Lithium discovery could revive Cornwall’s industrial past as new green energy hub
A leading geothermal specialist has discovered lithium at its development projects in Cornwall, paving the way for a potential revival of the county’s industrial past as a new green energy hub.
Geothermal Engineering Limited (GEL) has found significant concentrations of lithium within the deep geothermal fluid of its facilities in United Downs, near Redruth.
It is now working with partners to trial technology to collect this key mineral for batteries, renewable projects and electrification.
This discovery could help drive the growth of a domestic lithium industry, boosting both the UK’s net zero target and critical minerals strategy – which encourages domestic production.
Jason Cheng, chief executive of Kerogen Capital – one of GEL’s financial backers – told City PM there was potentially enough lithium at the developer’s geothermal sites across Cornwall to meet a hefty chunk of the UK’s lithium demand.
He said: ‘We’re seeing that GEL’s sites could produce up to on that basis 15,000 tonnes per annum, which would be potentially a quarter of the UK needs by 2035.”
The finance boss believed the preferred extraction method – of securing lithium from the brine of geothermal processing in warehouses meant it would be more environmentally appealing to investors and the government.
He explained: “Lithium has typically been extracted using these either mining hard rock or through evaporation with large ponds. In Europe, it is just too difficult to find the land size to do that as well as the quantity of water.
“So, this is a much more environmentally friendly way of extracting the lithium – which is effectively using a plant to extract the brine through a chemical process”
Helena Bennett, head of climate policy at think tank Green Alliance, welcomed the developments – considering domestic mineral production essential to reducing China’s influence over international markets.
She told City A.M.: “The UK urgently needs to plan for the future of domestic battery production, and securing critical minerals is the first step. As China’s hold on the global mineral supply chain strengthens, it’s encouraging to know that we can source materials for electric vehicle batteries on our own soil.”
The developments will also raise morale in the domestic EV sector, which has endured the collapse and rescue of Britishvolt – with the company now operating as part of Aussie firm Recharge’s portfolio.
GEL discovered lithium while developing its flagship geothermal project in South West England – which Kerogen backed last week with £12m in funding.
Overall, the company has obtained £15m funding – including £3m from Thrive Renewables- to complete power production at the United Downs plant by 2024.
It also aiming as prepare new geothermal sites in Cornwall which have recently received planning permission.
In total, the investment will help to initiate 25 MW of capacity of renewable electricity.
Collectively, the new plants will each take approximately three years to complete, and together will produce enough electricity to power over 70,000 UK homes.