Australian Vanadium (AVL) has completed its merger with Technology Metals Australia (TMT), acquiring 100% of TMT's shares. 

Australian Vanadium (AVL) has completed its merger with Technology Metals Australia (TMT), acquiring 100% of TMT's shares. The strategic move, initiated with the merger announcement in September, has seen AVL and TMT collaborate closely to integrate their projects. The merger effectively unites two neighbouring vanadium projects, forming a combined venture. AVL's focus on concentrate quality and coproduct optimisation aims to unlock reduced capital and operating costs, maximising project economics and shareholder value.

The merged projects encompass the high-grade V-Ti-Fe deposit in the Murchison Province, located approximately 43km south of Meekatharra in Western Australia. The plan includes open-cut mining, alongside the establishment of a crushing, milling, and beneficiation plant south of Meekatharra, with a concentrate processing facility near Geraldton port. A 2022 project report outlined an expected average annual vanadium production of 11,200tpy vanadium pentoxide and 900ktpy of ferrotitanium coproduct, with a CAPEX of US$435M. Additionally, the Gabanintha project aims for an open-pit mine and plant for approximately 12,800tpy vanadium pentoxide, with a CAPEX of US$318M.

Wood Group has initiated an Optimized Feasibility Study (OFS) for the integrated project. The first stage, scheduled to conclude by the end of the June quarter in 2024, will fine-tune trade-off studies and direct the chosen project development route. As AVL moves towards production, key actions to the projects include optimizing mining and processing schedules, maximising revenue, and reducing capital and operating costs. The rationalisation of plant and infrastructure is planned to improve the mine plan and capital expenses, alongside the sharing of stakeholder relationships, technical knowledge, and operating practices.

This merger positions AVL and TMT in a solid position in the global vanadium development landscape, boasting one of the largest and most advanced projects of its kind. Coupled with AVL's growth initiatives in the vanadium redox flow battery (VRFB) market through its subsidiary, VSUN Energy Pty Ltd, and its vanadium electrolyte manufacturing facility, this project is set to be one of the largest pit-to-battery endeavours outside of China, contributing significantly to local content in the battery industry. The VRFB market has strong growth potential, making it central to domestic vanadium demand.