BUSHVELD Minerals, the London-listed iron ore and vanadium junior that operates in SA, is being tipped as a potential buyer of the Vametco vanadium mine and processing plant in Brits, owned by Evraz plc.Ferro vanadium is used to harden steel, and its biggest customers are in the automotive industry and construction. The global steel industry is in deep decline, as a result of overcapacity in China and weak global demand.This contributed to the collapse of Evraz Highveld Steel and Vanadium in April last year. Evraz plc owns 85.11% of Evraz Highveld, and is one of its biggest creditors.Vametco is Evraz plc’s only other asset in SA. It was not affected by Evraz Highveld’s business rescue.Evraz’s website says Vametco processes the 20% vanadium oxide slag that results from the Evraz Highveld steel-making process, and its output accounts for 5% of world vanadium.Evraz bought 73% of US company Stratcor, the owner of Vametco, for $110m in April 2006, when the price of 80% ferro vanadium was...
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