European Parliament passed a text prohibiting the sale of thermal vehicles in 2035. Something to delight the lithium and electric car industry. However, the European Union hardly extracts the new white gold from its basements. It is totally dependent on its imports.
France has lithium reserves, particularly in Alsace, Auvergne and Brittany. However, no exploitation exists to date. Until then, there were no real economic opportunities, the lithium market being quite recent. Viridian will therefore have to source from Latin America.
Alsace: future lithium industry?
In December 2021, the first kilos of battery-grade lithium were extracted and produced in Alsace during the EuGeLi experimental project in Soultz-Sous-Forêts. “The objective of the project was to extract lithium from groundwater before reinjecting it while exploiting the geothermal resource”, indicates the Bureau of Geological and Mining Research (BRGM).
This experiment was part of a three-year project aimed at developing lithium production in the Rhine ditches area, in France and Germany. The first results suggest a large deposit of lithium which could guarantee 10 to 30% of European needs by 2030.
The north of Alsace in particular is an area with high geothermal potential. This area contains geothermal brines containing lithium. Several companies, including Electricité de Strasbourg and Lithium from France SAS , are interested in the exploitation of the area. As such, Électricité de Strasbourg benefits from an exclusive license to search for lithium mineral substances via An order issued on April 4, 2022 by the Ministry of the Economy. For a period of five years, the company will be able to search for lithium over an area of 423 km 2 .
Two flats for Alsatian lithium
More local sourcing prospects for Viridian plant? Rémy Welschinger is cautious. According to him, there are two short-term drawbacks to Alsatian lithium, in particular due to the use of geothermal energy to raise the brine. Viridian’s CEO shares his reservations: “Over the next five years, the amount of lithium mined will be minimal. You have to do things well. The way in which Fonroche drilling ended by the triggering of earthquakes is more than damaging. And then Alsatian brines are five to ten times poorer in lithium than those of South America. For the moment, no process bodes well for financial stability for the Alsatian industry. I hope I’m wrong, but for now, that’s how I see it. ”
Source: Rue89 Strasbourg, Company press release