European Price for V2O5 Powder (98%) in USD/lb graphed back to start of 2014
The Vametco deal was first outlined to shareholders in the 9th May 2016 RNS but the Bushveld team must have been doing due diligence it for at some 6-18 months beforehand. You can see that Fortune managed to strike this deal at pretty much the lowest point forV2O5 in the last 5 years. Sometimes there are advantages to being small – being able to act quickly is one that Fortune has taken a huge advantage from.
The drop in late 2016 is likely the shutting down of excess or environmentally dirty production of steel in China, and the associated Vanadium co-production from slag. It is unlikely that much of this Vanadium production will return, so it can be expected that these prices will continue to rise above the current USD 6.20 figure and will stay there.
STOP PRESS: In July 2017, following reports that China intended to ban the importing of Vanadium slag by the end of the year and that there were plant shutdowns in china for environmental inspection there was a sudden rise in the price of Vanadium products. Today, July 30th 2017 prices in Europe are in excess of 9 USD/lb.