Neometals secures EU funding for Finnish vanadium recovery project

Neometals Ltd (ASX:NMT) has announced the execution of a project agreement with EIT RawMaterials GmbH to support the development of the Finnish vanadium recovery project. EIT RawMaterials, co-funded by the European Union, will provide €0.5M in grant funding to Neometals' 88% owned entity, Recycling Industries Scandinavia AB, and become a minority shareholder in RISAB at a pre-money valuation of €50M.

Executive Commentary from Neometals Managing Director

Neometals Managing Director, Chris Reed, expressed delight at the support from EIT RawMaterials and the significant backing from the Finnish State and EU. He emphasized the company's aim to deliver Europe's first domestic producer of high-purity vanadium, a critical material for high-strength steel, aerospace titanium alloys, and stationary energy storage batteries.

Summary of EU funding for Finnish vanadium recovery project

Neometals has secured a €0.5M grant funding from EIT RawMaterials for the Finnish vanadium recovery project. The company aims to capitalize on the support from the Finnish State and EU to become Europe's first domestic producer of high-purity vanadium. With the execution of the project agreement, Neometals is progressing towards securing the remaining equity and debt funding for the project, targeting a combination of debt and equity financing. The company's ambitions align with the EU's focus on increasing the production of raw materials and addressing the circular economy, with vanadium being a critical raw material on the EU list since 2017. Neometals' sustainable processing solutions contribute to the global transition to a circular economy, emphasizing its commitment to reducing the environmental burden of traditional mining.