Member Info for RichKen

DarrylJ - I have no doubt that when the JSE happens we will move from AIM to the FTSE! It must and surely will happen. This company will gain so much traction and this is the time, post announcements on Vanchem, Mokopane, and Bushveld Energy Electrolyte plant, as well as partnerships with UET, Avalon and Cellcube and potentially others, will happen.
Then of course for South Africa, the biggy could be the announcement of a major supply contract in the local market with Eskom. This has, of course, to go through full tender process and evaluation, but surely has the key local supplier Bushveld Minerals will at minimum supply electrolyte for the VRFB contracts which 'must' really be apart of the BESS requirements! No company is better placed to realise the local content part of these contracts.
I truly believe in less than a year we will be FTSE listed and our SP will be much nearer the true value!
Cheers, RK

Group Outlook
· Execution of the transformation program at Vametco to increase production rates to 3,400 mtVp.a. during the course of 2020 and then to 4,200 mtVp.a. during 2022, remains on track.
· Develop a production platform of more than 8,400 mtVp.a. with a nameplate capacity of 10,000 mtV per annum within the next five years.
· On completion of the Vanchem acquisition, the Company will offer a diverse product offering for the steel, chemicals and energy storage markets.
· Continue to reinforce Bushveld Energy's position as a leading energy storage solutions provider.
· Invest in the vanadium supply chain individually or through partnerships.
· Progress workstreams for the Johannesburg Stock Exchange ("JSE") listing.

Oh, and a company share price which should have a real value of £1.38!

Come on MM's let's get the rise started!

Fortune Mojapelo, CEO of Bushveld Minerals Limited, commented:

"I am pleased to report that Bushveld Minerals has continued to build on firm foundations in the first half of 2019, enjoying progress across the Group and establishing new platforms for further future growth.



"The Group's EBITDA of US$41million and free cash flow generation of US$23 million achieved in the period highlights the mine's robust nature as a low-cost, highly cash generative operation, and was achieved in a period of weaker vanadium prices, which averaged 14 per cent less than a year earlier. Even with this strong result, we will be focusing our efforts at Vametco on further refining processes to maintain cost control.



"Operational performance has been improved through our transformation programme at Vametco, which we started to implement at the beginning of the year. Execution of the transformation programme is ongoing throughout the rest of this year and into 2020, during which we will reach a steady state of production of 3,400 mtV per annum.



"In August, we were pleased to receive approval from the Competition Commission of South Africa to acquire the Vanchem assets, without conditions, which was a key milestone in closing the transaction on 31 October 2019. We now look forward to completing the remaining conditions precedent and completing this important transaction for the Group.



"At Bushveld Energy, the first half of 2019 has seen a broader and improved understanding of its innovative business model. The combination of the electrolyte rental product and the current vanadium price is increasing confidence that VRFBs will become a long-term feature of energy grids both in Africa and globally. We expect these events to increase vanadium consumption from VRFBs during second half of 2019 and beyond."

Its out!

I'll come to ninjamagic - that would be a great trip!

So our brokers are underlying the real value, that we are not a strong buy, but a raging Mega Buy!

Thanks Alfa!

One of the most interesting points on the 30kW/130kWh the net weight is 4500 kilos (empty), then the filled weight is approximately 14000 kilos. That is 9500 litres of electrolyte!
It gives some scale to the volume of electrolyte in a 200MWh with 1000 mtV!

Hi Olly4,
I wanted to share the information in a generic form really so investors have some more idea about how these systems look and typical specifications for the systems.
What is amazing is if you think about an eV battery being 30 to 100kW and you look at a Cellcube 10kW/100kWh system how large and heavy they need to be with the volume of electrolyte to give 10 hours of discharge. So it makes it easy for all to see why VRFB will not be used in eV’s. However, larger systems are ideal to back up eV charging stations.
But it all helps us as investors get a picture of how important this new technology will become and why our investment in a truly vertically integrated Vanadium business like Bushveld Minerals makes such a compelling case!
Cheers RK

They really give an idea of how industry can adopt the technology as well as charge stations for eV's. Of course for Bushveld Energy, the mini-grid will be the 'blueprint' for small industrial parks, residential housing projects and power support for on-grid where uninterrupted sources are required. As well as reducing the power supplied off the grid.
This type of installation can and will make a difference all over the planet.
But the large battery systems will over a huge difference to the grid balance. The full opportunity for Bushveld Energy either supplying Vanadium Electrolyte, as well as system support in Africa and around the world is clear to see.

So the Mokopane Licence, Vanchem completion and upgrades to 4 rotary kilns and the Bushveld Energy Electrolyte plant phase 1 cannot come soon enough.

Some more afternoon reading! Fancy your own VRFB here is an information pack!
https://vsunenergy.com.au/wp-content/uploads/2016/11/CellCube-Brochure.pdf

Here are some more examples - a different supplier in Germany:
https://schmid-group.com/en/business-units/energy-systems/applications-everflow-solutions/realized-projects/

A glance into the future of Vanadium storage - Have a look at this system in Germany using Cellcube featured by VSUN:
https://vsunenergy.com.au/wp-content/uploads/2017/01/Bielefeld-Brochure.pdf

Dear Eskom,
For stationary storage, there seems to be a clear winner today and that is the Vanadium Redox Flow Battery. I have seen recently that these systems can last up to 30 years, they do not lose any significant depth of charge. I have also seen recently that these systems can last up to 30 years, they do not lose any significant depth of charge over life, the electrolyte (stored in tanks), can be reused at the end of life in another VRFB system. I have also found that South Africa has one of the largest high-grade vanadium resources in the Bushveld complex, currently mined by Bushveld Minerals and Glencore. Bushveld Minerals are awaiting the construction of their own vanadium electrolyte plant in East London SA. I have read that the processed vanadium is likely to come from a recent Bushveld acquisition Vanchem and should be mined at the Mokopane mine (awaiting a license) but the short-term supply can come from their Vametco Mining asset. The global significance for South Africa with Bushveld Minerals on board would create strong job growth and also give a massive increase to GDP for South Africa. I read that Eskom has also installed a Vanadium Redox Flow battery in their test centre for evaluation since last year so a lot of knowledge must already have been gained by Eskom. There are many global manufacturers of Vanadium Redox Flow Batteries and the technology is developing quickly, but knowing the electrolyte is mined, processed and produced in SA must be a major consideration in the process. The export potential to the rest of the world for Vanadium Electrolyte may well in the future outperform coal as the energy storage market increases in terms of potential income for SA.
Having looked at the Lithium-Ion options, the short life and loss in depth of charge over life, as well as fire risks makes the other real option 'Lithium-Ion' a risky choice for stationary storage. In my research, I see that it is very likely that recent Systems installed by the likes of Tesla may need replacing after 10 to 12 years.
The fast cycling and frequency stabilization in VRFB are also a big advantage. I have read that in China there is already a 200MW/800MWh project under construction and two larger systems being planned in 2020 of 250MW/1GWh, so these global energy storage projects. I do hope this project is successful for South Africa and these projects can play a major role in reducing carbon emissions and even help SA become a zero-carbon country in the years ahead.
Wishing you every success in this project and hope the right choice makes a huge difference to South Africa.
Kindest regards, RichKen

Pdub, you take as much time as you need. We know you heart is with this incredible investment. Chemo takes it out of you both mentally and physically and you need plenty of rest to get your strength back. Even 5 months after my Claire’s chemo and surgery she still struggles with energy.
We are just all pleased to hear you are moving forward.
Cheers RK

Just to put things here into focus!

This is a picture and information on the Dalian VRFB. This one is 800MWh. There are two more projects planned for 2020 in China each of 1000MWh (one for a renewables project and one for a Nuclear project) and other projects adding a further 1200MWh. Total 3.3GWh excluding Dalian!

https://electrek.co/2017/12/21/worlds-largest-battery-200mw-800mwh-vanadium-flow-battery-rongke-power/

Of course it worth repeating but in SA, they are looking at total projects of 1440MWh in 2020 Dec 31st/2021 Dec31st. Again substantial projects. If you then consider the market in India, the US, UAE, Australia, and even the potential in Europe the numbers are just enormous.

It makes you understand why the Mokopane project is so significant to the worlds vanadium supply as part of a global requirement for VRFB, whilst Vametco (and Brits) focuses on the steel market. That is the reality.

This is why I have said that Bushveld Energy are building a Giga Factory! 1000MWh is 1 GWh = 5500 mtV! It's in the RNS's already and it is clear on both the Bushveld Minerals and Bushveld Energy websites. This is no pipe dream it is happening.

This is why so many LTH are exactly that, long term holders - the future is immense. As Greta would say is my microphone switched on? Can you hear me? Oh and the world is screaming Climate Crisis and governments need to find solutions? If you want to reduce carbon emissions you need carbon-free power generation and you need safe energy storage to store and complete grid balancing. I think you get it :-))

Sorry, but it is the solution, and investors here might just have found a rather large golden egg, and it's about to hatch.

Exciting times folks!

Cheers, RK

Just had a cheeky top up with 4768 shares added!

These low prices really cannot be around for much longer!

Dear Pdub,

Just to say we very much miss your regular assurance and reminders of the potential and the achievements of Bushveld Minerals.

I am sure that everyone on this board wishes you a speedy recovery after your lastest intensive course of Chemotherapy. Many of us have witnessed or experienced first hand the effects of this treatment of the dread cancer word that we all dread to hear.

If you can stay strong and be as positive in your recovery as you have been on this board you will soon be up and running again.

I am sure everyone on this board feels just the same! Get well soon our good friend! We are with you in thought and prayer!

Cheers RK

So why would this be? For new investors and those curious...

- Bushveld Minerals has made huge progress over the last 6 years from being a prospective to a full mining a processing vanadium business through low-cost brownfield acquisition
- They own Vametco a highly profitable Vanadium Mining and Processing Business producing just under 3000 mtV per annum based on an operation cost of circa $19 per kilo. The Vanadium is sold mainly at a premium in the form of Nitrovan a high-quality vanadium-based steel additive shipped mainly to the US.
- They own two additional vanadium resources Brits, which is a strike extension adjoining Vamatco and Mokopane the largest high-grade vanadium resource on the planet which is due to receive a mining license.
- They are in the process of acquisition of a large Vanadium Processing plant which has a throughput of 960mtV per year but can easily be reinstated to full capacity of 4200 mtV per year with minimum investment - This Vanachem acquisition is due to be completed on 31st October 2019
- One of the most exciting technologies which are right on the topic right now is energy storage and vanadium can be used to make electrolyte for Vanadium Redox Flow Batteries. Bushveld Minerals have a division Bushveld Energy who are building a Vanadium Electrolyte plant designed for up to 1000 MWh of electrolyte production. This will be feed with high purity vanadium powder from the Vanchem plant. This electrolyte can be sold to VRFB manufacturers around the world and the potential to grow this business is very simple for the business. The potential market for energy storage is expected to exceed $100 Billion of which Bushveld Energy is likely to be a key player!
- South Africa has its own projects being procured at the moment for Battery Energy Storage and Bushveld Energy would be expected as a local supplier to be able to participate in this opportunity and will hope to become a player in this project
- Bushveld Minerals have a cash reserve from strong profits in 2018 and are debt-free.

With all these key elements in place, one would expect that investors would see significant upside over the year ahead. The broker targets are 45p and 92p. As a long term investor, I will be adding more BMN shares to my portfolio very soon and I am very excited to do so.

Have a great weekend all.

Cheers RK

There is much discussion on this board about key triggers for the SP. But one of the key triggers will be the potential from the BESS project of which the completion of phase one is scheduled for 31st December 2020 - That is installed and running. The project must perform for 20 years!

Which technology can actually deliver on a 20 years performance?

The tender askes for 20% of the project to use SA resource (this can be service) but you would think that Eskom would favour SA resource and minerals from local sources. It was mentioned!

I really recommend you spend the 58 minutes of this tender presentation to understand fully what is being considered.

https://youtu.be/SrYuqFZmizk

Localisation targets for phase 1:
• Minimum 20% local content (local to site and
South Africa) to be achieved for each package
• Subcontracting to local suppliers, M&O
• Designated material (as prescribed by the
South African Department of Trade and Industry) - http://www.thedti.gov.za/industrial_developme nt/ip.jsp
• Skills development (as prescribed by the skill development regulation )

8 sites for installation in phase I and total Battery Capacity is 200MW/800MWh!

That is the equivalent to the Dalian project in China split 8 ways so pretty big.

The world will be watching this project with huge interest because it shows whichever the chosen technology is, its successful implementation will be a benchmark which other countries will follow in their plans too.

Ferro Vanadium 80% FOB (China) US$38.3/kg vs US$38.3/kg

Ferro-vanadium prices remain stable in China

Ferro-vanadium prices remain stable in China at US$35-38.5/kg despite some volatility in Europe (FastmarketsMB).
Prices for ferro-vanadium fell 1% in Western Europe yesterday.
The slowdown in Europe and China will be having some impact. Prices also fell by 2.7% last week in Pittsburg, USA despite better US housing starts and construction activity in general (Trading Economics).

Other news:

Tesla continues to dominate the EV market (Adamas Intelligence)

In the first half of this year, Tesla deployed more battery power than its next three competitors combined- 11k MWh were deployed in the first half of 2019.
According to Adamas, Tesla’s dominance its due to strong sales of its high capacity models, which have battery capacities of 60 to 100 kWh. The global weighted-average of all EVs sold is 19.7 kWh.

Currencies

US$1.0918/eur vs 1.0942/eur yesterday.
Yen 107.84/$ vs 107.69/$.
SAr 15.086/$ vs 15.029/$.
$1.228/gbp vs $1.235/gbp.
0.676/aud vs 0.675/aud.
CNY 7.123/$ vs 7.128/$.

Dollar continues to gain ground against Euro

EUR/USD is hitting its lowest since May and nearing 1.09.
This is fuelled partly by German import prices dropping 0.6% in August.