Vanadium Miners News For The Month Of January 2021

Summary

  • Europe vanadium pentoxide spot prices were significantly higher in January.
  • Vanadium market news - Batteries based on vanadium or zinc bromide represent the cutting edge of redox flow storage tech.
  • Vanadium company news - Largo Resources record quarterly V2O5 production of 3,340 tonnes in Q4 2020, an 11% YoY increase. Neometals Australian pilot plant design underway and metallurgical breakthrough.
  • VanadiumCorp signs trilateral partnership MOU to commercially develop next generation flow battery technology for zero emission marine ships.
  • I do much more than just articles at Trend Investing: Members get access to model portfolios, regular updates, a chat room, and more. Get started today »

Welcome to Vanadium miners news. January saw improving vanadium prices and some excellent results and interesting news from both the vanadium producers and the vanadium juniors. Hopefully 2021 will be the year that energy storage, and hence VRFBs, come into the spotlight as President Biden plans to get the US electricity grid to 100% carbon-free by 2035.

Vanadium uses

Vanadium is traditionally used to harden steel. New Chinese rebar standards are requiring more vanadium. Also Vanadium Flow Batteries [VRFBs] are becoming increasingly popular especially for commercial energy storage, most notably in China. Vanadium Pentoxide [V2O5] is used in VRFBs and Ferrovanadium [FeV] is used in the steel industry.

Vanadium spot price history

Europe Vanadium Pentoxide [V2O5] Flake 98% 1 year chart - Price = USD 6.00/lb (China price not updated)

China & Europe Ferrovanadium [FeV] 80% Price = USD 27.75

Source: Vanadiumprice.com

Vanadium demand versus supply

The charts below show energy storage to be a new source of vanadium demand, and overall demand looks likely to grow very strongly to 2025.

Vanadium total demand forecast to outstrip supply 2020-2025

Source: Technology Metals Australia investor presentation & TTP Squared

Roskill estimates that vanadium demand "for VRFB markets" could rise to 31,000 tons by 2025, amounting to a rise of 3,100% in a decade.

Source: Australian Vanadium presentation

In 2017 Robert Friedland stated:

We think there’s a revolution coming in vanadium redox flow batteries...”

Vanadium market news

On January 6 Reuters reported:

Goldman proclaims the dawn of a new commodity supercycle: Andy Home... Goldman’s supercycle view is predicated on how the world will recover from the COVID-19 crisis with an emphasis on a green industrial revolution and a policy focus on social need... With China recently committing to carbon neutrality by 2060 and Joe Biden promising to return the United States to the Paris Agreement on climate change, the decarbonisation push is becoming both global and synchronised. Going green, Goldman Sachs contends, “has the potential to create a capex cycle on par with the emerging markets-driven cycle of the 2000s”. Not only will this directly impact demand for metals such as copper, but it will have a multiplier effect on labour markets and commodity-producing countries... The other core plank of Goldman’s supercycle thesis is the lack of supply ready to meet any structural shift in demand.

On January 20 PV Magazine reported:

The best redox flow battery tech. Batteries based on vanadium or zinc bromide represent the cutting edge of redox flow storage tech, an international research team has claimed. Vanadium redox flow batteries (VRFBs) and zinc-bromine redox flow batteries (ZBFBs) – the most representative kinds of hybrid flow batteries – are the real state of the art, the researchers claimed. However, the road to bringing them to commercial success and applicability is still a “long way to go,” they added. The main barrier for VRFBs is low availability and the high cost of vanadium, as well as the need for a bidirectional DC/AC inverter to interface the grid. However, recent progress has been achieved with the electrolyte composition, membrane, and electrode, as well as improvements for efficiency and power and current densities.

On January 25 Energy Storage News reported:

Japan/California-funded flow battery used in tests ‘to help achieve zero-emissions microgrids’. A large-scale vanadium redox flow battery (VRFB) demonstration project in California which has been providing grid services on a commercial basis will now also trial the use of the technology for microgrid applications... Now, the project’s scope has been extended: around 70 electricity users will be connected to the battery storage system and its ability to run a microgrid, isolated from the main grid, will be trialled until December 2021. The idea is that it will demonstrate that a VRFB can be a useful tool for the grid, a commercial revenue generator and a backup power source that communities and businesses could rely on in an emergency if the grid goes down.

Vanadium miner news

Vanadium producers

Glencore [LSX:GLEN] [HK:805] (OTCPK:GLCNF)

Glencore is a large vanadium producer, but vanadium production represents only a small portion of their revenue.

No vanadium related news.

AMG Advanced Metallurgical Group NV [NA:AMG] [GR:ADG] (OTCPK:AMVMF)

AMG Vanadium is a leading provider of products and services for the metals, manufacturing, refinery and petrochemical industries. AMG Vanadium produces ferrovanadium and related ferroalloys from spent refinery catalysts using a proprietary pyrometallurgical process.

No vanadium related news.

You can view the latest investor presentation here.

Bushveld Minerals Limited [LN- AIM:BMN] (OTC:BSHVF)

Bushveld is a diversified AIM-listed resources company with a portfolio of vanadium, tin and coal assets in Southern Africa and Madagascar.

No significant news for the month.

You can view the latest investor presentation here.

Largo Resources [TSX:LGO] [GR:LR81] (OTCQX:LGORF)

Largo Resources is a pure-play vanadium pentoxide producer from their Maracás Menchen mine in Brazil.

On January 20, Largo Resources announced: "Largo Resources announces record quarterly and full year 2020 operational results and exceeds 2020 sales guidance; Provides 2021 guidance." Highlights include:

Q4 and FY 2020 Production and Sales Highlights:

  • "Record quarterly V2O5 production of 3,340 tonnes (7.4 million lbs1) in Q4 2020, an 11% increase over Q4 2019.
  • Record annual V2O5 production of 11,825 tonnes (26.1 million lbs1) in 2020, an increase of 12% over 2019; Within 2020 V2O5 production guidance of 11,750 – 12,250 tonnes.
  • Quarterly global V2O5 recovery4 of 80.6% in Q4 2020, a 4% increase over Q4 2019.
  • Record annual global V2O5 recovery4 of 81.4% in 2020; a 4% increase over 2019.
  • 2020 sales guidance exceeded: Total V2O5 equivalent sales of 10,260 tonnes in 2020, exceeding high-end V2O5 sales guidance by 260 tonnes
  • Record quarterly sales of 3,751 tonnes of V2O5 equivalent in Q4 2020, a 31% increase over Q4 2019."

2021 Guidance

  • "V2O5 equivalent production of 12,000 – 12,500 tonnes; V2O5 equivalent sales of 12,250 – 12,750 tonnes; Cash operating cost excluding royalties2 of $3.10 – 3.30/lb V2O5 sold; Total cash costs of $3.50 – 3.70/lb V2O5 sold; Sustaining capital expenditures6 of $8.0 – 10.0 million; Vanadium trioxide (“V2O3”) processing plant expenditures of $7.0 – 9.0 million...
  • The Company will strongly focus on the advancement of Largo Clean Energy and its VCHARGE± battery technology for the fast-growing renewable energy storage sector."

You can view the latest investor presentation here.

Energy Fuels Inc. [TSX:EFR] (UUUU)

Energy Fuels state they are "the No. 1 uranium producer in the U.S. with a market-leading portfolio", as well as being a recent vanadium producer.

On December 31, Energy Fuels announced:

Energy Fuels renews its ATM Program. Energy Fuels Inc., a leading producer of uranium in the United States, is pleased to announce that today the Company has filed a prospectus supplement to its effective U.S. registration statement on Form S-3 in order to renew its 'at-the-market' ("ATM") program. Under the renewed ATM program the Company may, at its discretion from time to time, sell up to an additional US$35.0 million of common shares, with sales only being made on the NYSE American at then-prevailing market prices, or any other existing trading market of the common shares in the United States.

Ferro Alloy Resources [LON:FAR]

FAR is developing the giant Balasausqandiq vanadium deposit in Kyzylordinskaya Oblast of southern Kazakhstan. FAR state: "The ore at this site has a significantly higher grade than all other primary vanadium extraction sites, which allows for much lower processing costs."

On January 11, Ferro Alloy Resources announced:

Issue of bonds. Ferro-Alloy Resources Limited, the vanadium mining and processing company with operations based in Southern Kazakhstan announces that it has raised US$161,475 via the issue of bonds on the Astana Stock Exchange ("AIX").

Vanadium developers

Western Uranium & Vanadium Corp. (OTCQX:WSTRF)

Western Uranium & Vanadium Corp. own the Sunday Mine Complex which is an advanced stage mine property consisting of five interconnected underground mines in Colorado, USA.

On January 13, Western Uranium & Vanadium Corp. announced: "Western Uranium & Vanadium Corp. 2021 update."

Entering 2021, Western is excited about our competitive position, market opportunities, and the prospects for nuclear energy and uranium mining. Sunday Mine Complex Ready for Production Restart Western’s Sunday Mine Complex project during 2019/2020 established the mines are in “ready-to-produce” status. These permitted and developed conventional mines can be restarted with minimal capital expenditure. The first uranium/vanadium ore production was stockpiled underground and remains ready for delivery when COVID-19 and market conditions permit.

Investors can read the latest company presentation here.

Neometals [ASX:NMT] (OTCPK:RDRUY) (OTCPK:RRSSF)

Neometals 100% own the Barrambie Titanium Vanadium Iron Project in Western Australia. Barrambie's Eastern Band is one of the highest grade hard rock titanium deposits globally.

On January 22, Neometals announced: "Quarterly activities report for the quarter ended 31 December 2020." Highlights include:

Corporate

  • "Cash A$72.6 million, receivables and investments of A$7.2 million and no debt..."

Core Development Activities

Vanadium Recovery Project (“VRP”)

  • "Mini-pilot metallurgical test-work significantly increases confidence in proprietary vanadium recovery technology with exceptional purity (>99.5% V2O5), high recoveries (75%) and reduced leach residence times being achieved.
  • Hatch Engineering appointed to manage a pre-feasibility study.
  • Australian pilot plant design underway and industrial land adjacent to the Port of Pori, in Finland chosen as location for commercial VRP."

Barrambie Titanium and Vanadium Project (“Barrambie”)

  • "Metallurgical breakthrough generates separate, marketable ilmenite (titanium) and iron-vanadium concentrates triggering early contractor engagement with potential mine-to-port service providers.
  • Neometals Chinese partner (IMUMR*) confirming breakthrough using 1 tonne gravity concentrate sample. Chinese validation is key in securing potential product off-take agreements."

You can view the latest investor presentation here.

Australian Vanadium [ASX:AVL] [GR:JT71] (OTC:ATVVF)

Australian Vanadium is an emerging vanadium producer focused on their Australian Vanadium Project in Western Australia.

On January 6, Australian Vanadium announced: "VSUN Energy residential VRFB development." Highlights include:

  • "Local Western Australian design and consultancy group appointed for work on residential VRFB design and prototyping.
  • VSUN Energy is evaluating its recently imported 5kW/30kWh VRFB, manufactured by China’s CEC, with Western Australian based CADDS Group.
  • Grid-connect ready VRFB product testing and development underway at Bibra Lake facility.
  • Curtin University engineering student assisting with testwork."

On January 14, Australian Vanadium announced:

AVL receives $973,000 R&D refund. Australian Vanadium Limited is pleased to announce that it has received $973,000 from the Australian Federal Government’s Research and Development (R&D) Tax Incentive Scheme for the 2019/20 tax year.

Catalysts include:

  • 2021 - Possible further off-take and/or JV partner announcements.
  • Mid - 2021 - BFS due.

You can view the latest investor presentation here, or read "Australian Vanadium Managing Director Vincent Algar Talks With Matt Bohlsen Of Trend Investing."

Technology Metals Australia [ASX:TMT]

The Company's primary exploration focus is on the 100% owned Gabanintha Vanadium Project located 40km south east of Meekatharra in the mid-west region of Western Australia.

On January 22, Technology Metals Australia announced: "Yarrabubba and Gabanintha project update." Highlights include:

  • "Technical co-operation agreement executed with Sinosteel Equipment & Engineering Co., Ltd to support Yarrabubba testwork and flowsheet design...
  • Extension of term agreed for the Shaanxi Fengyuan Vanadium Technology Development Co., Ltd. vanadium pentoxide offtake MOU.
  • The Company has $9.5 million cash to fund the progression of Yarrabubba to a development decision."

Catalysts include:

  • Q3 2021 - Yarrabubba Iron-Vanadium Project FS due.

You can view the latest investor presentation here, or read "Technology Metals Australia Executive Director Ian Prentice Talks With Matt Bohlsen Of Trend Investing."

TNG Ltd. [ASX:TNG] [GR:HJI] (OTCPK:TNGZF)

TNG is an Australian resources company focused on the evaluation and development of its Mount Peake Vanadium-Titanium-Iron project. The Mount Peake Project is located 235km north-northwest of Alice Springs in the Northern Territory of Australia. TNG Ltd is well advanced with a massive $4.7b NPV8%, but relies on titanium and iron with a lower grade vanadium by-product.

On January 21, TNG Ltd. announced:

December 2020 quarterly activities report. Pre-development activities moving forward at Mount Peake Project with final vanadium off-take secured. FEED well advanced. Revised Mining Management Plan submitted. Establishment of VRFB business for vertical integration strategy. $8.8M raised via strongly supported Entitlement Issue.

On January 22, TNG Ltd. announced:

TNG receives $5.14m research & development rebate. Further strengthens TNG’s cash balance following the successful $3.7m placement of the entitlement issue shortfall, putting it in a very strong position to progress Mount Peake towards funding and development.

You can view the latest investor video presentations here.

Aura Energy [ASX:AEE] [GR:VU1] (OTC:AUEEF)

Aura Energy is an Australian-based minerals company that 100% owns polymetallic and uranium projects with large resources in Sweden (Häggån Project) and Mauritania (Tiris project). Aura’s focus is on the Häggån Project, located in Sweden’s Alum Shale Province, one of the largest depositories of vanadium in the world.

No news for the month.

You can view the latest investor presentation here.

Silver Elephant Mining Corp. [TSX:ELEF] (OTCQX:SILEF) (100% owned subsidiary Nevada Vanadium LLC)

Silver Elephant Mining Corp. is a Canadian public company listed on the Toronto Stock Exchange. The Company's objective is to advance the Gibellini Black Shale primary vanadium project and the Bisoni Vanadium Project. Gibellini aims to be the first active primary vanadium mine in North America. They also have huge silver assets in Bolivia.

No vanadium related news. There was silver drill results news and a new nickel project. see below.

On January 22, Silver Elephant Mining Corp. announced: "Silver Elephant signs Definitive Agreement to acquire Minago Nickel Project in Thompson Nickel Belt Manitoba, Canada."

You can view the latest investor presentation here.

Vanadium Resources Limited [ASX:VR8]

Vanadium Resources is a junior exploration company established with the purpose of exploring and developing gold zinc, lead, copper and other mineral opportunities. Vanadium Resources owns 74% of a globally significant vanadium project, the Steelpoortdrift [SPD] Project, in Gauteng Province, South Africa.

On January 22, Vanadium Resources announced: "Commencement of Pre-Feasibility Study [PFS]."

You can view the latest investor presentation here.

King River Resources [ASX:KRR] (formerly King River Copper)

King River holds 785 square kilometres of mineral leases covering a unique geological feature in the Eastern Kimberley of Western Australia, called the Speewah Dome. The company state on their website: "The focus of King River Copper Limited is the exploration for Gold, Silver and Copper." However their deposits also contain vanadium.

On January 27, King River Resources announced:

Quarterly activities report 31 December 2020... Prefeasibility focus on producing High Purity Alumina products (HPA) has shifted from a mine operation based at Speewah towards a more direct industrial aluminum feedstock project based at Kwinana... With the current plan to develop the HPA operation at Kwinana, the Speewah metallurgical test work focus has shifted to extract high purity vanadium and titanium products to address the current interest in battery metals and master alloy compounds of the green economy.

You can view the latest investor presentation here.

VanadiumCorp Resource Inc. [TSXV:VRB][GR:NWN] (OTCPK:APAFF)

VanadiumCorp Resources Inc. 100% owns the Lac Dore Vanadium-Iron-Titanium project in Quebec Canada. The Company also has royalties on the Raglan Nickel-PGM mine. The Company is looking to take a vertically integrated approach and is also developing leading process technologies ‘VanadiumCorp-Electrochem Processing Technology’ and "Electrochem globally patented Electrowinning" technology.

On January 6, VanadiumCorp Resources Inc. announced: "VanadiumCorp signs trilateral partnership MOU to commercially develop next generation flow battery technology for zero emission marine ships." Highlights include:

  • "The SPV will develop a next-generation redox flow-battery stack based on a breakthrough high-energy-density vanadium electrolyte that is specifically formulated for marine propulsion applications.
  • VanadiumCorp will contribute new flow-battery designs, a high-energy-density electrolyte formulation, manage research and development, and provide its network of manufacturing partners.
  • CONOSHIP will contribute marine engineering designs to integrate the more compact redox flow-battery into the propulsion systems of marine vessels and ships.
  • VEGA will arrange project financing, contribute fleet operations expertise, and conduct field testing of the marine battery prototype."

On January 7, VanadiumCorp Resources Inc. announced

Commercial development work commences for zero-emission marine vessels powered by Next-Generation Vanadium Redox Flow Batteries.

You can view the latest investor presentation here.

First Vanadium Corp. [TSXV:FVAN] (FVANF) (formerly Cornerstone Metals Inc.)

Cornerstone’s Carlin Vanadium project hosts one of North America’s largest richest primary vanadium deposits, located in Nevada. Its West Jerome project targets a large scale high grade copper and zinc deposit in Arizona. Carlin has a historic Inferred Resource 28Mt at 0.525% V2O5 (2010 SRK).

On January 14, First Vanadium announced: "First Vanadium options gold property from Mathewson in Battle Mtn - Eureka Gold Trend, Nevada."

On January 19, First Vanadium announced: "First Vanadium commences geophysical survey over its gold target on the Carlin Gold Trend, Nevada."

Investors can read the latest company presentation here.

Graphite miners with potential vanadium projects

  • Syrah Resources [ASX:SYR] (OTCPK:SYAAF) (OTC:SRHYY)
  • Triton Minerals [ASX:TON] [GR:1TG]
  • Battery Minerals [ASX:BAT]
  • NextSource Materials [TSX:NEXT]
  • DNI Metals [TSXV:DNI] [GR:DG7N](OTCPK:DMNKF)

Other listed vanadium juniors

  • Golden Deeps [ASX:GED]
  • Sabre Resources [ASX:SBR]
  • Trigon Metals Inc. [TSXV:TM] (OTC:PNTZF)
  • Venus Metals [ASX:VMC]
  • Intermin Resources [ASX:IRC]
  • Vanadium One Energy Corp. [TSXV:VONE] [GR:9VR1] (OTC:VDMRF)
  • New Energy Minerals [ASX: NXE] (formerly Mustang Resources)
  • Maxtech Ventures [CSE:MVT]
  • Pursuit Minerals [ASX:PUR]
  • Victory Metals [TSXV:VMX]
  • BlackRock Metals (Private)
  • Gladiator Resources [ASX:GLA]
  • Sabre Resources [ASX:SBR]
  • Vanadium One Iron [TSXV:VONE]

VRFB Companies

  • Protean Energy [ASX:POW] [GR:SHE1]
  • Cellcube Energy Storage [TSXV:CUBE] (STNUF)
  • Invinity Energy Systems (LSE:IES) (OTC:IVVGF)

Conclusion

European vanadium pentoxide spot prices were significantly higher in January.

Highlights for the month include:

  • Goldman proclaims the dawn of a new commodity supercycle, favors copper.
  • Japan/California-funded flow battery used in tests ‘to help achieve zero-emissions microgrids’.
  • Batteries based on vanadium or zinc bromide represent the cutting edge of redox flow storage tech.
  • Largo Resources record quarterly V2O5 production of 3,340 tonnes in Q4 2020, an 11% increase over Q4 2019.
  • Neometals - Australian pilot plant design underway and industrial land adjacent to the Port of Pori, in Finland chosen as location for commercial Vanadium Recovery Project. Metallurgical breakthrough generates separate, marketable ilmenite (titanium) and iron-vanadium concentrates.
  • Australian Vanadium grid-connect ready VRFB product testing and development underway at Bibra Lake facility.
  • TNG Ltd pre-development activities moving forward at Mount Peake Project with final vanadium off-take secured.
  • VanadiumCorp signs trilateral partnership MOU to commercially develop next generation flow battery technology for zero emission marine ships.

As usual all comments are welcome.

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Disclosure: I am/we are long GLENCORE [LSX:GLEN], AMG ADVANCED METALLURGICAL GROUP NV [AMS:AMG], LARGO RESOURCES [TSX:LGO], NEOMETALS [ASX:NMT], AUSTRALIAN VANADIUM [ASX:AVL], SYRAH RESOURCES [ASX:SYR], TRITON MINERALS [ASX:TON], SILVER ELEPHANT MINING CORP. [TSX:ELEF]. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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