Patent Option Agreement (“POA”) Signed – Pathway to Cash Flow and Plant Construction
Key aspects of the signed POA include the following terms with all financial considerations split evenly between VRB and Electrochem:
- Fully executed agreement signed by all parties November 23, 2018 with Ultra Power Systems PTY Ltd. (‘Ultra”) to purchase an exclusive license for VEPT in Australia.
- Ultra plans to expedite construction of the world’s first dedicated vanadium processing facility.
- Advantage of integrating low-cost, sustainably produced vanadium electrolyte into vanadium redox batteries from virtually any source in a fraction of the time and capital requirements of current vanadium extraction processes.
- USD $500,000 payment includes exercise of the option.
- Non-reimbursable down payment received upon signing the Patent Option Agreement.
- 6 month option to acquire the exclusive license of VEPT for the jurisdiction of Australia Territory.
- Definitive license terms exercisable in the POA includes a minimum annual payment, financing fees and a gross royalty due upon production, applicable to all vanadium products, ferrous sulfate heptahydrate (copperas), titanium products and other by-products for a project duration of 25 years. Read the recent news release here…
Technology R&D, testing of global feedstocks at Electrochem in Montreal, Canada
VanadiumCorp’s current mandate is to circumvent conventional piloting as it is not mandatory for commercial demonstration of VEPT. The Company is targeting a commercial demonstration test in an existing 20,000 tpa capacity digester/reactor within a global processing facility. The test would require a minimum of 20-30 tonnes of feedstock with a preference of vanadiferous titanomagnetite “magnetite” “VTM”.
VanadiumCorp is also in discussions with several companies interested in licensing options for VEPT in several global jurisdictions. The default strategy for licensing and deployment is to expand current capacity with the current VEPT semi pilot capacity of 300kg/month nameplate in Boucherville, Montreal at Electrochem Technologies & Materials Inc.
Benefits of building a VEPT facility with potential 200,000 tpa throughput capacity
- Strong technology partner with experience in commercializing new technologies
- Clean technology and mining friendly jurisdiction
- Utilization of inexpensive and clean hydropower in Quebec, Canada
- Government incentives such as grants and subsidies for clean energy technologies
- Off the shelf equipment for VEPT
- Modular Design of VEPT
- Scalable to market or supply technology
- Maximum recovery of three metals (V, Fe, Ti) from multiple single source feedstocks
- Access to available feedstocks by many companies and sources
- DSM (Direct Ship Magnetite) potential in Canada (Lac Dore Complex and Bell River Complex)
- High grade vanadium bearing fly ash waste compatible with VEPT
- Federal mandate to support innovation and commercialization of clean energy technologies
- Partnerships with government and NGO’s
- Strong community support for clean energy solutions and potential and related employment opportunities
- Strong investment support from existing stakeholders and clean energy market