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[Ferro-Alloys.com] Neometals (ASX:NMT) has agreed to an extension of its co-operation agreement with unlisted Scandinavian mineral development company Critical Metals in relation to the proposed vanadium recovery operation in Finland. Neometals is earning a 50% share in an incorporated joint venture (JV) to develop a vanadium recovery project with Critical Metals.

The company has funded the evaluation studies to recover ‘high-grade’ vanadium chemicals from vanadium-bearing steel making by-product (slag) generated by SSAB EMEA AB and SSAB Europe Oy in Scandinavia.

NEOMETALS IS EARNING A 50% SHARE IN AN INCORPORATED JOINT VENTURE (JV) TO DEVELOP A VANADIUM RECOVERY PROJECT WITH CRITICAL METALS

Critical Metals’ wholly owned subsidiary Recycling Industries Scandinavia AB (RISAB) is the vanadium recovery project special purpose vehicle and counterparty to the original binding Slag Supply Agreement with SSAB for about 2 million tonnes of slag.

RISAB and Critical Metals are in advanced negotiations with SSAB regarding an updated binding Slag Supply Agreement to include a right of first refusal, on an as available basis, to additional slag volumes and revised timetable milestones.

Neometals is advancing negotiations with Critical Metals regarding a RISAB JV shareholders agreement and technology licensing arrangement. Subject to mutual agreement, Neometals expects these agreements to be finalised by the end of February 2023.

The vanadium recover project offers a compelling business case which is underpinned by long-term supply agreement for very ‘high-grade’ vanadium feedstocks without upstream mining costs/risk/carbon footprint, and potentially lowest quartile operating costs from proprietary process flowsheet which uses captured CO2 and chemically sequesters in potentially saleable synthetic limestone tailings by-product.

Neometals is an emerging, sustainable battery materials producer. The company has developed a suite of green battery materials processing technologies that reduce reliance on traditional mining and processing and support circular economic principles.

• [Editor:tianyawei]