Vulcan Energy Resources (ASX:VUL) reported strong production flow test performance of its LSC-1b sidetrack from the LSC-1 vertical well in the first-phase Lionheart project field development plan within the Upper Rhine Valley Brine Field in Germany, according to a Wednesday filing with the Australian bourse.

First phase involves the construction of an integrated lithium and renewable energy project aiming for production capacity of 24,000 tonnes of lithium hydroxide monohydrate, with a co-product of 275 gigawatt-hours (GWh) of renewable power and 560 GWh of heat for local consumers annually, over an estimated project life of 30 years, the filing said.

First commercial lithium production is expected in 2028, per the filing.

Shares rose more than 2% in morning trade on Wednesday.