Vulcan Energy confirms $54m strategic placement led by BNP Paribas
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More news: Vulcan Energy confirmed that it has completed a €30 million ($53.6 million) strategic placement, led by BNP Paribas’ Clean Energy Solutions Fund with a €15 million subscription.
Vulcan said via an ASX filing on Thursday evening that a group of corporate and institutional investors participated in the remaining €15 million under the placement, including existing shareholders in Vulcan.
The placement comprised the issue of 15.8 million ordinary shares at $3.40 per share, representing a 15% discount to the last traded price on the ASX of $4.00.
Proceeds from the raise will be used to “maintain and de-risk the execution of critical path scope for development of the Phase One Lionheart Project” in Schleidberg near Landau, Germany.
Vulcan’s managing director and CEO, Cris Moreno, said: “We are delighted to receive this support from the BNP Paribas Clean Energy Solutions Fund…We remain focused and committed to delivering on our objectives for the remainder of 2025, including continuing our drilling of the first new production wells in Phase One, completion of Phase One financing, starting construction of our lithium plants, and commencing product qualification of V-LION lithium product with offtake partners.”
Vulcan Energy to undertake $54m equity raise
The news: Lithium and geothermal energy producer Vulcan Energy intends to raise €30 million ($54 million) by the issuance of new shares on the Frankfurt and Australian exchanges.
The context: Vulcan said in a statement to the ASX that the final number of new shares issued and gross proceeds to be raised are subject to finalisation, with further announcements to be made at the time.
The company is developing a geothermal and lithium extraction project called the Phase One Lionheart project in Schleidberg near Landau, Germany.
In a corporate presentation on Thursday, Vulcan said the project has a total funding package of about €2.2 billion inclusive of €1.4 billion is capex. Vulcan hopes to finalise the financing package and reach a final investment decision by the end of the year.
In December 2024, Vulcan received a €879 million conditional debt commitment from Export Finance Australia and a commercial lending group of seven banks. This included Export Development Canada, SACE, ING, UniCredit, ABN AMRO, Natixis and Bpifrance.
The project has also been backed by the European Investment Bank and the German federal government.
