Horizon Minerals will sell off its interest in the Richmond-Julia Creek Vanadium project to its joint venture partner.
Horizon plans to sell off the project, 400km east of Mount Isa, to venture partner Richmond Vanadium Technology keeping a 25pc interest in the demerged project which will become a dedicated vanadium focussed IPO.
Horizon said they expect the transaction to complete in the March quarter 2022 with an ASX listing expected in the June quarter 2022.
Horizon Managing Director Jon Price said the Richmond - Julia Creek oxide vanadium project was a world class asset.
"RVT have done an excellent job to complete several rounds of metallurgical tests leading to a complete processing flow sheet and a positive PFS at a time of significant interest in vanadium as a future green energy storage solution," he said.
The Richmond-Julia Creek vanadium oxide project has 1.8 billion tonnes of oxide vanadium and includes the advanced stage Lilyvale deposit progressing towards feasibility study in the second half of 2022 with significant interest from potential offtake partners.
Horizon said the Lilyvale deposit could produce globally significant supplies of 98pc vanadium to the steel and green energy storage markets.
Horizon entered a strategic JV with RVT in 2016 and after an initial earn-in period in March 2018, RVT committed to its agreed expenditure requirements over three years, including a positive pre-feasibility study giving RVT a 75pc interest in the project.
Vanadium is listed as a critical mineral by Australian and American governments due to increasing use of vanadium redox flow large-scale batteries for energy storage.
Richmond-Julia Creek Vanadium is one of several major vanadium projects planned for the Julia Creek - Richmond corridor with Multicom's Saint Elmo the most advanced, with a mine getting the go-ahead in September.
There is also QEM's vanadium and oil shale project, and a less-developed project from Liontown which hopes to develop Toolebuc Vanadium.
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