en.Wedoany.com Reported - Australian Vanadium Limited (ASX: AVL) has signed a non-binding Memorandum of Understanding (MoU) with Alcoa to jointly assess the feasibility of deploying vanadium flow battery (VFB) energy storage at Alcoa's alumina refinery in Western Australia. AVL's wholly-owned subsidiary, VSUN Energy, is participating in this collaboration.

Under the MoU, the parties will conduct a scoping-level study around a vanadium flow battery energy storage system with a nominal capacity of 50 to 80 megawatts and a storage duration of 6 to 8 hours (extendable beyond 8 hours), evaluating the financial and technical advantages of deploying the technology at Alcoa's Western Australian sites and land assets. The study will cover system design, technical specifications, cost estimation, electrolyte supply, project financing options, and potential government funding opportunities, with support from Alcoa.

AVL Chief Executive Officer Graham Arvidson stated that this collaboration represents an important opportunity to demonstrate the value of VFB in utility-scale industrial applications. He emphasized that long-duration energy storage will play a critical role in advancing industrial electrification and improving renewable energy utilization, with VFB technology being particularly well-suited for such applications; partnering with a globally recognized industrial operator like Alcoa helps assess the contribution of long-duration energy storage to operational flexibility, energy cost management, and decarbonization goals.

AVL stated that this 18-month non-binding MoU aligns with its strategic positioning across the vanadium value chain. Upon completion of the study, the parties may further explore feasibility studies and potential commercial energy offtake arrangements. Australian Vanadium Limited is a resources company advancing its namesake project at Gabanintha in Western Australia.