Grant supports development of vanadium battery industry

Vanadium miner and processor Australian Vanadium (AVL) has received a federal government grant that advances the development of a vanadium redox battery industry in Australia.

The federal government will provide a $49 million grant through the Modern Manufacturing Initiative – Manufacturing Collaboration Stream to support the Australian Vanadium Project.

The company plans a mine at Gabanintha, in Western Australia with the potential to produce 11.2kt per annum of vanadium pentoxide (V2O2) over the 25 year life of the mine.

Vanadium batteries use a liquid vanadium electrolyte which is not used up during operation, so is infinitely recyclable. Their downside is their high weight, making them most suitable for large, remote locations such as minesites and towns.

The new grant can be used to support construction and commissioning of a concentrator and high-purity vanadium processing facility capable of using green hydrogen.

The vanadium extraction process is a key precursor for vanadium electrolyte manufacturing which is also covered by the grant.

The development of the mine itself and supporting infrastructure will be funded from sources other than the grant.

Australian Vanadium CEO Graham Arvidson said the company had been working closely with the government to achieve the grant.

Arvidson said: “The grant will be of great benefit AVL as we seek to optimise and finalise our financing and offftake arrangements and continue to move the project forward for the benefit of the mid-west region of Western Australia and Australia more broadly.”

The grant will be paid progressively over the term of the agreement subject to milestones, with an initial payment of $9.8 million scheduled in June, 2023.

Further reading:
Australian Vanadium lodges patent for process circuit
Browse @AuManufacturing’s coverage of Australian Vanadium Ltd here.

Picture: Australian Vanadium