Nextsource Materials Inc (NSRCF)

[JJKINGOFBEEPERS]

Mr. Perles continues, "Now that the vanadium redox flow battery technology seems to be on the cusp of mass commercialization, it could lead to an explosive new demand for vanadium. In this application, purity of the vanadium compound (in the form of V2O5) is critical, whereas purity is of little concern to the steel producers, given the small amount of vanadium added to steel. Therefore, it is critical for the vanadium, steel and battery industries to recognize the growing demand for vanadium in the coming years, as well as the possible structural change in quality requirements resulting from large scale commercialization of the vanadium redox flow battery systems. Significant supply shortages of V2O5 are possible in the coming years unless significant additional production, meeting battery application quality requirements, is brought on line in the next few years. Vanadium prices should reflect the tight but growing market conditions in the coming years and we anticipate V2O5 market prices will move up from current levels into the range of US$10.00 to US$15.00 per pound V2O5."