Neometals secures conditional grant for VRP1 in Pori, Finland

Neometals’ Vanadium Recovery Project (VRP1) successful Pori, Finland, has secured a conditional assistance of €48.7m ($56.56m) from Business Finland.

The grant, which volition enactment the improvement of the project, is contingent upon the institution securing the remaining equity and indebtedness financing needed for VRP1.

Neometals holds an 86.1% involvement successful Recycling Industries Scandinavia (RISAB), which is the sole proprietor of Novana, the entity liable for processing VRP1.

Previously, the institution announced that the VRP1 feasibility survey demonstrated the imaginable for vanadium pentoxide (V₂O₅) accumulation astatine lowest-quartile operating costs, alongside a low-to-negative c footprint.

Novana is presently engaged successful a task financing enactment process, with a extremity of raising astir €400m successful full financing.

Nordic slope Skandinaviska Enskilda Banken is managing the indebtedness component, portion EIT RawMaterials is managing the equity package.

The conditional assistance from Business Finland is expected to alteration the equity financing required for the project.

Novana holds the exclusive licence to Neometals’ VRP exertion wrong the Nordic portion arsenic good arsenic a non-exclusive licence for areas extracurricular the region.

Novana is required to wage Neometals a 2.5% royalty connected gross revenues from each products and income generated done the usage of this technology.

The task benefits from a semipermanent lease implicit the projected VRP1 works site, a secured biology licence and a binding offtake statement for 100% of VRP1’s V₂O₅ products with Glencore International.

Neometals has stated that it does not mean to supply immoderate further worldly backing to RISAB oregon Novana for the improvement of VRP1 and expects its existent ownership involvement to beryllium diluted to a number equity position.

Neometals managing manager Chris Reed said: “We would similar to congratulate the Novana squad and convey Business Finland and the Finnish Government for their ongoing enactment of the project.

“Vanadium is connected the captious minerals database successful the EU, USA and Australia and this assistance plays a important relation successful reducing the equity required to money the project, which aims to nutrient vanadium with a zero-carbon footprint successful the Nordics from an concern sidestream.”

"Neometals secures conditional assistance for VRP1 successful Pori, Finland " was primitively created and published by Mining Technology, a GlobalData owned brand.

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