Highlights

• Commercial-scale VULSORB® manufacturing has commenced in Germany to support Lionheart’s future extraction operations.
• Industrial demonstration work recorded lithium-recovery efficiency of up to 95% across thousands of operating cycles.
• Lionheart targets annual output of 24,000 tonnes of lithium hydroxide monohydrate from the second half of 2028.

Vulcan Energy Resources Limited (ASX: VUL) announced a major technology update on 21 September 2026, while its shares traded at a current market price of AU$2.230 following a gain of 0.45%. The company has moved its proprietary VULSORB® lithium-extraction material into commercial-scale manufacturing, supporting preparations for the Lionheart Project. The milestone strengthens project readiness, although further execution progress will determine whether the stock can sustain its momentum. VULSORB® Reaches Commercial Scale

VULSORB® is an aluminate-based adsorbent developed to recover lithium selectively from underground brine. Vulcan controls both the material’s formulation and its manufacturing method, giving the company ownership of an important component within its Adsorption-type Direct Lithium Extraction process.

The technology has undergone several years of laboratory assessment and industrial demonstration. Across thousands of operating cycles, it achieved lithium-extraction efficiency of up to 95%. Vulcan also used its demonstration facilities to produce high-purity lithium chloride and battery-grade lithium hydroxide.

Following these results, the company has begun larger-scale manufacturing through a European toll-production partner.

Lionheart Preparation Moves Forward

Vulcan expects to manufacture VULSORB® over the next 18 to 24 months. The initial output will be used to fill the lithium-extraction columns required for Lionheart’s planned commissioning during the second half of 2028.

Lionheart is being developed in the Upper Rhine Valley, spanning areas of Germany and France, as a combined lithium-production and clean-energy project. At full capacity, the project is designed to manufacture 24,000 tonnes of lithium hydroxide monohydrate annually, which Vulcan estimates could meet the battery needs of about 500,000 electric vehicles.

Lionheart is expected to supply local users with around 275 GWh of clean power and 560 GWh of thermal energy each year, while operating for an anticipated period of nearly three decades.

Western Supply Chain Strengthens

Vulcan’s control over VULSORB® provides an alternative to Chinese direct-lithium-extraction technology. This position has become more relevant following China’s introduction of export controls and stricter licensing conditions for certain technologies.

The company intends to deploy VULSORB® across Lionheart, Project Ludwig and other developments in the Upper Rhine Valley. Selected licensing opportunities may also be pursued through Vulcan’s VULTEC technology division.

Outlook

Vulcan’s immediate focus is to build the VULSORB® inventory needed for Lionheart’s extraction columns before commissioning begins. Successful manufacturing, financing, construction and operational delivery will remain important for the project’s progress. Although the latest announcement reduces part of the technology and supply-chain uncertainty, the investment case remains exposed to development delays, funding requirements and lithium-price volatility.

Note- All data presented is based on information available at the time of writing.

Disclaimer for Kapitales Research

The materials provided by Kapitales Research, including articles, news, data, reports, opinions, images, charts, and videos ("Content"), are intended for personal, non-commercial use only. The primary goal of this Content is to educate and inform readers. This Content is not meant to offer financial advice, nor does it include any recommendation or opinion that should be relied upon for making financial decisions. Certain Content on this platform may be sponsored or unsponsored, but it does not serve as a solicitation or endorsement to buy, sell, or hold any securities, nor does it encourage any specific investment activities. Kapitales Research is not authorized to provide investment advice, and we strongly advise users to seek guidance from a qualified financial professional, such as a financial advisor or stockbroker, before making any investment choices. Kapitales Research disclaims all liability for any direct, indirect, incidental, or consequential damages arising from the use of the Content, which is provided without any warranties. The opinions expressed by contributors or guests are their own and do not necessarily reflect the views of Kapitales Research. Media such as images or music used on this platform are either owned by Kapitales Research, sourced through paid subscriptions, or believed to be in the public domain. We have made reasonable efforts to credit sources where appropriate. Kapitales Research does not claim ownership of any third-party media unless explicitly stated otherwise.

Customer Notice:

Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.Disclosure: The information mentioned above has been sourced from the company reports and a third-party database, i.e. Koyfin. Investors are advised to use strict stop-loss to protect their investments in case of any unfavorable/uncertain market events.

Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com.au