Ferro-Alloy Resources Limited (LSE:FAR), the vanadium producer and developer of the large Balasausqandiq vanadium deposit in Southern Kazakhstan, has announced a strategic update following the successful carbon black substitute (“CBS”) product marketing study and the sale of a fourth tranche of the Company’s Kazakhstan Exempt Offer Bond Programme with a nominal value of US$5 million.
Summary
· In order to pursue the commercial opportunities in CBS revealed by the Smithers Study, the focus of the Company’s operating plant will be switched to research and development (“R&D”) to complete and optimise the ongoing feasibility study, including the development of markets for the Company’s CBS product.
· The Smithers Study (see announcement dated 21 November 2024) estimated the price of the Company’s CBS product at US$500 per tonne in the tyre market and between US$550 – US$600 per tonne in the non-tyre market (excluding any value attributable to the product’s strong sustainability credentials).
· As previously announced on 27 July 2023, the Company launched a new Exempt Offer Bond Programme where all bonds issued under the Programme will be listed on the Astana International Exchange (“AIX”) in Kazakhstan.
