The Vulcan Energy Resources Ltd (ASX: VUL) share price is on the move on Monday morning.
At the time of writing, the lithium explorer's shares are up 5% to $8.79.
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Why is the Vulcan Energy share price surging higher?
Investors have been bidding the Vulcan Energy share price higher today following the release of an announcement.
According to the release, Vulcan Energy has been granted a new exploration license for geothermal energy, geothermal heat, brine, and lithium in the Upper Rhine Valley of Germany for three years.
The company notes that the license covers a 108km squared area considered to be prospective for geothermal and lithium brine.
Vulcan Energy's geological team now is reviewing existing data over the area, with a view towards future resource definition, and addition to the total mineral resource of the Zero Carbon Lithium Project, which is already the largest lithium resource in Europe.
From this resource, Vulcan Energy believes it can satisfy Europe's needs for the electric vehicle transition with net zero greenhouse gas emissions for many years to come.
Management commentary
Vulcan Energy's Managing Director, Dr. Francis Wedin, was pleased with the news.
He commented: "The unique experience of the GeoT team, now part of Vulcan, has been instrumental in identifying areas such as this which are prospective for geothermal lithium mineralisation in the Upper Rhine Valley."
"The newly granted exploration license will form part of our plans to grow our unique Zero Carbon Lithium Project, driven by high customer demand and an increasingly widely-held industry view that combined geothermal energy and sustainable lithium projects will be the preferred choice of lithium chemicals supply for the automotive industry in the years to come, due to their unique ability to produce lithium with no fossil fuels and net zero greenhouse gas emissions," he concluded.
The Vulcan Energy share price is now up 220% in 2021.
