Compelling Commodity with Attractive Fundamentals
- Demand is underpinned by increased intensity of use of vanadium in steel produced by emerging market steelmakers, to limit and eventually eliminate the use of inferior steels.
- Upside from VRFBs is expected to increase vanadium demand by an additional compound rate of 6 per cent per year by 2027, according to market forecasts.
- Supply is concentrated and constrained and there is limited new supply from greenfield projects.
- Market fundamentals remain attractive, and existing primary vanadium producers such as Bushveld Minerals are best positioned to deliver new supply.
Quality Vanadium Assets
- Bushveld Minerals’ primary vanadium resources consist of large, high-grade opencast deposits, with grades of 1.6 – 2 per cent V2O5 in magnetite, which are among the highest in the world and offer significant growth potential.
- The company’s 550 Mt combined primary resource is one of the largest in the world and is complemented by low-cost, scalable processing capacity positioned in the lowest quartile of the cost curve, which we intend to operate to maximise efficiencies.
- Bushveld Minerals owns two of the world’s four existing primary vanadium production processing facilities, and has capacity to scale up production significantly.
- When Vanchem and Vametco’s expansion initiatives are complete, the group’s production platform will be more than 8,400 mtVp.a, increasing Bushveld Minerals’ share of the vanadium market.
Diverse Product Offering
- Through Vanchem and Vametco, Bushveld Minerals enjoys a diversified revenue stream from the steel, chemicals and energy storage markets.
Leading Position in VRFB Technology
- Bushveld Minerals, through its subsidiary Bushveld Energy, is exclusively focusing on VRFB technology within the stationary storage market. This market is expected to grow to US$50 billion by 2027.
- Bushveld Minerals’ vertical integration strategy provides flexibility to maximise sales depending on product demand dynamics.
- Vertical integration is key not only to strengthening the vanadium demand profile, but also to unlocking significant economic opportunities for the company along the vanadium value chain.
- Bushveld Minerals’ vertical integration strategy provides a natural hedge against volatility in the vanadium price, as the group can supply the steel, chemicals and energy storage markets to maintain its solid position throughout the commodities cycle.
- Bushveld Minerals’ highly-experienced leadership team pools a range of skills and depth of experience that will help it to achieve its goals and growth targets.
- The team has the necessary vanadium mining and processing experience to ensure operations remain in the lowest cost quartile globally and achieve targets.
- The team has a proven track record of value-creating transactions that have generated strong returns for shareholders.
- Board composition is constantly reviewed to ensure strong corporate governance.
- Bushveld Minerals is committed to high standards of corporate governance.
- The company continuously reviews its governance policies and is committed to improving its practices over time.
- We are dedicated to maintaining sustainable mining and processing practices across all our operations and projects. This includes ensuring our employees enjoy a healthy and safe working environment, that we operate in an environmentally and socially responsible manner, and that we add value to all stakeholders with whom we work.
- We are active in the circular economy, aiming to ensure vanadium contained in VRFBs is fully re-used.
- We regard corporate social responsibility as a fundamental part of Bushveld Minerals’ business and we strive to build sincere and significant partnerships with our multiple stakeholders.
- Bushveld Minerals is committed to delivering attractive returns to its shareholders. The Board supports Bushveld Minerals’ consistent and disciplined approach to capital allocation to manage the group’s growth initiatives.