Australian Vanadium Ltd (ASX:AVL) non-executive chairman Brenton Lewis has shown confidence in the company with the purchase of 3 million shares in an on-market transaction.

The $41,000 acquisition took place on June 27, taking Lewis holding in the company to almost 15.03 million shares.

The company’s securities last traded at 1.4 cents.

On June 25 the company signed a memorandum of understanding (MoU) to cooperate with Westgold Resources Limited (ASX:WGX) on supply of life of mine water for the Australian Vanadium Project south of Meekatharra in WA.

Westgold’s nearby Meekatharra gold operations comprise several active and inactive mines and continuous inflows into several active and inactive pits resulting in water surplus.

The MoU establishes the collaborative environment that AVL requires to investigate and design the diversion and delivery of water as discussed in its pre-feasibility study (PFS).

In May Australian Vanadium updated its resource estimate for the Nowthanna Hill uranium deposit, also near Meekatharra, to JORC Code 2012 standards.

Nowthanna contains uranium and vanadium on tenements to the south and southeast of the flagship Australian Vanadium Project.

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