Weardale Lithium has secured grant funding through the UK Government's DRIVE35 Scale-Up: Feasibility Studies competition, supporting the next phase of development at its geothermal lithium project in County Durham.

The £4 billion DRIVE35 programme, delivered by the Department for Business and Trade in partnership with the Advanced Propulsion Centre UK (APC) and Innovate UK, is designed to accelerate investment in zero-emission vehicle technologies and strengthen the UK's end-to-end automotive and battery supply chain.

The grant funding provided by UK Government will enable Weardale Lithium to undertake a detailed feasibility study to map its geothermal lithium-bearing brinefield within the North Pennine Orefield, de-risking future commercial deployment of Direct Lithium Extraction (DLE) technology and informing long-term wellfield design and commercial production strategy.

Lithium is a critical mineral for lithium-ion batteries used in zero-emission electric vehicles and energy storage systems. The UK Government's 2025 Critical Minerals Strategy set out a roadmap to establish competitive domestic production of lithium raw materials.

By advancing subsurface characterisation and technical modelling, the feasibility study represents an important step towards establishing a domestic source of battery-grade lithium carbonate, reducing reliance on imported raw materials and strengthening the resilience of the UK's EV manufacturing base.

The project is strategically positioned within the North East, a region already home to significant automotive and battery manufacturing capability, enabling the development of a locally integrated 'borehole-to-battery' supply chain.

The £0.7m feasibility study project will refine and de-risk the approach taken for wellfield scale-up to cashflow positive production. Among the workflows, the project will include exploration to define fracture networks hosting lithium-bearing brines.  The interpretation will be utilised to refine the existing 3D geological model and optimise wellfield development for future commercial production.

Stewart Dickson, CEO of Weardale Lithium, said: 
"Securing support through the DRIVE35 Scale-Up programme is an important milestone for Weardale Lithium and for the development of a secure, domestic lithium supply in the UK.

This funding enables us to undertake critical subsurface mapping and technical analysis of our geothermal brine resource in County Durham, providing the data needed to inform commercial scale-up and future investment decisions.

Our project aligns directly with the UK Critical Minerals Strategy and wider UK Battery Strategy. By developing low-carbon Direct Lithium Extraction integrated with on-site conversion to battery-grade lithium carbonate, we are positioning the North East at the forefront of the UK's emerging battery materials supply chain while creating high-value jobs and long-term economic benefits for the region."

Ian Constance, CEO, Advanced Propulsion Centre UK (APC), said: 
"The projects announced today demonstrate the UK's determination to lead the shift to zero-emission mobility. By facilitating the UK Government's DRIVE35 grants, we are turning world-class innovation into industrial capability. With our partners in DBT and Innovate UK, we are backing manufacturers, empowering SMEs, and strengthening the UK's sovereign supply chain. 

This multi-million-pound support package is more than an investment in technology; it is an investment in the people, skills, and companies that will shape the future of clean transport. Together, we are building the foundations of a competitive, resilient, and sustainable automotive industry."

Located at a brownfield site in Eastgate, Weardale Lithium is developing the UK's leading commercial lithium extraction facility from geothermal brine.

Planning permission has been granted for a two-phase development, enabling commercial scale-up and represents the UK's largest permitted lithium extraction project.

Once fully commercialised, the project is expected to support significant regional economic activity through high-skilled employment, supply chain engagement and inward investment, while contributing to the UK's strategic objective of building a secure, sustainable and globally competitive battery materials ecosystem.