Vanadium Miners News For The Month Of December 2021

Summary

  • Europe vanadium pentoxide spot prices were higher the past 30 days. China and Europe Ferrovanadium prices were higher.
  • Vanadium market news - Vanadium Outlook 2022: Battery demand poised to grow, supply threats mount.
  • Vanadium company news - AMG completes issuance of $550 million of credit facilities. Australian Vanadium high purity 99.5% V₂O₅ produced in final phase of metallurgical work for BFS.
  • 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

AlexLMX/iStock via Getty Images

Welcome to Vanadium miners news. December saw higher vanadium prices and forecasts that vanadium supply is set to tighten in 2022. As for company news it was a quiet month.

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 8.70/lb (China price not given)

China and Europe Ferrovanadium [FeV] 80% prices - China = USD 39.50, Europe = USD 32.75

Source: Vanadiumprice.com

Vanadium demand versus supply

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

An early 2021 Roskill post stated:

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 December 8 Fastmarkets reported:

Lack of finance could constrain mining amid ESG concerns, IMF says. Insufficient financing for metals and mining investment due to growing investor focus on environmental, social and governance [ESG] considerations could constrain production and add to potential supply-chain bottlenecks, according to analysts at the International Monetary Fund [IMF]... "Commitment to better environmental scores could help unlock more green financing for mining firms," the IMF said.

On December 16 Fastmarkets reported:

Enel Green Power España to build solar plant in Mallorca using vanadium redox flow batteries... The plant is expected to start operations in the first half of 2022, Endesa said. There will be two phases. In the first, EGPE will build the solar farm itself, a plant of 3.34 MWp/2.78 nominal megawatts (MWn). This will be followed by the addition of a 1.1-MW/5.5-MWh vanadium redox flow battery-based energy storage system in a nearby area.

On December 21 Investing News reported:

Vanadium Outlook 2022: Battery demand poised to grow, supply threats mount... As 2022 kicks off, global demand for vanadium is expected to grow... Looking specifically at the steel sector, CRU is expecting demand in China to be flat, with firm intensity and slightly lower steel production figures - down 10 million tonnes, or 0.89 percent. The rest of the world is expected to see a slight rise in steel volumes with intensity remaining flat. "For the aerospace/titanium segment, aircraft inventory is moving again and the supply chain is starting to pull in more vanadium"... In 2022, CRU expects demand for batteries to be up significantly in China and moderately in the rest of the world. Meanwhile, chemicals demand growth will lessen with slower industrial production growth in 2022 over 2021... "As the market expands production to cover growing demand (especially from batteries) we begin to move to the far end of the cost curve - this means the price must go higher." Thomas said. "Demand destruction is real in steel and batteries at high prices, and a quick increase in demand can easily drive prices higher as new marginal producers step in to fill the supply gap." When asked about how he expects prices to perform in the new year, Thomas said low availability and threats to supply that support the price currently will be met with good demand in the first quarter of the year, a time when vanadium prices are historically elevated...

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.

On December 2, Glencore announced: "Glencore publishes 2021 Climate Report."

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.

On November 30, AMG Advanced Metallurgical Group announced:

AMG Advanced Metallurgical Group N.V. completes issuance of $550 million of credit facilities. AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") is pleased to announce that it has entered into a new $350 million 7-year senior secured term loan B facility ("term loan") and a $200 million 5-year senior secured revolving credit facility ("revolver"). The total facility amount of $550 million replaces AMG's existing credit facility and extends our term loan maturity from 2025 to 2028 and revolver maturity from 2023 to 2025. AMG will use the proceeds of the new term loan to refinance its existing credit facility...

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 Inc. [TSX:LGO] [GR:LR81] (LGORF)(NASDAQ:LGO)

Largo Inc. is a pure-play vanadium pentoxide producer from their Maracás Menchen mine in Brazil as well as a producer of VRFBs.

On December 20, Largo Inc. announced: "Largo announces filing of technical report for the updated life of Mine Plan and Pre-Feasibility Study on its Maracás Menchen Mine." Highlights include:

  • "Enhanced Profitability and Market Competitiveness: The phased operational approach outlined in the Technical Report is expected to unlock the ability to allocate operating costs between vanadium pentoxide ("V2O5") and titanium dioxide ("TiO2") in a manner that is expected to drive increased market competitiveness.
  • Technical Report indicates $2.8 Billion Pre-Tax / $2.0 Billion After-Tax NPV7% and $5.8 Billion Pre-Tax / $4.2 Billion After-Tax Life of Mine Cash Flow: The materially enhanced Company profitability forecasted by the Technical Report is driven by expanded V2O5 production and incremental cash flows generated by the production and sale of TiO2 pigment as a co-product.
  • Updated Mine Life of 20 Years...
  • Expansion of Vanadium Operations: Current nameplate production capacity of 13,200 tonnes per annum expected to increase to an approximate average of 15,900 tonnes per annum in 2032."

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 vanadium related news.

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 November 29, Ferro Alloy Resources announced:

Balasausqandiq feasibility study update. FAR is currently well advanced in the workstreams necessary to produce a Bankable Feasibility Study ('BFS'). Following the investments by Vision Blue Resources during 2021, the decision has been taken to expand the scope of the Study to include not only the finalisation of the BFS for the first phase of development, known as Phase 1, but also to include Phase 2. Phase 1 envisages the treatment of 1 million tonnes of ore per year to produce 5,600 tonnes of vanadium pentoxide, and Phase 2 envisages an expansion to 4 million tonnes per year with production rising to 22,400 tonnes of vanadium pentoxide...

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 December 20, Western Uranium & Vanadium Corp. announced:

Western Uranium & Vanadium provides company updates... Sunday Mine Complex Project Update: Limited mining has produced over 600 tons of very high-grade uranium/vanadium ore. The project was initially contemplated to drift (tunnel) 150 feet to reach the first surface exploration drill hole, however ore has been encountered continuously after 30 feet of drift advance and through 120 feet of drift advance.

Investors can read the latest company presentation here.

Vanadium developers

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 December 23 Neometals reported: "Barrambie pilot plant and offtake update. Highlights:

  • Neometals has successfully commissioned its pilot plant and commenced production of a titanium-rich gravity concentrate sample for offtake evaluation trials.
  • Approximately 150 tonnes of gravity concentrates will be produced and shipped in Q1 2022 with the majority going to titanium slag producer Jiuxing for commercial scale trials as part of their offtake evaluation process.
  • Pre-feasibility studies are on schedule for completion in Q1 2022.
  • Jiuxing commercial smelting trials scheduled for completion Q2 2022 to advance negotiations for formal offtake agreements which are a prerequisite for any future investment decision."

You can view the latest investor presentation here.

Location map and site view of the 11km titanium-vanadium trend at the Barrambie Titanium and Vanadium Project in WA

Source: Barrambie Titanium / Vanadium Project - 3D Flythrough (video by Neometals)

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

Australian Vanadium is an emerging vanadium producer focused on their Australian Vanadium Project in Western Australia. VSUN Energy was launched by AVL in 2016 to target the energy storage market for vanadium redox flow batteries (VRFBs).

On December 13, Australian Vanadium announced: "High purity 99.5% V₂O₅ produced in final phase of metallurgical work for BFS." Highlights include:

  • "High purity V2O5 averaging 99.5% produced as an end-product from sequential beneficiation, pyrometallurgy and hydrometallurgy pilot programs.
  • Testwork confirms that the ammonium metavanadate precipitation process is optimal for the Australian Vanadium Project.
  • Results validate exceptional product quality and finalise BFS process engineering design.
  • Vanadium product is suitable as high-purity critical mineral product for defence steel alloys and the battery market.
  • Work was conducted at ALS Metallurgy in Balcatta, Perth - a research partner in AVL's Cooperative Research Centre Projects [CRC-P] scheme which is partly funded by the Australian Government."

Catalysts include:

  • 2022 - BFS due.
  • 2022 - Possible further off-take and/or JV partner announcements.

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 December 14, Technology Metals Australia announced: "Murchison Technology Metals Project integration study update." Highlights include:

  • "Work is progressing to integrate the expanded Yarrabubba Mineral Resource Estimate into the development of the Murchison Technology Metals Project [MTMP].
  • Integration of Yarrabubba into the MTMP is expected to extend the project life beyond 25 years based on a Global Measured and Indicated Resource of 50.2Mt at 0.9% V2O5...
  • A total of 120kg of magnetic concentrate produced from representative composites of Yarrabubba ore has been sent to the kiln vendor's testing facility in Pennsylvania.
  • Downstream testwork on calcine from the earlier pilot kiln testing confirms +99.5% purity vanadium pentoxide and process efficiency improvements.
  • Open pit mine scheduling is underway to optimise the integration of Yarrabubba into the MTMP and deliver an updated Ore Reserve estimate.
  • Infill diamond drilling designed to collect a bulk sample from Yarrabubba to commence in early January 2022.
  • Discussions with offtake and downstream vanadium electrolyte / VRFB partners are progressing.
  • Project delivery professional, Mr David English, appointed to the new role of Chief Operating Officer."

You can view the latest investor presentation here.

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 December 14, TNG Ltd. announced:

Mount Peake financing advancing on multiple fronts... The Company is progressing a range of financing streams in parallel with final permitting and value engineering, design and updated costings for the new fully-integrated plant layout at the Mount Peake mine site, ahead of a Final Investment Decision ("FID") targeted for 2022.

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 now plans to exit from its non-silver assets (keeping its Bolivia silver assets), such as the Gibellini Black Shale primary vanadium project and the Bisoni Vanadium Project.

No vanadium news.

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 December 1, Vanadium Resources announced: "Update on DFS progress and ESG Initiatives." Highlights include:

Source: Vanadium Resources 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.

On December 3, King River Resources announced: "HPA Project - Pilot plant 99.9995% purity."

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.

Phenom Resources Corp. [TSXV:PHNM] (OTCQX:PHNMF) (formerly First Vanadium Corp.)

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).

No news for the month.

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

  • 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)
  • Voyager Metals Inc. [TSXV:VONE] (OTCPK:VDMRF)
  • 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 higher in December.

Highlights for the month include:

  • Lack of finance could constrain mining amid ESG concerns, IMF says.
  • Enel Green Power España to build solar plant in Mallorca using vanadium redox flow batteries.
  • Vanadium Outlook 2022: Battery demand poised to grow, supply threats mount.
  • AMG Advanced Metallurgical Group N.V. completes issuance of $550 million of credit facilities.
  • Australian Vanadium high purity 99.5% V₂O₅ produced in final phase of metallurgical work for BFS.
  • TNG Limited Mount Peake financing advancing on multiple fronts.

As usual all comments are welcome.

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