Highlights:
- Vanadium holds immense potential, especially in the battery space, due to its storage and grid-relief capacities
- More than 90% of the current vanadium demand comes from steel and alloys
- In the next few years, vanadium redox flow batteries (VRFBs) are likely to account for 15-25% of the total battery sector
- Surefire Resources (ASX:SRN) is advancing the development of its Victory Bore-Unaly Hill Vanadium Project in Western Australia
- The company has commenced Victory Bore Prefeasibility Studies (PFS)
Vanadium has gained critical mineral status in the US, Australia, and the EU region, backed by its immense potential due to its energy storage capabilities.
The current demand scenario for vanadium relies heavily on its usage in strengthening steel and alloys, as more than 90% of the current vanadium demand arises from this space. Vanadium-infused strong and lightweight alloys are used in various products, including jet engines, 3D printing and tools. Even Boeing 787 and A350 include up to 100 tonnes of lightweight vanadium alloys.
However, reports suggest that vanadium redox flow batteries (VRFBs), the battery storage units using vanadium, are likely to account for 15-25% of the total battery sector in the next few years. These batteries hold significant benefits over their counterparts as they have immense potential, especially in storage and grid-relief capacities.
With a strong global demand for vanadium, many ASX-listed Australian companies are eyeing the burgeoning opportunities.
Amid this upbeat scenario, ASX-listed diversified mineral exploration and development company Surefire Resources NL (ASX:SRN) is advancing the development of its Victory Bore-Unaly Hill Vanadium Project.
Surefire Resources’ Victory Bore-Unaly Hill Vanadium Project
The project covers two tenements - E57/1068 and E57/1036 - in the midwest of Western Australia, ~500km northeast of Perth.
(Source: SRN update, 31 October 2022)
The midwest gas pipeline terminates ~30km west of the project. At the same time, the Northern Goldfields Interconnect gas pipeline, which is still under construction, will connect the project tenure with gas infrastructure.
As per Surefire, the combined project comprises one of the largest V2O5 resources in Western Australia, with an Inferred Mineral Resource of [email protected]% V2O5, 24.9% Fe, and 5.9% TiO2.
(Source: SRN update, 31 October 2022)
The company has confirmed the project’s economic viability based on the scoping study updated in May 2022.
Victory Bore PFS explores large unexplored host intrusion
The company's recent development at the project includes the commencement of its Prefeasibility Studies (PFSs).
Till now, Surefire has drilled 62 reverse circulation (RC) holes for a cumulative footage of 5,189 metres to complete the PFS infill drilling program.
(Source: SRN update, 31 October 2022)
Surefire has also completed two diamond drill (DD) holes down to 150 metres. The company has highlighted using RC and DD hole samples for PFS’ metallurgical test work.
As per the company, the PFS is focused on a 1.4-kilometre-long section of vanadium resource, with only 8 kilometres of the 20-kilometre-long host intrusion that has been drilled.
Data source: SRN update
Share price: At the time of drafting this article, shares of the company were trading on the ASX at AU$0.012 each on 13 December 2022, and its market capitalisation stood at AU$18.97 million.