TNG Limited (ASX: TNG) has received further conditional finance for its flagship Mount Peake vanadium-titanium-iron project in the Northern Territory. 

The Korean official Export Credit Agency Korea Trade Insurance Corporation (K-SURE) has issued a conditional Letter of Support for the provision of up to A$200M (US$139M) in debt funding for TNG’s Mount Peake Vanadium-Titanium-Iron Project in Australia’s Northern Territory. TNG has now received a total of up to A$800M (US$557M) in conditional financing from Australian, German and Korean Government backed funding sources – and believes that its s project financing strategy for Mount Peake is firmly on track.

The vanadium market is currently well balanced although various demand and supply-side factors could help push the market into surplus or deficit over the next five years.  Project Blue’s view is new sources of supply will be required after the middle of the decade.  This new supply will come from primary, secondary or co-producers, with both existing players and new operators looking to bring new projects into production.  TNG’s government-backed funding helps move it closer to being in contention to supply the market over this horizon.  Project Blue understands that permitting for upstream processing at the mine site is underway and that CAPEX and OPEX updates will be issued later in 2022.