North East lithium firm gets Government backing for feasibility study

Weardale Lithium is hoping to extract the key material from brines under the North Pennines

A bid to extract the key material of lithium from the ground beneath the North East has received a boost from the Government.

Weardale Lithium has secured grant funding through the Government’s DRIVE35 Scale-Up: Feasibility Studies competition, supporting the next phase of development at its geothermal lithium project in County Durham. The project aims to produce battery-grade lithium carbonate – a key material for the UK’s net zero ambitions – from geothermal groundwaters under the North Pennines, and could create between 20 and 50 jobs.

The grant funding will enable Weardale Lithium to undertake a £700,000 feasibility study to map its geothermal lithium-bearing brinefield within the North Pennine Orefield. 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.

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.”

The grant to Weardale Lithium – which has planning permission for an extraction facility at Eastgate – is part of a wider investment package into the UK automotive industry.

Ian Constance, CEO of Advanced Propulsion Centre UK, 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 define the future of clean transport. Together, we are building the foundations of a competitive, resilient, and sustainable automotive industry.”