ABx Group (ASX: ABX) and Ucore Rare Metals Inc. have executed a Memorandum of Understanding (MoU) for potential rare earths offtake from ABx’s Tasmanian projects.
Under the MoU ABx and Ucore will collaborate to advance to:
- a binding offtake agreement for the supply of a mixed rare earth carbonate (MREC) by ABx to Ucore; and
- an opportunity for Ucore to invest in the ABx rare earths project in Tasmania.
ABx has established an ionic adsorption clay rare earth element (REE) resource in northern Tasmania. The grades of the two key heavy rare earths, dysprosium and terbium, are the highest of any clay-hosted rare earths resource in Australia and comparable to the highest in the world.
Metallurgical testing by the Australian Nuclear Science and Technology Organisation (ANSTO) has confirmed that samples from the resource have the highest ionic proportion of any clay-hosted rare earths resource in Australia.
Ucore is a Canadian company with a patent- pending rare earth separation technology, RapidSX. It is currently undertaking heavy and light rare earth element separation at demonstration scale at its RapidSX Commercialisation and Demonstration Facility (CDF) in Ontario. Participants include the US Department of Defense and the Canadian Government as Ucore implements its technology transfer plan from demonstration scale to commercial scale at its developing Louisiana Strategic Metals Complex (SMC) in Alexandria, Louisiana, USA.
“ABx is delighted to be partnering with Ucore, who are rapidly progressing towards commercial rare earth separation and form a critical element in the establishment of a North American rare earths supply chain,” Mark Cooksey, Managing Director and CEO of ABx, said.
“Ucore’s progress and strategic importance is evidenced by their demonstration plant in Canada and significant financial support from both the Canadian and US governments.
“This agreement is further validation of the prospects for the ABx rare earth project in northern Tasmania. We are passionate about bringing our project into production as soon as possible to supply the rare earth elements required for the energy transition.”
