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TSX.V: AVC OTCQX: AVCVF FRA: 0UA April 19, 2013
TSX.V: AVC OTCQX: AVCVF
FRA: 0UA
April 19, 2013
SAFE HARBOR
American Vanadium Corp. (“AVC”) will strive to maintain the information in this presentation in an accurate and timely manner. However, the information contained in this presentation should not be solely relied upon when making investment decisions. AVC does not warrant or make any representations as to the accuracy, completeness or content of this information or any other information discussed or referenced in this presentation. This presentation contains statements which may be deemed to be "Forward-Looking Statements" within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. We may also make written or oral forward-looking statements in our periodic reports, or in our annual report to shareholders, in our proxy statements, in our offering circulars and prospectuses, in press releases and other written materials and in oral statements made by our officers, directors, or employees to third parties. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.
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CAPITAL STRUCTURE
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April 2013
Stock Markets TSX.V: AVC OTCQX: AVCVF
Market Capitalization $20 million
Issued Shares 35 million
Fully Diluted Shares 43 million
Ownership 20% Management/Insiders 20% Institutions
VANADIUM IN STEEL A GREEN METAL
High Strength, Low Alloy Steel (HSLA)
1 ton HSLA = 1.4 ton carbon steel ≤ 0.2% vanadium content in steel Increases strength by up to 100% Decreases weight by up to 30%
iron ore consumption
shipping costs
energy consumption
manufacturing costs
pollution
number of steel mills
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.
VANADIUM PRICE FORECAST
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Vanadium price forecast does not include demand for energy storage applications
0
5
10
15
20
25
30
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Monthly V2O5 $/lb Historical and Forecast
Historical source: London Metal Bulletin Forecast source: Roskill Consulting Group
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Americas Only Strategic Vanadium Resource
• Only vanadium project in the US
• 100% controlled, 2% NSR
• 10 year mine life – combined reserve and resource
• Excellent opportunity to increase resource
• Feasibility Study and NI 43-101 Technical Report, 2011 (AMEC)
Gibellini Hill
2500 feet
Projected to be the worlds lowest cost source of electrolyte
Operations Team
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Michael Doyle, MGeol, Executive VP, Operations Michael Doyle has more than 30 years of domestic and international mining experience in surface and underground operations, most recently as Executive Vice President of Allied Nevada Gold Corp. Prior to joining Allied Nevada Gold, Mr. Doyle held positions of Senior Vice President of Operations for Kinross Gold Corporation, Vice President and General Manager of Round Mountain Gold Corp, (Kinross-Barrick joint venture) and General Manager of Gold Bar operations for Atlas Gold Corp. He graduated in 1977 from the University of California at Santa Barbara with a degree in geology and was the past chairman of the Nevada Mining Association.
Ron Espell, BSc, VP, Environmental Ron Espell, has more than 30 years of domestic and international mining experience, primarily, most recently with Barrick Gold as Corporate Environmental Director with responsibilities for new project development, permitting and financing, environmental oversight of operating mines, and the development and implementation of Environmental Management Systems. Mr. Espell held roles within Barrick as Environmental Manager at Barrick’s Goldstrike Mine and Environmental Director for the Barrick Australia Pacific and African Regions. Before joining Barrick, Mr. Espell was with the Nevada Division of Environmental Protection, where he helped develop and implement Nevada mining environmental regulatory programs.
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Eureka County, Nevada
100% controlled
Only advanced vanadium project in US
Permitting & detailed engineering underway
4% of global production
Open pit, heap leach operation
Average Power Demand: 1.5MW (24/7) Installed Solar: 4MW Installed Wind: 1MW Vanadium Flow Battery 2MW, 10MWh
The Resource – “From Mine to Megawatts”
September 2011 (AMEC)
Internal Rate of Return (IRR) 43% Net Present Value $170 million (7% discount) Payback 2.4 years Average Grade 0.302% V2O5 Strip Ratio (waste : ore) 0.22 to 1 Average V2O5 recovery 65.9% Average Annual Production 11.4 million lbs V2O5 Operating Cost $4.10 / lb V2O5 Capital Cost $95.5 million Average V2O5 Selling Price $10.95 / lb* V2O5 Selling Price Range $7.68 - $13.63 / lb*
GIBELLINI HILL GEOLOGY
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AMEC Feasibility Study Summary
Class Tons (1,000 lbs)
V2O5 (%)
Cut-off Grade (V2O5 %)
V2O5 Contained (pounds)
RESOURCE Total Measured & Indicated (inclusive of Reserves)
23,050 0.285 0.066 – 0.077 131,369,000
Total Inferred
14,226 0.172 0.066 - 0.088 48,960,000
RESERVE Proven and Probable 19,969 0.302 0.131 – 0.153 120,510,000
5000 Feet
RESOURCE EXPANSION
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5 miles
• Over 7,000 acres • 377 unpatented
claims
AMEC NI 43-101 Technical Report Inferred Louie Hill Mineral Resource Estimate
Effective May 20, 2011
Cut-off V2O5% Tons (Mt) V2O5% V2O5
(Mlb)
0.077 7.67 0.27 41.87
LOUIE HILL • Total 74 drill holes • Future plans to conduct both in-fill
drilling and further metallurgical testing on the deposit to upgrade the resource
Purple Flake Production
Vanadium Electrolyte
Vanadium Pentoxide
PROCESS FLOW SHEET SULFURIC ACID HEAP LEACH
Three products made onsite
Cone Crusher
Agglomeration Heap Leaching
Barren Pond Solvent
Extraction
Precipitation V2O5
Production
No roasting
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No grinding
Ore
Pregnant Solution Pond
Organic Stripping
Resin Cleaning
2 cycles
ACID
ACID
ORGANIC
Patent filed on purification process capable of producing
high purity Vanadium on site
VANADIUM: THE CRITICAL ELEMENT
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Steel • Rebar & structured beams required
to meet building codes • Required for high speed tools and
surgical steels Aerospace and defense industry
• Titanium vanadium alloys required for aircraft, missiles, personnel transports, etc.
Chemicals & Pollution Control • Required in production of synthetic
rubber, polyester, fiberglass, sulfuric acid, etc.
• Critical component of catalytic converters to remove sulfur dioxide and other pollutants
Energy Storage • The grid scale Vanadium Flow Battery • Lithium Vanadium Batteries for
electric vehicles
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Source: TTP Squared, Inc.
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Energy Storage – “The Holy Grail”
100X increase in energy storage by 2021 Energy storage to reach $225 billion by 2020 Grid storage will reach $113.5 billion by 2017
• Japan Post Fukushima renewable investment of US$480 billion in non-hydroelectric renewable energy over the next two decades, plus an extra US$1.1 trillion in energy-efficient technology
• US Feb 13, 2013. California Public Utilities Commission ordered Southern California Edison to procure at least 50 MW from energy storage resources
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Vanadium Flow To Become Leading Battery
Lithium: 80% in 2012 decreasing to 13% by 2017
Vanadium Flow Batteries increasing to 30% by 2017 as leading technology
Leadership
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Ron MacDonald, Executive Chairman Mr. Ron MacDonald is the former Senior Assistant to the Canadian Minister of Foreign Affairs, Deputy Prime Minister, Chief of Staff to the Leader of the Government in the Senate of Canada, Parliamentary Secretary of International Trade and elected Member of Parliament. While President of the Council of Forest Industries, Mr. MacDonald championed industry wide developments including the establishment of the softwood lumber industry in Asia. He was also a contributing member of the OECD Committee on ethical minerals, a contributor to the EU Commission Framework 7 policy paper on ‘Scarcity of Strategic Minerals’ and a presenter at conferences in the USA, Canada and Asia on critical and strategic markets.
Bill Radvak, BASc, President & CEO, Director Bill Radvak received a Mining and Mineral Process Engineering Degree (1986) from the University of British Columbia. He joined AVC in January 2010 as President & CEO. Mr. Radvak is Chairman of Westridge Resources Inc. as well as a co-founder and past CEO of Response Biomedical, a medical device company he led from its evolution to a 90-employee company.
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World leader of cutting machine tools 150 year old company $2 Billion annual revenue 10 Global manufacture facilities 95 global sales and service locations Over 6,400 employees
GILDEMEISTER: Global Technology and Manufacture
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a+f GmbH / Würzburg (Germany) Cellstrom GmbH / Vienna (Austria)
100% GILDEMEISTER 100% GILDEMEISTER
Dec. 17, 2012 GILDEMEISTER Energy Solutions receive order of € 29.2 million for energy storage system and solar plant
GILDEMEISTER energy solutions
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• Turn – key solution • Commissioning within 7 days • Integrated in standard CTU –> Ocean freight • for all climate conditions and global use
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• Low noise • > 20.000 cycles (20 years lifetime) • 100% discharge-able • < 1% self-discharge / year (cold-standby)
1 Negative storage tank 2 Positive storage tank 3 80 Stacks (energy conversion) 4 Fluid pumps 5 Charge regulators (Dc-links)
1 2 4
Commissioning
Main Components Outstanding Features
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World‘s Only Commercially Available VFB
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• Plug & Play turn key system • Fully Scalable to Multi-Megawatt Size • > 20,000 cycles • 20 Year life, Vanadium never wears out • Monitored remotely • Vanadium represents 40-60% of battery cost • Full Cycle, rapid charge and discharge • Power and Energy independently scalable • Multiple economic applications and uses
Only Complete Energy Storage System
48-class 700-class
FB 10-40 FB 20-40 FB 30-40 FB 200-400
FB 10-70 FB 20-70 FB 30-70 FB 200-800
FB 10-100 FB 20-100 FB 30-100
FB 10-130 FB 20-130 FB 30-130 FB 200-1600
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Fully Scalable Product Family
Modular
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standard
tropic
mediteran desert
nordic
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All Weather Solution
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Combination of different measures • Freecooler small (passive electrolyte cooling) • Freecooler large (passive electrolyte cooling) • Compressor (active electrolyte cooling) • Sand/salt filter • Insulation (for day/night temperature variations) • Air conditioning
Climate and Temperature management
Sicherheitspaket
Safety Management
Combination of different measures • H2,CO,CO2 sensors • Smoke and fire detectors • Certified emergency stop system
Standards & Certification
Building and construction standards VDE/DIN/EN/ISO • TÜV • CE • Compatible to local grid codes
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Multiple Economic Applications
Back-up solution Industrial solution
E-mobility solution Off-grid solution Power solution
IT/Communication solution
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• Industrial Peak Shaving • Increase of Self-
consumption •Power Quality •Uinterruptable Power
Supply (UPS)
• System Stability •Asset Deferral •Voltage Regulation • Frequency Regulation
• Island Applications •Micro-Grid •Energy balancing • Smoothing •Ramping
•Contingency Service • Spinning Reserve • Frequency Regulation •Commodity Storage •Area Control •Black-start service
Conventional Energy
Generation
Renewable Energy
Generation
Energy Service
Transmission &
Distribution
Multiple Battery Revenue Streams
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Global Commercial Installations
Belgium (1)*
France(2)*
Netherlands(1)
Germany(15)
Italy(2)
Austria(2)
Abu Dhabi (1)
India (4)
China (2)
Japan (1) Romania(1)
Brazil(1)*
South Africa (1)*
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• Storage is commanding variable in Island-mode
• Backup for Office-Building
Primary Mission
Office Building
3x FB 10-100 30kW, 45kWp
SC260 48kWp
SC260 48kWp no grid
Off Grid in India: CellCube + PV
Off Grid in Germany: CellCube + PV + Wind Storage FB 200-1600
• Leistung: 0,2 MW • Energy: 1,6 MWh • Bauzeit: 4 Monate • Inbetriebnahme: 3 Wochen • Übergabe: 30.6.2012
Application
• Increased Renewable Energy on Island Pellworm • Increased Grid stabilization with Emergency Power • Bridging of generation shifts
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SunCarrier 22 Height: 3,0 - 4,0 m Module surface: 21,34 m² • Approx. 35% extra yield compared to fixed systems. Reduced system
costs compared to other tracking systems (~40%) • Flexible and modular (up to 11 wings with one electrohydraulic motor)
SunCarrier Fixed Height & Module surface: upon customer‘s demand
• Surface is aligned optimally to the sun depending on local conditions • Short construction times • Ideal solution relating to module surface and material cost
SunCarrier 260 Height: 6,5 m Module surface: 247,52 m² • Unique tracking system with up to 40% extra yield • Stable and robust construction which withstands wind speed of up to 144
km/h
Power Generation; Gildemeister SunCarrier Series
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GILDEMEISTER Installed Solar Sites
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CellCube Sales Forecasted to Double Each Year 2012 € 80 million revenue from all products Dec 2012. GILDEMEISTER Energy Solutions receive order for € 29.2 million 2013 CellCube manufacturing at capacity – 50 MWH. Construction of second manufacturing plant to begin in Q2. 2014 CellCube manufacturing forecast - 100 MWH.* 2015 CellCube manufacturing forecast - 200 MWH.* * Not including North America
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American Vanadium Advantage
Revenue from interim electrolyte production • Electrolyte represents 40 – 60% of battery revenue
Long Term electrolyte supplier from only planned vanadium mine in the US
Gildemeister Energy Solutions master sales agreement • North America • Other Countries?
These have allowed for the development of various corporate business/revenue models
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American Vanadium Revenue Opportunities
Full sale of battery and electrolyte Sale of battery and lease of electrolyte Full lease of battery and electrolyte and microgrid Build Own and Operate – providing multiple services to multiple customers Build Own Operate complete Microgrid Systems – providing complete power management, solar, wind, and other traditional power sources as a utility
TSX.V: AVC OTC: AVCVF
FRA: 0UA
Bill Radvak President & CEO
Suite 910, 800 West Pender St.
Vancouver, British Columbia V6C 2V6
Tel: (604) 681-8588 Cel: (778) 888-4101
Email: [email protected]
www.americanvanadium.com
Twitter American Vanadium LinkedIn American Vanadium Facebook American Vanadium Youtube American Vanadium
TSX.V: AVC 32
