Key Features:
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Medcalf project location - Located 470km south-east of Perth. Esperance port 400km by road
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100% Owned by Audalia Resources;
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Three granted exploration licences covering 8km2;
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Located in the rich mineral endowed Yilgarn craton of Western Australia;
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Explored by major Company's, Unimin, Amoco, Cyprus, Arimco, Lionore and recently Norilsk for nickel, copper, gold, Platinum group metals and Vanadium and Titanium.
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Amoco (1982) estimated a resource (non-JORC) of 16 million tonnes of 0.8% Vanadium and 12% Titatnium in three mineralised areas, Egmont, Vesuvius and Fuji
Significant vanadium and titanium drill intercepts:
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Intervals are approximately 1.5m.
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Holes are drilled into a weathered outcropping pyroxenite unit.
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Pyroxenite unit is gently dipping and therefore will have a low ore/waste strip ratio when mined
Table 1 Results of Vanadium and Titanium Drill Intercepts
A Comparative Vanadium Project - Barrambie:
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Reed Resources completed a Definitive Feasibility Study (DFS) into the production of vanadium from the Barrambie deposit in May 2009.
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The key results of the DFS include:
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Average EBITDA per annum of A$105 million using an average ferrovanadium price of US$30/kg and an exchange rate of AUD$1=USD$0.60.
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Operating costs of less than USD$20/kg of vanadium.
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Initial mining reserve of 39.7Mt of ore at a grade of 0.82% V2O5.
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Minimum of 12 years mine life at throughput of 3.2Mt per annum.
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Capital cost estimated at A$628.9 million.
Medcalf positives:
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Similar grade;
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Will have better economics on the ore to waste strip ratio;
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Closer to port.
Medcalf proposed Development and Exploration works:
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Collect a bulk sample for metallurgical testwork;
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Complete a drill program to confirm Amoco resource estimate;
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Complete a scoping study on the economics of the project.
Figure 1 Medcalf Project - Location Map
Figure 2 Geological Interpretation for Medcalf Project
What is Vanadium?
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Vanadium is a soft, grey, ductile transitional metal.
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Vanadium has resistance to corrosion and stability against alkalis, acids and salt water.
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Vanadium has been used to strengthen and harden steel since the late 1800’s.
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Vanadium has recently been used in the advancement of battery technology and acts as a supercharger.
Why Vanadium?
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Energy storage is predicted to be a $600 billion industry by 2020, with 51% predicted to come from battery technologies.
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Vanadium - lithium-phosphate delivers the highest energy density and voltage of any current battery chemistry.
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By 2020, it is predicted that 10% of the vehicle market (currently estimated at 250 million vehicles) will be battery operated.
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Energy usage in household, commercial and grid is estimated to use 10 million tonnes of Vanadium beyond 2020.
