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Ultra Power Systems Pty Ltd completes final payment to purchase the exclusive license for Australia for VanadiumCorp-Electrochem Processing Technology ("VEPT")

Mergers & Acquisitions Metallurgy & Processing

Ultra Power Systems Pty Ltd completes final

payment to purchase the exclusive license for

Australia for VanadiumCorp-Electrochem

Processing Technology ("VEPT")

TSX-V: "VRB"

VANCOUVER

,

June 26, 2019

/CNW/ - VanadiumCorp Resource Inc. (TSX-V: "VRB") (the

"Company") and Electrochem Technologies & Materials Inc. ("Electrochem") have both received the

final payment from Ultra Power Systems Pty Ltd ("Ultra, UPS") as specified in

the Patent Option Agreement ("POA" "Option") to purchase the exclusive license for the jurisdiction

of

Australia

executed

November 23, 2018

. With the final payment made, the parties will now

proceed to finalize the terms of license. Ultra intends to commence final license

discussions immediately.

Brad Appleyard

, Managing Director of Ultra Power Systems Pty Ltd states that "Ultra Power now

has

the exclusive right to secure the most efficient and sustainable technology to produce vanadium in

Australia

. This cost reduction applies to the largest single cost component of our future vanadium

redox battery. ("VRB") VEPT will be a powerful driver in Ultra realizing its vision of becoming a

leader in the emerging global renewable energy industry through providing advanced energy storage

solutions. Utilizing its strong Intellectual Property portfolio, of which the VEPT is an important part,

UPS intends to establish a number of joint ventures in various related markets. UPS is also in the

process of becoming a key member of the Future Battery Industries Cooperative Research Centre

("CRC") which is establishing a

$135 million

battery research hub (the "FBICRC") supported by

government, industry and research partners. These stakeholders have joined together to imagine a

future

Australia

: a nation that has harnessed the power of its natural resources to become a leader

in the manufacture of next generation battery energy storage systems. The FBICRC will position

Australia

as a world leader in innovative energy minerals extraction, processing and upstream

battery storage technologies as well as how batteries are used in cities and regions. Thus, the CRC

will help create Future Battery Industries through facilitating their market via both supply and

demand. "

Mr Appleyard added that "we are extremely pleased to be working in conjunction with world leaders

in this space, such as Electrochem, VanadiumCorp, Australian Vanadium and the CRC, to build a

global battery industry."

Adriaan Bakker

, CEO of VanadiumCorp states, "Ultra Power understands the profound global

impact of enabling sustainable and low-cost production of vanadium. The world requires low cost

and sustainable energy storage for its electric future. Changing how vanadium is produced and mass

commercializing vanadium batteries with clean vanadium electrolyte could play a key role in

decarbonizing our planet."

Ultra plans to utilize the Australian license of VanadiumCorp-Electrochem Processing Technology

("VEPT") to expedite construction of the world's first dedicated vanadium processing facility. Ultra's

core objective is to directly integrate low cost battery grade vanadium electrolyte into vanadium

redox batteries from virtually any source in a fraction of the time and capital requirements of current

vanadium extraction processes. The VEPT will dramatically reduce emissions associated with

vanadium extraction as well as substantially offsetting the operating cost of the vanadium precursors

used to manufacture electrolyte through the production of valuable by-products. The resultant

vanadium electrolyte is 100% reusable and does not degrade which enables the unique cost

reduction option of leasing or renting.

Key aspects of the signed POA signed

November 23, 2018

include the following terms with

all financial considerations split evenly between VRB and Electrochem:

USD

$500,000 USD

total payment is now complete allowing full exercise of the Option anytime

before

November 23, 2019

The Option allows the acquisition of the exclusive license of VEPT for the jurisdiction of

Australia

Definitive terms outlined in the Option include a minimum annual payment, financing fees and a

gross royalty due upon production, applicable to all vanadium products, ferrous sulfate

heptahydrate (copperas), titanium products and other by -products for a project duration of 25

years.

About:

Ultra Power Systems Pty Ltd.

is an Australian privately owned and financed company that is

fundamentally an intellectual property licensing company. It is committed to creating cutting edge

technology that will continually add value to its licensees. Ultra has recently signed a term sheet for a

joint venture to establish its first VRB manufacturing facility in conjunction with SMEC Power and

Technology ("SMEC"), a Western Australian company that manufactures and supplies 11kV sub-

stations, variable speed drives including a full range of switchboards and electrical equipment to the

mining industry throughout

Australia

and

Africa

. The joint venture's first batteries are being

engineered for mining (for application in some of

Australia's

largest mining companies). As recently

announced, the company has reached an agreement (via farming into a joint venture with Australian

Vanadium) in the Coates Vanadium Mine situated approximately 35km east of the

Perth

metropolitan

area in the Shire of Wundowie as a potential source of vanadium feedstock. UPS also has secured a

license to Pacific Northwest National Laboratory's ("PNNL") mixed acid vanadium electrolyte. UPS is

the only company outside

the United States

to obtain this license, which is the third and final license

in the world. The PNNL mixed acid electrolyte is a world leading formulation that enables twice the

temperature window and almost double the energy density resulting in markedly improved

economics. The combination of the PNNL license with the VEPT rights provides a solid basis from

which to engineer a significant claim to the vast and rapidly growing renewable electricity industry.

VanadiumCorp Resource Inc.

is an integrated technology and mining company focused on

developing the exclusive supply chain for vanadium based energy storage and emerging technologies

that utilize vanadium. VanadiumCorp is focused on commercializing the most efficient and sustainable

recovery method to produce vanadium with jointly developed process technology. VanadiumCorp

also holds a significant vanadium-titanium-iron bearing resource base in mining friendly

Quebec,

Canada

including the 100% owned Lac Dore Project adjacent to Blackrock Metals Inc. and the

100% owned Iron-T Project near the Glencore Matagami Zinc-Copper Mine.

Electrochem Technologies & Materials Inc.

(

www.electrochem-technologies.com

) is a private

Canadian Corporation that currently owns twenty-four patents worldwide on proprietary chemical,

metallurgical and electrochemical technologies that are innovative, and sustainable. Commercially,

the company manufactures industrial electrodes, recycles rare earths, produces tantalum, tungsten

chemicals and vanadium electrolyte at its production facilities in

Boucherville, QC

.

VEPT:

The jointly owned "VanadiumCorp-Electrochem" Process Technology ("VEPT") describes a

novel chemical process invented by Dr.

Francois Cardarelli

that addresses the recovery of

vanadium, iron, titanium, and silica feedstocks such as vanadiferous titano-magnetite, iron ores and

concentrates such as magnetite and hematite, vanadium containing wastes such as BOF-slags,

calcine and other industrial by-products also containing vanadium. Building a conventional primary

vanadium mine can take typically take 5-10 years with a large capital requirement and involve

significant technical risks, a large carbon footprint. For the small number of surviving producers,

vanadium is generally recovered at 1% from VTM concentrate as a single commodity that requires

costly purification and is cost and trade prohibitive to import from

China

,

South Africa

and

Brazil

. For

convenient access to the International PCT Patent Publication the PCT is available for direct

download using the following link. https://goo.gl/N8pPfU

Vanadium Redox Flow Batteries (VRFB, VRB)

are containerized, long duration, non-

flammable, compact,

reusable over

infinite cycles and last more than 20 years. Most batteries use

two chemicals that change valence (or charge or redox state) and cross contaminate and thus

degrade over time. VRBs utilize multiple valence states of vanadium as a single element to store and

release charge. VRBs consists of two tanks of vanadium electrolyte that flow adjacent to each other

past a membrane and generate a charge by moving electrons back and forth during charging and

discharging. This battery offers unlimited energy capacity simply by using larger electrolyte storage

tanks. It can be left completely charged for long periods without losing power and maintenance is

much simpler than other batteries. The unique advantage to separate power and energy also

provides significant advantages over competing technologies. With sustainably produced

VanadiumCorp Electrolyte

TM

, the carbon footprint of the VRB is remarkably low.

On behalf of the board of VanadiumCorp:

Adriaan Bakker

President and Chief Executive Officer

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in

the policies of the TSX

Venture Exchange) accepts responsibility for the adequacy or accuracy of

this release.

SOURCE

VanadiumCorp Resource Inc.

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/June2019/26/c7612.html

%SEDAR: 00005245E

For further information:

Adriaan Bakker, President and CEO, VanadiumCorp Resource Inc. (TSX-

V: "VRB"), By phone: 1-604-385-4489, By email: [email protected], Website:

www.vanadiumcorp.com; Brad Appleyard, Managing Director, Ultra Power Systems PTY By email:

[email protected], By phone: +618 6141 3395; Francois Cardarelli, President &

Owner, Electrochem Technologies & Materials Inc. Website: www.electrochem-technologies.com

CO: VanadiumCorp Resource Inc.

CNW 13:33e 26-JUN-19