Could be a turning point for the NAGsters and whilst we have said that before we've never had Warwick Grigor in our corner before.
Here are some of his thoughts for the future of Antimony and if NAG's assays confirm the visual drilling results we could be riding on the Antimony coat tails for quite a ride
Calcium-antimony batteries could be better and cheaper than both lithium-ion and VRFBs for stationary storage
There are a few ASX junior stocks dabbling in antimony, including Southern Cross Gold, Red River Resources, Great Northern Minerals, and Nagambie Resources
This week’s top battery metal stocks: Lithium Energy, QX Resources and Larvotto Resources
Our High Voltage column wraps all the news driving ASX stocks with exposure to lithium, cobalt, graphite, nickel, rare earths, manganese, magnesium, and vanadium.
To meet electrification targets we need an impossibly large 336 new graphite, lithium, nickel, and cobalt mines by 2035, Benchmark Mineral Intelligence says, and that includes recycling.
A partial solution to this shortfall is substituting some lithium-ion batteries – especially the large ones used for stationary storage – with alternative battery chemistries.
Stationary storage systems are big batteries often designed to store excess power from the grid for use during expensive peak demand periods.
Here, the spotlight ex-lithium is largely on vanadium redox flow (VRFBs) and zinc-bromine batteries, but there’s a new kid on the block that Far East Capital analyst Warwick Grigor is plenty excited about.
It’s called a calcium-antimony battery, and even Bill Gates is into it
Grigor says that while lithium-ion is the default at present for stationary storage, and vanadium batteries are gaining more attention, calcium-antimony could be better and cheaper than both. USA company Ambri has developed a liquid metal battery comprised of a calcium alloy anode, a molten salt electrolyte and a cathode comprised of solid particles of antimony, he says.
Importantly, it does not require in-demand materials like lithium.
“Last year it raised US$144m, with Bill Gates being one of the funders,” he says.
“The antimony-based battery has an expected life span twice that of lithium batteries, experiencing minimal capacity loss over a 20-year life.
“This is a grid-scale storage system for solar and wind energy that, according to Ambri, is “the battery that will change the world”.”
These batteries have progressed past the bench-scale test level and are now going into pilot scale field operations with US company Xcel Energy, which is installing a demonstration battery at the Solar Technology Acceleration Centre in Colorado over the next year.
The Excel facility is one of five similar pilot projects planned for 2023.
What is antimony, and how can you invest in it?
Antimony is used for military applications including precision optics, night vision goggles, infrared sensors, military clothing, tanks, and even the manufacture of armour piercing bullets.
Because of its fire-retardant properties, antimony is also widely used in plastics and paints, and its anti-corrosion properties strengthen everything from nuclear energy facilities to batteries and wind turbines.
High-tech devices like smartphones, semiconductors, cars and computers depend on antimony to operate efficiently.
Now you can add batteries to that list.
Like most critical minerals, around 80% of antimony comes from China and Russia.
However there are a few ASX junior stocks dabbling in the space, including Southern Cross Gold (ASX:SXG), Red River Resources (ASX:RVR), Great Northern Minerals (ASX:GNM), and Grigor’s own Nagambie Resources (ASX:NAG).
Grigor, who recently joined the NAG board, says the company is optimistic that typical mine grades at its namesake project in Victoria could be in the range of 5-10% stibnite, “which would make it one of the highest-grade antimony orebodies in the world”.
“As such, it is very well positioned to feed into the strong demand we can see coming from the calcium-antimony battery developments over the next few years,” he says. READ: Antimony — One of the most important critical minerals you’ve never heard of
Could calcium-antimony be the next big thing?
Tremendous profits have already been made by investors backing battery material companies, Grigor says.
The most obvious ones have been in the lithium space, but one thing is certain; new battery technologies will emerge that provide opportunities for other commodities to outperform.
“Technological development never stops, and the world is always looking for better alternatives,” he says.
“The development of the antimony-based grid storage battery is one such initiative that offers great upside for antimony companies and investors, of which there are very few so far.”
NAG Price at posting:
7.5¢ Sentiment: Buy Disclosure: Held
(20min delay)
