maximus emerging as a major force in iron ore, page-87

FYI...From the Euroz Securities report on WVL in reference to Vanadium market supply with comments on China and South Africa.



http://www.pmal.com.au/aurora/assets/user_content/File/Euroz%20Broker%20Research%20-%2028%20Mar%2008.pdf.


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Vanadium demand is forecast to grow at 7.8%pa (CRU), slightly ahead of the 7.1% growth over the last 5 yrs.

Vanadium demand is mainly used in high performance steels and accordingly its intensity of use (~50g/t of steel globally) is geared toward increasing economic industrialisation.

The largest global producers are China 29%, Sth Africa 25% and Russia 15%. The bulk of the Chinese and Russian supply is as co-product from magnetite iron sources and its growth is linked to expansion of co-production facilities which are relatively unique.

Only Panzhihua and Chengde in China are known to have expansion plans (~8kt in 2009). This growth is needed to meet forecast market demand.

Closure of small high cost and high polluting operations in China and increased export taxes will partially offset any planned growth there.

The power supply crisis in Sth Africa is likely to have curtailed any potential growth in supply there.//