An unheralded metal could become a crucial part of the renewables revolution. Vanadium is used in new batteries which can store large amounts of energy almost indefinitely, perfect for remote wind or solar farms.
The unique properties of vanadium make it ideal for a new type of batteries that may revolutionise energy systems in the near future – redox flow batteries.
Batteries store energy and generate electricity by a reaction between two different materials – typically solid zinc and manganese. In flow batteries, these materials are liquid and have different electric charges.
Both are pumped into a “cell” where the electric current is generated. A tiny membrane separates the two liquids, so they are able to react but don’t come into direct contact.
Vanadium is used in these batteries as it can convert back and forth from its various different states, which can carry different positive charges. As only one material is used, the risk of cross contamination is eliminated.
The liquids have an indefinite life, so the replacement costs are low and there are no waste disposal problems. Also, the battery is extended to a potentially infinite lifetime.
Not only is China the world’s biggest consumer of steel…
“And the biggest user of vanadium batteries…
“It also produces more than HALF of the world’s vanadium. And three-fourths of its exports.
“In short, the world’s supply of vanadium is about to completely VANISH.
“All just as Trump is ramping up his military buildup and infrastructure plans.
“And America has NO domestic primary production of vanadium. Not a single primary mine produces the stuff.”
Vanadium is at all-time-highs in the mid-$30s/lb right now for V205 Vanadium Pentoxide Flake and around $140/kg for Ferro Vanadium, the last real price spikes came in 2005-6 and 2008-9, presumably also driven by steel demand, mostly from China.
Vanadium set to power not just the new electric car, but the solar, wind, and energy wave of the 21st century. But in airplanes, military technology and mass infrastructure projects...
Vanadium is the best energy metal investment imo.
TMT Price at posting:
42.0¢ Sentiment: Buy Disclosure: Held
