NEW YORK Ferrovanadium prices have steadied at levels above $15 per pound as traders play down the potential impact of more material being shipped into the domestic market from Atlantic Ltd.s Windimurra Mine in Australia.
Ferrovanadium narrowed to a range of $15 to $15.15 per pound this past week from $14.50 to $15.20 per pound previously.
"Theres good demand, contract offtake is good, so there are no problems there," one trader said. "With the spot sales being made, its nice to see them in the truckload category rather than just pallet loads."
"We think the market is fundamentally somewhere between balanced to a slight deficit, so we should be seeing prices come up a bit," he added.
Traders contacted by AMM said they had yet to see any meaningful impact so far in 2013 from Atlantics Windimurra ramp-up, with the companys monthly sales report indicating no vanadium sales in February.
Eventually, however, "that operation is definitely going to impact the U.S. market, like any new player in a market," a second trader acknowledged.
"To my knowledge, there hasnt been a significant amount coming in so far," the first trader said. "And I think the people that sell it are sensible with respect to price, so Id be surprised if they tried to sell the little they have at silly prices to gain a quicker entry to the market."