Vanadium Miners News For The Month Of June 2021

Summary

  • Europe vanadium pentoxide spot prices were significantly higher the past 30 days. Wood Mackenzie expects the global energy storage market to grow 27-fold from 2020 to 2030.
  • Vanadium market news - Roskill: The vanadium market is set to tighten over the year and more so in 2022. The U.S. DoE has set aside $20m for flow battery.
  • Vanadium company news - Ferro-Alloy Resources announces completion of Vision Blue Resources initial investment and appointment of Sir Mick Davis as Chairman. Vanadium Resources Steelpoortdrift PFS delivers superior results.
  • I do much more than just articles at Trend Investing: Members get access to model portfolios, regular updates, a chat room, and more. Learn More »
Vanadium V, chemical element. 3D rendering isolated on black background
Photo by AlexLMX/iStock via Getty Images

Welcome to Vanadium miners news. June saw significantly higher Europe Vanadium Pentoxide prices and significantly higher China and Europe Ferrovanadium prices. June saw a steady flow of news from the vanadium miners.

Vanadium uses

Vanadium is traditionally used to harden steel. New Chinese rebar standards are requiring more vanadium. Also, Vanadium Redox 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 8.90/lb (China price not given)

China and Europe Ferrovanadium [FeV] 80% Europe Price = USD 43.25

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

An April 2021 Wood Mackenzie report stated:

Global energy storage deployment surged a remarkable 62% in 2020, with 5 GW/9 GWh of new capacity added. This brought the total energy storage market to more than 27 GWh. Furthermore, we expect the global (energy storage) market to grow 27-fold by 2030.

Source: Woodmac.com

A Roskill post states:

The vanadium market is set to tighten over the year and more so in 2022, driven by higher demand but also by tighter supply, as Chinese steel slag producers are running close to capacity. Outside of China, incremental supply will also be limited and come mainly from AMG’s new facility in Ohio, USA, and Bushveld’s Vametco gradually increasing its production in South Africa. Roskill believes that vanadium prices reached a low in Q4 2020 and should gradually rebound in 2021.....Vanadium redox batteries (VRBs) could become a major market for vanadium amid growing demand for energy storage, should the technology develop....On the supply side, Roskill does not expect significant tonnages from new projects to enter the market before 2024.

In 2017 Robert Friedland stated:

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

Vanadium market news

On May 27 CleanTechnica reported:

Flow batteries keep the energy flowing. The U.S. Department of Energy has just taken a big step toward America having an emissions-free economy by 2050 by setting aside $20 million for flow battery manufacturability.....The government’s decision to set aside money for flow battery manufacturability, along with the positive comments from Secretary Granholm, indicates a dedication within the U.S. government to longer lasting, more environmentally friendly batteries like vanadium flow batteries.

On May 30 MINING.COM reported:

Competition between redox flow, li-ion batteries to heat up over next decade – report. A report by IDTechEx states that redox flow battery technology might start to gain field to lithium-ion batteries over the next decade, overtaking the Li-ion battery energy capacity installed by 2031. By relying on a vanadium, zinc-polyiodide, polysulfide bromide or uranium electrolyte solution held in storage tanks, redox flow batteries can store energy from renewable sources, including solar, wind or wave power, and release it when required.

On June 2 The Outsider Club reported:

Where vanadium fits into the future of energy. According to QY Research, the VRFB market was valued at $320 million in 2018 and is projected to reach $4.25 billion by 2025, at a CAGR of 38.3%. Meanwhile, vanadium prices are on the rise. For the year, prices for vanadium pentoxide flakes (used to make steel alloys) are up more than 60% since December 2020.

On June 9 Engineer Live reported:

Turning the tide with vanadium flow batteries. Generating clean energy from the rise and fall of the tide has captured the imagination of engineers for decades.....There has been real progress for the industry, with European tidal power recently surpassing a 60 gigawatt-hour cumulative electricity production milestone and over €45m invested in the technology in 2020. For a battery to effectively manage tidal generation it needs to charge and discharge up to four times a day, a duty cycle that would rapidly degrade the lithium-ion batteries that currently dominate the stationary energy storage market.....EMEC has therefore partnered with Invinity Energy Systems, supported by the Scottish Government, to deploy a 1.8MWh vanadium flow battery (VFB) to ‘smooth’ tidal generation and create continuous, on-demand electricity to generate hydrogen. Vanadium flow batteries are a form of heavy-duty, stationary energy storage that are ideal for high-utilization, industrial settings. They provide hours of continuous power, one or more times per day, through decades of service. Most importantly for EMEC, they suffer no degradation of their performance based on the number of charge and discharge cycles they complete. This makes them the perfect candidate for balancing tidal energy’s cyclical generation patterns.

Vanadium miner news

Vanadium producers

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

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

On May 13 Mining Journal reported:

Vanadium One gains Glencore backing for Mont Sorcier. Vanadium One Iron says it’s enlisted the support of commodities trader and mining giant Glencore via a financing and offtake deal to help develop its high-grade Mont Sorcier iron and vanadium project in Quebec. Under the long-term arrangement, Glencore would assist Vanadium One in raising at least US$10 million this year, to complete a bankable feasibility study on the project, plus initiate permitting, environmental studies and community agreements. Glencore would then be granted an initial eight-year offtake agreement for 100% of Mont Sorcier's concentrate production.

AMG Advanced Metallurgical Group N.V. [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 news for the month.

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 news for the month.

You can view the latest investor presentation here.

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

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

On June 4, Largo Resources announced:

Largo Resources announces filing of final base shelf prospectus. The Shelf Prospectus and Registration Statement (when effective) qualify the distribution from treasury and secondary distribution of up to CAD$750 million of common shares, warrants, units, debt securities and subscription receipts (collectively, “Securities”) or any combination thereof, during the 25-month period that the Shelf Prospectus remains effective (subject to MJDS eligibility).

On June 9 MINING.COM reported:

Largo Resources aiming to capture 3% of clean energy storage market.....or about 1,400 megawatt-hours of the long-duration energy storage battery market by 2025.....Largo, which had spun out Largo Clean Energy in December 2020 to provide long-duration vanadium redox flow battery systems for the renewable energy storage market, expects the market’s total installed storage capacity to total about 49,000 MWh by 2025 – worth an estimated $16 billion.

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.

No significant vanadium news for the month.

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 June 1, Ferro-Alloy Resources announced: "Completion of Vision Blue Resources initial investment and board changes." Highlights include:

  • "Completion of the Initial Investment by Vision Blue Resources (“Vision Blue”) as previously announced following completion of transaction formalities. A further US$1.6m investment, bringing the total invested to date by Vision Blue and its co-investors to US$3.1m. Legal formalities completed and consent of the Kazakhstan Government to the issue of shares received – enabling the issue of shares to Vision Blue instead of convertible loan notes.
  • Appointment of Sir Mick Davis as Chairman with effect from immediately after completion which is expected to occur on 3 June 2021.
  • Appointment of Mr. Peet Nienaber as a Non-Executive Director with effect from immediately after completion which is expected to occur on 3 June 2021. Former head of Xstrata Alloys – one of the world's largest vanadium producers.
  • Connection to high voltage power line completed – first power draw expected soon.
  • Team established to progress and enhance the ongoing Balausa Project feasibility study."

On June 7, Ferro-Alloy Resources announced:

Completion of Vision Blue Resources initial investment and board changes. The Company has now received the further investment of US$1.6m in addition to the investment of US$1.5m already made, bringing the total invested by Vision Blue and its co-investors to date to US$3.1m.

Vanadium developers

Western Uranium & Vanadium Corp. (OTCQX:WSTRF)

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

No vanadium news.

Investors can read the latest company presentation here and my recent article: "Western Uranium & Vanadium - A Potential Winner From Biden's 100% Carbon Free By 2035 Policy."

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 June 10, Neometals announced: "Vanadium recovery project-pilot plant at Steady State." Highlights include:

  • "Pilot plant recovery of vanadium from steel making by-product operating at steady state.
  • Trial to process 13 tonnes over 22 days from 3 Scandinavian sites at 25 times larger scale than previous ‘mini-pilot’.
  • Campaign will generate proof-of-scale data for feasibility study and significant volume of samples for end-user product evaluation.
  • Successful completion in July will also confirm carbon sequestration and potential ‘net zero’ CO2 footprint."

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 June 1, Australian Vanadium announced: "Bryah Resources reports 31.3Mt Nickel-Copper-Cobalt Mineral Resource at the Australian Vanadium Project." Highlights include:

  • "Bryah Resources (ASX:BYH) reports 31.3 million tonne nickel-copper-cobalt Mineral Resource at the Australian Vanadium Project (appended).
  • Bryah holds a suite of mineral rights including nickel, copper and gold over the Australian Vanadium Project at Gabanintha.
  • AVL holds the mineral rights to vanadium, titanium, iron and cobalt and is a major shareholder (7.14%) of Bryah.
  • Metallurgical testwork undertaken during AVL’s feasibility study showed the nickel, copper, cobalt and gold present in the non-magnetic tail after separation of the vanadium-titanium-magnetite concentrate, can be processed to produce a base metal concentrate."

On June 8, Australian Vanadium announced: "High vanadium extractions confirmed in pellet leach pilot as BFS progresses." Highlights include:

  • "Vanadium extraction from roasted pellets averaging 89% demonstrated in first part of two-stage water leach flowsheet currently being piloted.
  • Final pilot phase will validate overall vanadium leach extraction achieved by Bankable Feasibility Study [BFS] flowsheet.
  • Vanadium extraction from the pilot test was consistent with lab scale work and demonstrated significantly better vanadium to impurities dissolution. Overall vanadium leach extraction from the two-stage leach is anticipated to be greater than 93%.
  • Unique AVL mechanical leach circuit shown to be a viable, cost effective design, maximising onshore Australian extraction of high value critical mineral vanadium products.
  • Another highly successful step advancing the Company’s goal to design, build and operate the world’s next and lowest cost primary vanadium operation.
  • Work conducted at ALS testing facilities in Balcatta, Perth – a research partner in AVL’s Australian Government’s Cooperative Research Centre Projects scheme entitled: “Production of 99.95% Pure Vanadium Pentoxide and Vanadium Electrolytes”."

Catalysts include:

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

No news for the month.

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 Limited [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 May 27, TNG Ltd. announced: "Darwin TIVAN® processing facility EIS: further update on NT EPA’s direction on EIS supplement."

On June 17, TNG Ltd. announced:

Update on environmental approval process. The Company has held detailed discussions with the Northern Territory Environment Protection Authority (“NT EPA”) on the matters raised in the “Direction to Provide Additional Information” (“Direction”) on the Supplement to the Draft Environment Impact Statement (“EIS Supplement”) for the DPF, and has received further clarification on the 23 matters raised in the Direction, which is appreciated. All the 23 matters raised are now being considered for incorporation in the design of the project.

On June 21, TNG Ltd. announced:

TNG signs agreement with Malaysian green hydrogen company. TNG and AGV Energy to collaborate on commercial opportunities for Vanadium Redox Flow Batteries and Green Hydrogen Technology in Malaysia and Australia.

You can view the latest investor video presentations 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.

On May 31, Silver Elephant Mining Corp. announced:

Silver Elephant engages Wood PLC to conduct Preliminary Economic Assessment on Gibellini Vanadium Project. Vanadium is one of the best performing metals of 2021. Vanadium pentoxide price has risen 52% from US$5.4/lb in early January to US$8.2/lb today. The Gibellini project encompasses the Gibellini, Louie Hill, and Bisoni McKay properties which the Company acquired in 2017 and 2020. The PEA will be prepared in collaboration between Wood PLC (“Wood”) and Mine Technical Services (“MTS”) as part of its proposed spinout strategy.

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 June 22, Vanadium Resources Limited announced: "Steelpoortdrift PFS delivers superior results." Highlights include:

  • AACE Level 4 PFS (accuracy of -15+25%) confirms Steelpoortdrift’s potential to be a world class, large scale and low cost vanadium producer with competitive opex and capex metrics.
  • PFS completed on time and within budget indicating outstanding financial metrics:

Source: Vanadium Resources Limited website

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.

No vanadium related news for the month.

You can view the latest investor presentation here.

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

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.

No news for the month.

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 June 24, First Vanadium Corp. announced: "First Vanadium resumes drilling on its gold system on Carlin Gold Trend, Nevada."

Investors can read the latest company presentation here.

Graphite miners with potential vanadium projects

  • Syrah Resources [ASX:SYR] (OTC: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

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

VRFB Companies

  • Protean Energy [ASX:POW] [GR:SHE1]
  • Cellcube Energy Storage Systems [TSXV:CUBE] [GR:01X] (OTCPK:CECBF)
  • Invinity Energy Systems (LSE:IES) (OTCPK:IVVGF)

EV metal miners royalties companies

  • Electric Royalties [TSXV:ELEC]

Conclusion

European vanadium pentoxide spot prices were significantly higher in June.

Highlights for the month include:

  • Wood Mackenzie expects the global energy storage market to grow 27-fold from 2020 to 2030.
  • The vanadium market is set to tighten over the year and more so in 2022, driven by higher demand but also by tighter supply.
  • A report by IDTechEx states that redox flow battery technology might start to gain field to lithium-ion batteries over the next decade, overtaking the Li-ion battery energy capacity installed by 2031.
  • The U.S. Department of Energy has set aside $20 million for flow battery manufacturability.
  • VRFBs have the durability to be used for energy storage from tidal power.
  • Largo Resources aiming to capture 3% of clean energy storage market by 2025.
  • Ferro-Alloy Resources announces the completion of Vision Blue Resources initial investment and appointment of Sir Mick Davis as Chairman.
  • Vanadium recovery project-pilot plant at Steady State.
  • Bryah Resources reports 31.3Mt Nickel-Copper-Cobalt Mineral Resource at the Australian Vanadium Project.
  • TNG Ltd signs agreement with Malaysian green hydrogen company.
  • Silver Elephant engages Wood PLC to conduct Preliminary Economic Assessment on Gibellini Vanadium Project, as part of its proposed spinout strategy.
  • Vanadium Resources Steelpoortdrift PFS delivers superior results.

As usual, all comments are welcome.

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Disclosure: I am/we are long 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.

Additional disclosure: The information in this article is general in nature and should not be relied upon as personal financial advice.

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