CellCube Energy Storage Systems Inc. has completed the incorporation of V23 Resource Corp. The price of vanadium pentoxide has risen from a low of $2.5/lb in 2016 (through $4.2/lb in 2017) to a 9-year high of almost $17.0/lb. Vanadium, widely used as an alloy to strengthen steel and in vanadium flow batteries for the energy storage industry, is the best-performing battery metal over this time period surpassing cobalt, copper and nickel. Spinout transaction highlights: V23 Corp. will be a publicly listed independent vanadium exploration and production company with advanced projects in Nevada. Distribution of a share dividend to CellCube shareholders with CellCube retaining a 19.9% ownership as well as certain offtake rights and a net smelter royalty. The formation of a new pure play vanadium company, V23 Corp, that will fast-track its drilling programs on the vanadium projects to upgrade its indicated and inferred resources. On completion of the planned drilling, a new National Instrument 43-101 technical report will be commissioned to develop a new resource estimate. It is planned to follow this by commissioning a preliminary economic assessment. A National Instrument 43-101 indicated resource of 11.9 million tons at an average grade of 0.39% vanadium pentoxide (V2O5), and an inferred resource of 7.0 million tons at an average grade of 0.42% V2O5. Only 12% of the Bisoni McKay area has been drilled, and none of the Bisoni-Rio which is contiguous with Bisoni McKay and sits between Bisoni and Prophecy's Gibellini vanadium deposit. Research currently conducted by the University of Calgary focusing on testing of the Bisoni McKay vanadium and its use for production of vanadium electrolyte is continuing. The University of Calgary will be performing tests using a laboratory test battery that has been provided by Enerox GmbH. The proposed spinout transaction will be subject to shareholder approval. V23 Corp. will be highly focused on creating a portfolio of high-quality vanadium assets on a global scale. Furthermore, V23 Corp. will already have supply agreements with its parent company, CellCube, a leading vanadium battery manufacturer, for its vanadium requirements for its large vanadium flow batteries.

The company appointed Mr. Mike Neylan as chairman of the company. Mr. Neylan has over 20 years of extensive financial, legal and international corporate experience. Most recently, he was a portfolio manager in the private equity division of Sprott Inc., where he was primarily responsible for establishing Sprott Asia.