Richmond Vanadium Technology (RVT) will invest up to $5 million into Australian energy technology company, Ultra Power Systems (UPS), and obtain the right to supply all vanadium offtake to UPS, as part of its ASX initial public offering (IPO).
The move will see RVT, which owns the 1.8-billion-tonne Richmond Vanadium Project in north Queensland, subscribe for 20 million UPS shares at $0.25 per share, subject to the successful listing and IPO and completion of due diligence on UPS systems.
Ultra, which is looking to s to list on the ASX during FY23, has developed its own vanadium redox flow battery (VRFB) system, the Ultra V40 battery module, and a Standalone Power Station (SPS) which integrates solar and wind turbines into a mobile and scalable power generation system highly suitable for off-grid applications.
The proprietary mixed-acid vanadium electrolyte used in Ultra’s battery provides a 70% increase in energy density and a higher operating temperature range when compared to conventional vanadium electrolytes.
The initial markets for Ultra are off-grid mining applications (such as bore pumps, exploration camps, mining villages, and ultimately full mine electrification), remote communities, community batteries, residential microgrids, and the particular charging requirements of the electric vehicle sector.
RVT Managing Director, Shaun Ren, commented, “As Richmond Vanadium continues to advance its world class Richmond Vanadium Project in north Queensland, having a partner like Ultra who is already successfully developing VRFBs contributes to our aim of establishing a significant mine to metal to battery corridor right here in Australia”.
Brad Appleyard, Chairman & CEO of Ultra said the agreement provides Ultra with funds to facilitate the development and production of its proprietary VRFBs and Patented Electrolyte, as well as potential future agreed supply of this critical mineral.
“We are taking the next step in creating a strategic partnership, the additional funding will facilitate the acceleration of Ultra’s development and planned modular electrolyte production. We look forward to working together as this new industry grows exponentially,” he concluded.
