Australian Vanadium Limited (AVL) announced that subsidiary VSUN Energy has signed a pre-bid agreement with Sumitomo Electric Industries for the Western Australian government’s proposed 50 MW / 500 MWh Kalgoorlie vanadium battery energy storage system (VBESS) project.
The Kalgoorlie VBESS project, that is backed by $150 million (USD 106 million) in state funding, seeks to deliver a locally manufactured 10-hour-long duration vanadium flow battery as part of its long-duration energy storage and local manufacturing agenda and to strengthen the electricity grid in the Goldfields region.
AVL said the collaboration with Sumitomo combines established Japanese flow battery technology with local vanadium supply chain capabilities and provides a structured framework for bid-stage joint technical, commercial and delivery planning.
The pre-bid agreement establishes Sumitomo as the exclusive vanadium flow battery (VFB) technology provider for the project through the expression of interest (EOI) and bidding process for the Kalgoorlie project.
The Japanese firm will provide VSUN with VFB technology, engineering and support services throughout the process.
The agreement also supports AVL’s strategy to develop a vertically integrated vanadium flow battery supply chain spanning mining, processing, vanadium electrolyte production and VFB deployment.
AVL Chief Executive Officer Graham Arvidson said Sumitomo’s involvement reflects a relationship that has been built “over several years of technical collaboration.”
“Through that engagement, we have developed confidence in the reliability and performance of Sumitomo Electric’s vanadium flow battery technology, long-term performance guarantees, and the depth of engineering and financial strength behind them,” he said.
“Bringing this established relationship and Sumitomo Electric’s leading technology into the Kalgoorlie VBESS process strengthens execution confidence and complements the integrated capability that AVL and VSUN Energy have developed in Western Australia.”
Sumitomo Redox Flow Battery Division General Manager Kazuyuki Kamada said the Kalgoorlie project represents an opportunity to apply proven vanadium flow battery technology at scale.
The collaboration comes after VSUN last month submitted a stage one EOI with the Western Australian government for the Kalgoorlie project.
The state government said it has received more than 20 responses to the first stage of the process with stage two set to commence in March. Stage two of the EOI will seek detailed business cases with negotiations with the preferred proponent expected in June.
If the project is awarded to VSUN and Sumitomo is approved as the preferred technology supplier, the parties plan to negotiate a formal supply agreement for project delivery.
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