Vanadium

Content maintained by Roy Towner and Aden McKay

• Vanadium
• Resources
• World Ranking
• Exploration
• Production
• Industry Developments

Vanadium (V) is used in metal alloys with iron to produce high strength steel which has a wide range of uses, including structural applications such as gas and oil pipelines, tool steel, the manufacture of axles and crankshafts for the motor vehicle industry and in jet engines for the aircraft industry as well as for reinforcing bars in building and construction.

Non-steel uses include welding and in alloys used in nuclear engineering and superconductors. Vanadium chemicals and catalysts are used in the manufacture of sulphuric acid and the desulphurisation of sour gas and oil.

Vanadium is sold as vanadium pentoxide (V₂O₅), or less commonly as vanadium trioxide (V₂O₃) and as an alloy of iron and vanadium, most commonly as FeV80 which has 80% contained vanadium, or as FeV50. V₂O₅ is typically quoted in US$ per pound (lb), while FeV is quoted in US$ per kilogram.

Primary production of vanadium from mining and processing of magnetite ores accounts for only 29% of annual world production of vanadium. The majority of world production of vanadium (56%) is recovered from slag produced as a by-product of steel making, while the remaining world production (15% ) is recovered from wastes including fly ash and oil residues.

Vanadium prices have fluctuated during the past decade, with sharp price rises and and equally sharp declines over short periods. Historically, prices have ranged from US$1.30 per lb V₂O₅ to more than US$20 per lb. The average prices have been in the range US$3 to $4 per lb.

Australia's economic demonstrated resources (EDR) of vanadium increased by 95% in 2008 to 1750 kilotonne (kt) from 898 kt in 2007. Growth in EDR was recorded at Balla Balla mid-way between Karratha and Port Hedland in Western Australia (WA), Barambie 80 kilometres (km) north of Sandstone, WA, and Bigrlyi located 390 km north west of Alice Springs, in the Northern Territory (NT).

Historically, Australia's EDR have fluctuated because of the economic impacts of volatile prices and the nature of the vanadium market, which is supplied largely from secondary sources that rapidly increase or decrease output in response to price trends.

China, the Russian Federation and South Africa have the world's largest resources of vanadium. Australia has the world's fourth largest resources.

Data on exploration expenditure for vanadium are not available. Exploration continued at the Balla Balla, Barrambie and Gabanintha deposits (WA), and at the Bigrlyi deposit (NT).

There was no production of vanadium in Australia during 2008 and only a limited period of mining at Windimurra (WA). While there are a number of vanadium deposits in Australia, Windimurra, has been the only deposit mined in recent years. Most of the world's mine production of vanadium during the year was from South Africa (38%), China (33%) and Russia (27%).

In late 2008 mining re-commenced at Windimurra deposit (WA) with run-of-mine stockpiles being built. It was proposed that the mine would produce 6400 tonnes per annum (tpa) of ferrovanadium and 1000 tpa of vanadium pentoxide, which would represent about 8% of the world market. In February 2009 administrators were appointed after the company's operations were suspended.

Windimurra Vanadium Ltd announced an increase in total resources for Windimurra deposit to 176.59 million tonnes (Mt) grading at 0.46% V₂O₅. Included in this total resource are proven ore reserves of 40.7 Mt grading at 0.47% V₂O₅ and probable ore reserves of 57.1 Mt grading at 0.47% V₂O₅. Vanadium mineralisation occurs within a shallow-dipping magnetite-rich horizon on the eastern side of a large gabbroic intrusion.

Aurox Resources Ltd has secured environmental approvals from the Western Australian Government for the Balla Balla vanadium-titanium-iron ore project. A new feasibility study on capital cost estimates for the project confirmed the initial estimates for the plant, slurry pipeline and port infrastructure at just over $1 billion, with operating cost calculated at $36 per tonne of concentrate mined, processed, delivered to Port Hedland via slurry pipeline and despatched for export by ship loader. The slurry pipeline study will look at a facility approximately 110 km long with capacity to transport 10 million tonnes per annum (Mtpa). It also is carrying out titanium test work in China to determine the viability of producing a saleable ilmenite product from the project. Mining is expected to commence in early 2012. Recent resource estimates for the project were reported as proven reserves being 180.4 Mt grading at 0.63% V₂O₅, 14.0% TiO₂, and 45.2% Fe, and probable reserves being 26.9 Mt grading at 0.62% V₂O₅, 13.5% TiO₂, and 45.36% Fe. Balla Balla is a titaniferous magnetite segregated zone within a large mafic/ultramafic intrusion

In February 2009, as part of the feasibility study of its Barrambie Project, Reed Resources Ltd reported total indicated plus inferred resources of 65.2 Mt grading at 0.82% V₂O₅, 17.3% TiO₂ and 49.2% Fe₂O₃.

Yellow Rock Resources Ltd released an updated resource estimate in January 2009 on its Gabanintha vanadium-iron-titanium project, 43 km southeast of Meekatharra, WA. Based on a cut-off grade of 0.35% V₂O₅, the project comprises a measured resource of 94.9 Mt grading at 0.56% V₂O₅, 27% Fe, and 7.2% TiO₂, an indicated resource of 34.68 Mt grading at 0.69% V₂O₅, 31.9% Fe, and 8.5% TiO₂, and an inferred resource of 21.9 Mt grading at 0.74% V₂O₅, 33.9% Fe, and 9.0% TiO₂. The Gabanintha deposit contains a Windimurra style hanging wall ore zone and a Balla Balla style foot wall zone.

Energy Metals Ltd upgraded the resource estimates for the Bigrlyi project, NT, as it commenced its pre-feasibility study of the project, including further metallurgical testwork. Based on a cut-off grade of 500 parts per million (ppm) U₃O₈, the deposit contains indicated resources of 2.3306 Mt grading at 1739 ppm U₃O₈ and 2429 ppm V₂O₅ and inferred resources of 5.231 Mt grading at 1250 ppm U₃O₈ and 2705 ppm V₂O₅.