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What makes a mineral critic? Governments and markets can have different points of view. Vanadium, which appears in the official US list. UU., Does not receive a special treatment of basic products buyers. Despite some peaks, the reference price has dropped for five years and companies focused on element number 23 have greatly given investors a difficult trip.
A star performance last week by Vanadium Resources can presage a broader change in fortune: the actions in the Australian developer almost doubled after he signed an agreement to supply magnetite rich in vanadium to a Chinese metal dealership.
Vanadium wins its stripes for steel strengthening properties. These are key to defense and aerospace, but also useful in buildings and infrastructure. China is the greatest consumer in the world. Its weak real estate sector has contributed to the weakness of mineral prices.
But Vanadium is also being formed as a viable alternative for energy storage, especially in long deadlines. Vanadio Redox Flow Batteries (VRFBS) are large and have a poor energy density, discarding them for vehicles and electrical devices. But they are not corrosive either and have a longer life; In fact, as a recyclable element, technically has an infinite life cycle.
For now, VRFB play a niche role: for cyclones resistant networks in the Pacific Islands, say, and perhaps represent 8 percent of the general demand. But the global impulse for technologies that can store energy for prolonged periods, where VRFB play a role together with lithium technologies, could raise demand. An industry agency, the long -term energy storage council, is asking for 8 long -term deployment terawatts by 2040, which implies an increase of 50 times.
Possible beneficiaries include the Energy Storage battery manufacturer Invinity, which appears in the Junior Aim Market in London, Westwater Resources in the US. UU. And the length integrated vertically from Canada. The latter, with Brazilian mines and processing, climbed up in the chain after a recently signed joint company with the manufacturer Stryten Energy.
They could use the impulse. The trio has dropped 70-80 percent in the last five years. Bushveld Minerals, who mines and processes vanadium, collapsed in seams amid the vanadium prices that fall and erroneous operating steps; The shares were eliminated from AIM in May. Two years before the negotiation in the actions of Evraz, in the London list, it was suspended after the Russian Integrated Steel, Mining and Vanadium Business was put under sanctions.
Life has been difficult for Vanadio bulls, given the impact of slow steel demand. But now, its potential use in batteries could add a new source of demand. While governments have established more vanadium stores than in markets, their role in energy storage could still change that.
louise.lucas@ft.com
