Australian Vanadium Ltd. (AVL) has agreed with Albright Metals Ltd. to terminate a nine-year-old split mineral-rights arrangement, regaining total ownership over key tenements at its Australian Vanadium Project near Meekatharra, Western Australia.
The transaction simplifies the project’s ownership structure and grants AVL full control over the exploration and future development of base and precious metals across the tenure, including potential by-products such as nickel, copper, and gold.
Under the terms of the deal, AVL will terminate the 2017 mineral rights sale agreement and the associated 0.75 per cent net smelter return royalty previously held with Albright, formerly Bryah Resources Ltd.
In consideration, AVL will pay Albright AU$500,000 in cash, issue AU$1.25 million in AVL shares, and assign its 0.75 per cent net smelter return royalty over the Tumblegum South project to Albright.
Albright will also withdraw all caveats on the relevant tenements and transfer all technical data to AVL.
AVL CEO Graham Arvidson said the agreement establishes a cleaner and more adaptable framework as the company moves toward developing a primary, globally significant vanadium operation.
“This transaction provides a cleaner, more flexible ownership structure for development of the Australian Vanadium Project,” Arvidson said.
“Our immediate focus remains the development of a globally significant vanadium operation.
“In addition to simplifying the operating framework, the transaction also preserves for AVL shareholders the potential value of additional minerals within the broader project area, including nickel, copper and gold.”
Reacquiring the rights allows AVL to evaluate nickel, copper, and cobalt mineralisation on an integrated basis alongside its primary vanadium processing plan.
Although AVL has not yet established a commercial development case or mineral resource for base metals or gold across the site, the consolidated rights provide long-term exploration optionality.