ASX-listed Australian Vanadium (AVL) has received a non-binding letter of interest from the Export-Import Bank of the United States (EXIM) for up to $31-million in debt financing aimed at advancing the development and construction of the project at Gabanintha, near Meekatharra.

The project encompasses a mine alongside a crushing, milling, and beneficiation plant., AVL is also set to establish a downstream vanadium processing facility at Tenindewa, near Mullewa. The company also operates a vanadium electrolyte manufacturing plant in Perth.

EXIM’s support is particularly focused on the potential for US equipment sourcing for the project. As part of its optimised feasibility study, AVL is actively opportunities to enhance the project's US content, including equipment, goods, and services. This expansion could potentially increase the financing amount offered by EXIM.

CEO Graham Arvidson said that, receiving support from agencies such as EXIM, underscored the advanced nature of the Australian Vanadium project.

AVL is collaborating with various export credit agencies worldwide, including those in Australia, as well as commercial banks, to secure financing for the project's development, he added/

Arvidson highlighted the critical role of vanadium, which is classified as both a critical and battery mineral. With global demand for secure supply chains increasing, AVL’s collaboration with the US aligns with the Australian federal government’s strategic objectives for the critical and battery mineral sectors.