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Australian Vanadium (ASX:AVL) teams with GSA for vanadium feedstocks

Materials
ASX:AVL      MCAP $120.5M
22 October 2020 14:00 (AEST)

Australian Vanadium (AVL) has signed a memorandum of understanding (MOU) with GSA Environmental (GSAe) to develop the Australian Vanadium Project in WA.

GSAe is a U.K.-based engineering consultancy with front end engineering design (FEED), project management and process safety consultancy capabilities.

GSAe also holds unique intellectual property for extracting vanadium, nickel and other metals from various hydrocarbon, mining and industrial waste products.

Together, the companies will collaborate to evaluate low-cost vanadium feedstocks that could potentially improve the economics of AVL’s namesake project and its planned processing facility.

Vanadium and other metals are contained in different wastes such as fly ash which comes from crude oil. Currently, this material is being disposed of in landfill sites globally. Therefore, not only will extracting the material from the waste be economically positive, it will also have a positive impact on the environment.

“Teaming up the vanadium processing expertise in AVL with GSAe’s unique clean environment and metal extraction skills will allow us to deliver further improvements and positive investor outcomes for AVL shareholders and other stakeholders,” AVL Managing Director Vincent Algar said.

The MOU has an initial two-year term with an option to extend if the parties mutually agree.

AVL is significantly progressing its pre-feasibility study and is hoping its bankable feasibility study will be completed by mid-2021.

Company shares have dropped 3.85 per cent for 1.3 cents at 1:36 pm AEDT.

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