Pu Neng Energy Announces Major Vanadium Flow Battery Contract
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News Release
SPARTON RESOURCES INC.
Pu Neng Energy Announces Major Vanadium Flow Battery Contract
TORONTO, ONTARIO November 2, 2017 – Sparton Resources Inc . ( TSXV.SRI)
("Sparton" or the "Company") is pleased to announce that Pu Neng Energy has been awarded
a contract for construction of a 12-megawatt hour vanadium flow battery as Phase 1 of a larger
40-megawatt hour energy storage project in Hubei Province, China.
This is a major milestone for Pu Neng and represents significant value to the Company.
Sparton’s 89.8% owned subsidiary, VanSpar Mining Inc. holds a minority interest in Pu Neng.
“We are delighted with Pu Neng’s progress this year,” stated Lee Barker, Sparton’s CEO. “All of
the staff are to be commended on achieving this milestone in Pu Neng’s development as the
Vanadium Redox Battery (‘VRB’) manufacturer of choice for the energy storage industry.”
The full Pu Neng News Release follows:
“Pu Neng Wins Contract for t he Largest Vanadium Flow Battery in China as the China
National Development and Reform Commission Initiates a Major Push for Energy Storage in
Support of Renewable Energy
November 1, 2017, for immediate release Beijing, China and Vancouver, Canada
Vanadium redox (flow) battery (VRB®) systems are poised to transform the largest utility grid
in the world with low-cost, long-life performance in support of significant growth in solar and
wind energy
Pu Neng, the leading provider of vanadium flow battery technology in the world, has been
awarded a contract for a 3-megawatt (MW) 12-megawatt-hour (MWh) VRB as Phase 1 of the
Hubei Zaoyang 10MW 40MWh Storage Integration Demonstration Project. This first phase
will be installed in Zaoyang, Hubei to integrate a large solar photovoltaic system into the grid.
Following this 10MW 40MWh project, there will be a larger 100MW 500MWh energy storage
project that will be the cornerstone of a new smar t energy grid in Hubei Province. This large
project will serve as a critic al peak power plant, deliver ing reliability and emissions
reductions.
This type of project is a glimpse of the future of the Chinese electricity grid as the country is
halting construction of many coal-fired po wer plants and pushing the integration of
renewable energy with energy storage. On September 22, 2017, the China National
Development and Reform Commission (NDRC) released Document 1701, "Guidance on the
Promotion of Energy Storage Technology and In dustry Development" aimed at accelerating
the deployment of energy storage. The policy call s for the launch of pilot projects, including
deployment of multiple 100MW-scale vanadium fl ow batteries, by the end of 2020, with the
aim of large-scale deployment over the ensuing five years.
Pu Neng signed the Hubei Zaoyang project cont ract with Hubei Pingfan Vanadium Energy
Storage Technology Company on October 18 at a signing ceremony attended by Zaoyang
City Deputy Mayor Chen Dong. Pu Neng’s President, Dr. Huang Mianyan commented, “We
are delighted to work with Hubei Pingfan for the development of this leading-edge project
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which is a demonstration of their leadership in this sector.” Chairman of Hubei Pingfan Xie
Guangguo, said, “We selected a vanadium flow battery because they have superior safety,
reliability and lifecycle economics compared to lithium-ion and other battery types. We
selected Pu Neng because it is the leader in China with its VRB technology, and has a track
record of performance with State Grid Corporation of China.”
The project will be located in Zaoyang, and instal lation of the VRB system will commence in
November 2017. When Phase 1 is completed in early 2018, Pu Neng’s VRB will be the
largest flow battery installed in China. As part of the initial agreement, Pu Neng and Hubei
Vanadium will jointly develop a vanadium electr olyte supply from local vanadium sources,
helping revitalize the local industrial base to meet future demand for energy storage.
Robert Friedland, Chairman of Pu Neng, commented, “China has the largest and highest-
grade vanadium resources in the world and is poised to use this miracle metal to
fundamentally transform its electricity grid. Wi th massive amounts of renewable energy and
storage coming online, China will create the most modern, clean and efficient grid in the
world."
Regarding this initial contract in Hubei, he added, “Earlier this year, Chairman Xie and I
discussed the opportunity to utilize Hubei’s abundant vanadium resources and Pu Neng’s
next generation technology to set a new benchm ark for the global energy storage industry.
This is just the first step of what will be many projects working together.”
On the newly released NDRC policy, he commented, "This new policy will result in vanadium
flow batteries revolutionizing modern electricity grids in the way that lithium-ion batteries are
enabling the global transition to electric vehicles.”
Flow batteries store energy in liquid electrolyte, which is held in tanks external to the cell
stacks that contain the cathode (positive) and anode (negative) sides of the battery. When
charging or discharging the battery, electrons ar e added into or drawn out of the electrolyte
as it circulates across membranes inside t he stacks. Unlike other types of batteries,
vanadium flow batteries use the same electrolyte solution on both the positive and negative
side of the battery, yielding a nearly infinitely repeatable electrochemical process.
While lithium-based batteries are well suited to consumer electronics and electric vehicles,
their lifetimes can be limited. Pu Neng’s VRB technology can be fully drained over an almost
unlimited number of charge and discharge cycles without wearing out. This is an important
factor when matching the daily demands of utility-scale solar and wind power generation.
About Pu Neng
Pu Neng is a fast-growing, privately held cl ean technology innovator. The company has
developed the most reliable, longest-lasting vanadi um flow battery in the world, with more
than 800,000 hours of demonstrated performance. The combination of Pu Neng’s proprietary
low-cost ion-exchange membrane, long-life electrolyte formulation and innovative flow cell
design sets it apart from ot her providers. Pu Neng’s va nadium redox battery (VRB®)
systems store energy in liquid electrolyte in a patented process based on the reduction and
oxidation of ionic forms of the element vanadi um. This is a nearly infinitely repeatable
process that is safe, reliable, and non-toxic. Components can be nearly 100% recycled at
end- of-life, dramatically improving lifec ycle economics and environmental benefits
compared to lead-acid, lithium-ion and other battery systems. Pu Neng is majority-owned by
High Power Exploration (HPX), a metals-focused exploration company that also invests in
minerals-dependent, high-growth emerging technolog ies. HPX is a subsidiary of l-Pulse, a
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global leader in developing innovative commercial applications for pulsed power
technologies that convert small amounts of electrical energy into limitless power to address a
broad and growing suite of applications across multiple industrial markets. I-Pulse is a
private company based in San Francisco, California. Please visit our websites at
www.punengenergy.com,www.hpxploration.com, and www.ipulse-group.com for further
information.
About Hubei Pingfan
Hubei Pingfan is one of the leading enterprises in Hubei Province. Under the guidance of
Chairman Xie Guangguo the company has assembled world-class mining and vertically
integrated metals processing assets in su pport of the development of new high-tech
industries. The company is focused on deploy ing innovative and environmentally friendly
technology in the production of vanadium pent oxide and vanadium-nitrogen alloys at its
facilities in Shiyan City and Zaoyang City in Hubei. The company is also entering into new
energy areas based on vanadium resources. It holds mining reserves of more than one
million tons of vanadium in Shiyan City, and wa s listed in China’s 12th Five-Year Plan as
national pilot enterprise for vanadium.
Media Contact:
Jim Stover
+1-604-648-3900
Charles Ge
[email protected] +86 186 7010 7777 ”
For more information contact:
A. Lee Barker, M.A Sc., P. Eng., P.Geol.
President and CEO
Tel./Fax: 647-344-7734 or Mobile: 416-716-5762
Email: [email protected] Website:www.spartonres.ca
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture E xchange)
accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
Information set forth in this news release involves forward-looking statements under applicable securities laws. The forward-lo oking
statements contained herein include, but are not limited to, financings and transactions being pursued, and all such forward-lo oking
statements are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this news release
are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking st atements,
whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legis lation. Although
the Company believes that the expectations represented in such forward-looking statements are reasonable, there can be no assur ance that
such expectations will prove to be correct and, accordingly, undue reliance should not be put on such forward-looking statement s. This news
release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein.
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