Vulcan Energy Secures Funding Foundation with Shareholder Approval

Vulcan Energy AU0000066086

A pivotal shareholder meeting held this Monday has established the financial groundwork for Vulcan Energy Resources Ltd.'s next development phase. The gathering yielded critical decisions regarding recent capital-raising activities and future equity strategy, providing clarity for investors.

During the extraordinary general meeting, shareholders voted decisively to ratify a previously completed institutional placement. The motion received strong support, passing with approximately 83% of the represented voting rights. This formal approval legally solidifies the capital injection already received by the company.

Notably, a separate resolution concerning the issuance of additional conditional placement shares was withdrawn from the agenda by management prior to the vote. Market observers interpret this move as an indication that Vulcan's immediate funding requirements are now met through the confirmed placement. The withdrawal suggests the company can avoid imminent further equity dilution via this mechanism.

Comprehensive €2.2 Billion Financing Package Backs Strategy

The shareholder resolutions are directly linked to a substantial financing framework agreed upon in December 2025. The company has secured access to a total funding envelope of up to €2.2 billion.

This package, which combines equity and debt elements, is backed by a consortium of major financial institutions:
* Total Funding Volume: Up to approximately €2.2 billion
* Key Financial Partners: BNP Paribas, acting as debt financing advisor, and the European Investment Bank (EIB) as a core lender.

The sheer scale of this commitment, which notably exceeds Vulcan's current market capitalization, highlights two key points: the significant capital intensity required for its planned lithium extraction projects, and the considerable confidence placed in the venture's feasibility by its institutional partners.

Operational Momentum: Construction Commences in Landau

Alongside these financial structuring efforts, the project is advancing on the ground. The initial groundbreaking ceremony for the combined geothermal and lithium extraction plant (G-LEP) in Landau took place in early December 2025.

This facility represents the operational heart of Vulcan's strategy to produce lithium from geothermal brines in the Upper Rhine Valley. The start of construction marks a definitive transition for the project from the planning stage into the phase of industrial implementation.

Market Reaction and Key Data

Current trading provides insight into how these developments are being received. A summary of key figures shows:

• Current Share Price (Tradegate): Approximately €2.76
• Intraday Trend (Tradegate): Positive, advancing around +3.7%
• Previous ASX Close (January 12): 4.64 AUD, slightly weaker (approx. -1.1%)
• Financing Volume: Up to circa €2.2 billion
• Major Financial Partners: BNP Paribas, EIB

Trading in Germany today reflects a brighter sentiment. After the ASX closing price of 4.64 AUD indicated a minor consolidation yesterday, the stock on Tradegate is recovering from recent lows. The price level near €2.76 implies the market is viewing the clear voting outcomes from the shareholder meeting—particularly the avoidance of the second dilutive measure—in a positive light.

Attention now shifts to the practical execution of the financing framework and continued construction progress in Landau. With partners like BNP Paribas and the EIB formally engaged and the capital increase confirmed, essential prerequisites for the project's next stage are firmly in place.