AVL lands $15 million for relocatable vanadium electrolyte production plant

Perth-headquartered resources and battery technology company Australian Vanadium Limited (AVL) has executed a funding agreement with the Western Australian (WA) government for up to $15 million (USD 10.38 million) to establish a relocatable vanadium electrolyte manufacturing facility.

AVL said the funding will support the design, construction and commissioning of a high-capacity vanadium electrolyte manufacturing facility utilising the company’s V-Nomad production platform.

Designed as a relocatable solution, the V-Nomad platform allows for electrolyte to be manufactured at or near project sites for GWh-scale vanadium flow battery (VFB) installations. The platform is intended to cut logistics, storage and commissioning costs, and support multiple vanadium feedstocks.

AVL Chief Executive Officer Graham Arvidson said the project will expand its capacity to produce vanadium electrolyte to support large-scale VFB projects as well as increasing local content in the vanadium flow battery supply chain.

“The awarding of this grant is an important milestone for AVL and recognises the progress we have made in developing vanadium electrolyte manufacturing capability in Western Australia,” he said.

“The grant will support the next stage of development of our V-Nomad platform and our broader strategy of integrating Western Australian vanadium production, electrolyte manufacturing and utility scale vanadium flow battery deployment, including through opportunities pursued by our downstream business, VSUN Energy.”

The WA government will contribute up to 50% of the project cost, capped at $15 million, with AVL funding the balance.

WA Development Minister David Michael said the project presents an opportunity for the state to further invest in energy transition initiatives by supporting grid-scale energy storage and strengthening critical minerals supply chains.

“By supporting AVL’s electrolyte manufacturing capability, we’re creating new opportunities in advanced manufacturing while helping position WA at the forefront of long-duration energy storage technologies,” he said.

“The development of a high-capacity vanadium electrolyte facility will support local jobs, strengthen our manufacturing capability, and provide the foundations for future grid-scale battery projects across the state.”

The downstream initiative is supported upstream by AVL’s namesake project at Gabanintha in the state’s mid-west, which hosts a mineral resource estimate of 395.4 million tonnes at 0.77% vanadium pentoxide. 

The funding has been awarded through the WA government’s Investment Attraction Fund (IAF).