A new lithium extraction facility in Cornwall has been approved by the UK government with the promise of generating more than 100 jobs.
Geothermal Engineering Limited (GEL), an energy developer based in Redruth, will introduce an extraction facility at its established United Downs site, backed with an investment of £43m ($57m). The plant is expected to create around 50 direct jobs and support around 80 more across the supply chain.
The facility is part of the company’s wider Cornwall project, which includes the recent development of a commercial geothermal power plant, which generates renewable electricity by processing hot brine from the deep geothermal resources in Cornwall’s granite.
The project also hosts a lithium demonstration plant, where the same hot brine from the power plant is further processed to extract lithium carbonate, before being injected back into the ground.
With an established site in United Downs, home to the hottest and deepest onshore well in the UK, the new commercial extraction facility is the natural next step up for GEL. The company aims to produce c30,000 t/y of zero-carbon lithium carbonate.
The UK government has committed £10m to the facility, as part of its DRIVE35 Automotive Transformation Fund.
With Britain’s push to develop battery and advanced manufacturing infrastructure, the demand for critical minerals has increased, with the demand for lithium expected to surge by 1,100% by 2035.
Cornwall is understood to hold Europe’s largest lithium deposits, alongside high-grade tin, tungsten and copper – all materials needed for electrical vehicle (EV) batteries, wind turbines and other clean energy stems.
The government has highlighted Cornwall as a key region for critical mineral development, with specific interest being reserves of lithium and tungsten.
Ryan Law, CEO of GEL, said: “Lithium is fundamental to the technologies underpinning the automotive sector’s transition to zero-emission vehicles. At GEL, we are proud to be at the forefront of establishing a new UK lithium industry, demonstrating how Cornwall’s geothermal brine can provide a reliable and sustainable source of this critical mineral.”
The commercial plant is expected to begin production in 2029, producing around 1,500 t/y of technical-grade lithium carbonate – enough to power more than 180,000 typical EV batteries.
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