Australian Vanadium (AVL) has successfully completed its $6.6 million capital raising, which will be used to extend its flagship project’s lifespan.
The funding, alongside existing capital, allows the company to advance the project through completion of the definitive feasibility study and conducting further infill drilling of existing inferred resources.
This includes expanding the mineral reserve base from the currently defined 17-year mine life and continuing technical studies designed to optimise the processing circuit.
AVL is working with Metso on innovative pelletising work for the roast section of the processing plant, reporting increased recoveries in recent test work.
It is also completing environmental studies, progressing towards a submission to the Environmental Protection Authority, with additional environmental work, including flora and fauna surveys being undertaken on a proposed pipeline route for water delivery from Westgold’s nearby operations in the Murchison.
It follows AVL’s recent signing a memorandum of understanding with Westgold to cooperate on supply of life-of-mine water requirements for the project.
New funding will also allow AVL’s subsidiary VSUN Energy, to progress further opportunities for the sale and deployment of vanadium redox flow batteries (VRFB).
The recent news of a VRFB sale to an orchard in Victoria and a grant application for a remote Western Australia Community School further supports the progress AVL is making in building the uptake of VRFB’s in Australia.
AVL managing director Vincent Algar said the success of the funding demonstrated confidence in the company from shareholders and in the Australian Vanadium project.
“With the award of major project status by the Australian Government and recent technical advances, the confidence of management and prospective investors continues to grow,” he said.
“We are actively engaged in very positive discussions with prospective off-take, finance and joint venture partners.”
The recent $6.6 million funding was completed by a share purchase plan valued at $5.2 million alongside a placement raising a further $1.4 million.
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