In July 2011, Prosperity invested a further US$32 million in the company to up its offtake rights to 4 million MT over four years.
American Vanadium, MacDonald Mines receive financing
American Vanadium (TSXV:AVC,OTCQX:AVCVF) is one of a number of vanadium companies that took advantage of the resurgent vanadium price to raise funds.
The company announced on December 21 the closing of a non-brokered private placement of 2,554,999 units at a price of $0.65 per unit for total gross proceeds of approximately $1,660,749.The financing closed just days before the company announced the submission of a plan of operations for its Gibellini project in Nevada. The plan, which covers mine design, processing facilities and reclamation, was submitted to the US Bureau of Land Management and initiates the National Environmental Policy Act review process. On December 28, Colombian uranium-vanadium-REE developer U3O8 (TSX:UWE,OTCQX:UWEFF) announced the closing of a first tranche of financing, raising gross proceeds of $846,194 through the issue of 3,846,337 units at $0.22 per unit. Follow-on tranches of the financing are expected to raise a total of approximately $3 million. Proceeds will be used to build on a recent preliminary economic assessment for the company's Berlin uranium, phosphate, vanadium and rare earths (yttrium and neodymium) project. MacDonald Mines Exploration (TSXV:BMK,OTCQX:MCDMF) also got in on the financing action, announcing on December 29 the closing of a non-brokered private placement that raised gross proceeds of $750,000 through the sale of flow-through units at $0.075 per unit. MacDonald is pursuing a number of commodities, including vanadium, in the Ring of Fire area of the James Bay Lowlands of Northern Ontario. Australia and China also active Australian markets also saw investors kicking in money for vanadium projects, with Fortunis Resources (ASX:FOT) raising AU$2.8 million in a December 19 initial public offering. Fortunis holds a farm-in agreement to earn up to a 51-percent interest in 63 square kilometers at the southern end of the Barrambie Greenstone Belt, which is prospective for gold, copper and vanadium-titanium-iron.