Critical Metals, GreenMet partner to develop Tanbreez rare earth project in Greenland

GreenMet, a US company acting as a conduit between private capital, government, and critical minerals industry, announced Wednesday it has formed a strategic partnership with Tanbreez in Greenland, ranked one of the biggest rare earth projects in the world.  Rare earths are 17 elements vital for use in technologies and defense applications. The Washington, DC – based firm said the collaboration is a crucial step in strengthening western supply chains as Tanbreez is positioned to serve both US and European markets. The only active rare earths mine in the US is the Mountain Pass in California, owned by MP Materials, which produces separated and refined rare earths, including praseodymium-neodymium oxide, cerium and lanthanum. The Tanbreez project, located in southern Greenland and owned by Critical Metals Corp, (Nasdaq: CRML) represents one of the largest untapped heavy rare earths (HREE) deposits outside China with over 27% HREE content. China controls roughly 60% of rare earth production and 85% of processing capacity worldwide. As of 2023, its total mine production was 240,000 tonnes, nearly six times that of the US. Critcal Minerals this week released a preliminary economic assessment, projecting a  net present value (NPV) of $3.04 billion (approximately $2.8 billion to $3.6 billion at discount rates of 15% and 12.5%, respectively, before tax), with an internal rate of return (IRR) of 180%. The NPV and IRR calculations were based off an initial mineral resource estimate totalling 44.97 million tonnes of rare earth materials (indicated and inferred), which is roughly 1% of the resources within the host rock.  Earlier this month, Critical Metals confirmed the Tanbreez resource through the release of a technical report in compliance with Regulation S-K 1300. The Tanbreez project will follow a phased growth strategy, with initial production of around 85,000 tonnes of rare earth oxides per annum, scalable to 425,000 tonnes after modular expansion. The resource base of 45 million tonnes grading 0.40% total rare earth oxides, with 27% in heavy rare earths (Dy, Tb, Y), is open laterally and at depth.“As the only shovel ready rare earth project in Greenland, Tanbreez represents a game-changing opportunity for both the Greenlandic economy and the critical minerals supply chain in North America and Europe,” GreenMet CEO Drew Horn said in a news release. The project has deep-water fjord access, proximity to existing infrastructure and a mining license granted through 2050.  Once operational, Tanbreez is expected to provide a steady supply of rare earth elements, particularly for the defense sector and high-tech industries.  The partnership will also support the continued development of Greenland’s growing mineral sector, with the aim that the country become a key global supplier of critical minerals, GreenMet said.  The company is also looking at other permitted rare earths projects to develop and scale up in Greenland, Horn told MINING.com host Devan Murugan in an interview.  Watch it here:   Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com