EQS-News
Environmental and Social Impact Assessment completed for Phase One ZERO CARBON LITHIUM Project
- Environmental and Social Impact Assessment completed for Phase One ZERO CARBON LITHIUM Project.
- Project aims to meet Europe's battery electric vehicle critical raw material needs.
- ESIA report shows positive impacts, including renewable heating provision and carbon neutral lithium production.
EQS-News: Vulcan Energy Resources Limited / Key word(s): ESG/Study results Environmental and Social Impact Assessment completed for Phase One ZERO CARBON LITHIUM Project |
Vulcan Energy Resources Limited (Vulcan, ASX: VUL, FSE: VUL, the Company) announces that its Environmental and Social Impact Assessment (ESIA) for Phase One of its Zero Carbon Lithium Project (Project) has been completed by ERM. The ESIA is a prerequisite to the raising of sustainable or “green” debt finance and is an important third-party validation of the Project’s sustainability credentials.
Vulcan is advancing Phase One of its ZERO CARBON LITHIUM Project: the first integrated project delivering renewable energy and lithium, from Europe for Europe. In doing so, Vulcan aims to:
- Meet Europe’s battery electric vehicle critical raw material needs.
- Provide affordable, baseload renewable energy to local communities.
- Generate thousands of direct and indirect jobs linked to the energy transition, decarbonisation, and electrification of transport.
Key outcomes of the ESIA report:
- The environmental and social baseline, impact assessment, and cumulative impact assessment completed by ERM is in line with lenders’ requirements to ensure a level of environmental performance prior to the furnishing of debt finance, e.g. the International Finance Corporation (IFC) Performance Standards on Environmental and Social Sustainability, and the Equator Principles (EP4).
- ESIA notes there are multiple positive impacts of the Project, including renewable heating provision for local communities, and carbon neutral lithium production to decarbonise the lithium supply chain, in a world leading first for the industry.
- Other positive impacts noted in the ESIA included:
- The creation of numerous energy transition jobs, as well as ongoing local innovation and research in green technologies;
- the Project is being developed entirely on industrial and farming land, with no material negative impact to the local environment, and farming activities continuing uninterrupted; and
- there are no potential impacts of the Project classed as greater than “minor” post-mitigation; with most impacts classed as “insignificant”, during the construction, operation and decommissioning phases.
- An Environmental and Social Management Plan (ESMP) has been created in advance of construction start, in line with the ESIA recommendations and industry best practice.
- The ESIA and ESMP, key components towards the provision of green financing, will be integrated into Vulcan’s Phase One project-level debt and equity financing process, which has been initiated.