Busveld is doing badly
There are 3 primary Vanadium producers in the western world namely Largo, Rhovan (Glencore) and Bushveld. In the last couple of years Largo and Bushveld have decided to develop the vanadium value chain through 2 pillars comprising Vanadium mining operations and VRFB clean energy provider. Both companies are doing badly with their market value dropping like a stone since their venture into the long duration energy storage space. On Thursday Aug 31 2023, LGO and BMN stock closed at C$4.45 (52-week Hi-Lo = C$9.51 - 4.38) and GBp 1.95 (52-week Hi-Lo = 6.50p - 1.85) respectively. Coincidence?
The good news is that Largo has started to initiate “a review and evaluation of strategic alternatives with the intent to unlock and fully maximize the value” of its clean energy pillar. Better late than never, I say.