Australian Vanadium (ASX:AVL) has received a payment of $14.7 million from the Australian Government to support its efforts to build a vanadium battery industry for Australia.
It’s the second payment to date, following an initial one in June 2023 of $9.8 million, made under a Commonwealth Grant Agreement, part of the Modern Manufacturing Initiative — Manufacturing Collaboration Stream.
The company has now received a total of $24.5 million under the agreement.
Australian Vanadium, which has a market capitalisation of $129.15 million, says the grant is for eligible activities required to construct and commission a crushing, milling and beneficiation plant, as well as a processing facility capable of using green hydrogen to partly fuel the extraction process.
CEO Graham Arvidson says receiving the payment is a testament to the work being conducted to progress the Australian Vanadium Project in Western Australia.
“Our project is expected to create hundreds of jobs in mining and processing and will expand to battery manufacturing value chains around the country, as vanadium flow batteries are more widely adopted to meet the long duration energy storage requirements of renewable energy generation,” he says.
“We continue to collaborate with industry partners and look forward to sharing these developments as they advance.”
The critical mineral extraction process is a key precursor for vanadium electrolyte manufacturing, which is already being carried out at the vanadium electrolyte manufacturing facility in Perth.
Write to Aaliyah Rogan at Mining.com.au
Images: Australian Vanadium
