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RESOURCES VULCAN ENERGY Zero Carbon Lithium® Quarterly Activities Report December 2020 Highlights Post December 2020 Quarter to Date of Reporting • • Subsequent to the Quarter , Zero Carbon Lithium® Project's first Pre- Feasibility Study ( PFS ) demonstrated strong potential to develop a cutting edge , combined renewable energy and lithium hydroxide project , in the centre of Europe , with net zero carbon footprint . Positive post - tax NPV¹ of € 2.25B ( full project , no phasing ) ; phased option shows € 700m NPV in Phase 1 and € 1.4B NPV in Phase 2. Maiden Probable Ore Reserve of 1.12 Mt LCE at 181 mg / l Li across Ortenau and Taro licenses² . Projected to be one of the lowest OPEX lithium producers globally . December 2020 Quarter • • • • Vulcan announced an updated and reclassified Taro Indicated JORC Resource Estimation of 0.83 Mt contained Lithium Carbonate Equivalent ( LCE ) at a grade of 181 mg / l Li . The updated Taro Inferred JORC Resource Estimation³ was revised upward to 1.44 Mt contained LCE at a grade of 181 mg / l Li . The Company also announced an updated and reclassified Ortenau Indicated JORC Resource Estimation of 2.06 Mt contained LCE at a grade of 181 mg / l Li . This represented a 131 % increase in the total Upper Rhine Valley Project ( URVP ) JORC Indicated Resource Estimate , with 23 % of Vulcan's total URVP lithium - brine ( Li - brine ) Resource now in the Indicated category¹ . Vulcan's total combined URVP resource is now estimated at 15.85 Mt LCE at a grade of 181 mg / l Li ( Indicated & Inferred Resources ) , the largest JORC lithium resource in Europe , and with further growth potential . The Ortenau project was subsequently integrated into the PFS at the Vulcan Zero Carbon Lithium® Project . German Parliament and Federal Council ( Bundesrat ) enacted positive legislative amendments related to geothermal electricity feed in tariffs to further encourage geothermal energy production . Proposed new Regulation from the European Commission underpins the Company's Zero Carbon Lithium® strategy through new EU mandatory requirements on carbon footprint rules and responsibly sourced materials within lithium - ion batteries production and consumption in the EU . From 1 January 2026 , lithium - ion batteries will ASX Release 29 January 2021 ASX : VUL FRA : 6KO Highlights Aiming to be the world's first Zero Carbon Lithium® producer . Large , lithium - rich geothermal brine project , in the Upper Rhine Valley of Germany . Europe's largest JORC- compliant lithium resource . Located at the heart of the EU Li - ion battery industry . Fast - track development of project under way towards production . Corporate Directory Managing Director Dr Francis Wedin Chairman Gavin Rezos Executive Director Dr Horst Kreuter Non - Executive Director Ranya Alkadamani CFO - Company Secretary Robert Ierace Fast Facts Issued Capital : 89,041,179 Market Cap ( @ $ 8.70 ) : $ 775m Contact Level 11 , Brookfield Place 125 St Georges Terrace Perth WA 6000 Australia 08 6189 8767 Vulcan Energie Resourcen GmbH Baischstr . 8 , 76133 Karlsruhe 18 % discount rate applied for lithium division & 6 % for geothermal energy division . 2 Refer ASX announcement 15 January 2020 . 3 Refer ASX announcement 12 November 2020 . 4 Refer ASX announcement 15 December 2020 . www.v-er.com info@v-er.eu @VulcanEnergyRes