Canada Rare Earth Obtains Rights to Acquire a Permitted Rare Earth Refinery
Canada Rare Earth Corp. (TSXV: LL) has secured rights to acquire 70% of a fully permitted rare earth refinery in Laos. The facility has a 3,000-tonne annual production capacity for rare earth oxides, including both light and heavy elements. The refinery, built 12 years ago but never operated due to previous policy restrictions, is expected to be operational after refurbishments in Q4 2025.
The company has also entered into an MOU for a 70/30 joint venture to develop an ion adsorption clay rare earth mining project in Laos. Due to these developments, the TSX Venture Exchange has implemented a trading halt, classifying these transactions as a Change of Business under policy 5.2. The approval process is expected to take 12-16 weeks.
Additionally, the company announced the reappointment of Michael Lee as CFO, replacing Janet Meiklejohn who resigned in 2024.
Canada Rare Earth Corp. (TSXV: LL) ha ottenuto i diritti per acquisire il 70% di una raffineria di terre rare completamente autorizzata in Laos. L'impianto ha una capacità produttiva annuale di 3.000 tonnellate per ossidi di terre rare, inclusi elementi leggeri e pesanti. La raffineria, costruita 12 anni fa ma mai operativa a causa di precedenti restrizioni politiche, dovrebbe diventare operativa dopo i lavori di ristrutturazione nel Q4 2025.
L'azienda ha anche stipulato un MOU per una joint venture 70/30 per sviluppare un progetto minerario di terre rare con argilla per adsorbimento ionico in Laos. A causa di questi sviluppi, la Borsa di Toronto ha implementato un’interruzione delle trattative, classificando queste transazioni come un Cambiamento di Attività in base alla politica 5.2. Si prevede che il processo di approvazione richiederà 12-16 settimane.
Inoltre, l'azienda ha annunciato la riconferma di Michael Lee come CFO, sostituendo Janet Meiklejohn che si è dimessa nel 2024.
Canada Rare Earth Corp. (TSXV: LL) ha asegurado derechos para adquirir el 70% de una refinería de tierras raras completamente autorizada en Laos. La instalación tiene una capacidad de producción anual de 3,000 toneladas para óxidos de tierras raras, incluyendo tanto elementos ligeros como pesados. La refinería, construida hace 12 años pero nunca operada debido a restricciones políticas anteriores, se espera que esté operativa después de las remodelaciones en Q4 2025.
La compañía también ha firmado un MOU para una joint venture 70/30 para desarrollar un proyecto minero de tierras raras de arcilla de adsorción iónica en Laos. Debido a estos desarrollos, la Bolsa de Valores de Toronto ha implementado una pausa en el comercio, clasificando estas transacciones como un Cambio de Negocio bajo la política 5.2. Se espera que el proceso de aprobación tome entre 12 y 16 semanas.
Además, la compañía anunció la reincorporación de Michael Lee como CFO, reemplazando a Janet Meiklejohn, quien renunció en 2024.
캐나다 희토류 공사 (TSXV: LL)는 라오스의 완전 허가된 희토류 정제소의 70%를 인수할 권리를 확보했습니다. 이 시설은 연간 3,000톤의 생산 능력을 지닌 희토류 산화물 생산을 할 수 있으며, 가벼운 원소와 무거운 원소를 모두 포함합니다. 12년 전에 건설되었지만 이전 정책 제한으로 인해 운영되지 않았던 이 정제소는 2025년 4분기에 리모델링 후 운영될 것으로 예상됩니다.
회사는 또한 라오스에서 이온 흡착 클레이 희토류 채굴 프로젝트를 개발하기 위한 70/30 합작투자 MOU에 들어갔습니다. 이러한 개발로 인해 TSX 벤처 거래소는 거래 중단을 시행하였으며, 이러한 거래를 정책 5.2에 따른 사업 변경으로 분류했습니다. 승인 과정은 12-16주 정도 소요될 것으로 예상됩니다.
또한, 이 회사는 2024년에 사임한 자넷 메이클존을 대신하여 마이클 리를 CFO로 재임명했다고 발표했습니다.
Canada Rare Earth Corp. (TSXV: LL) a sécurisé les droits d'acquérir 70% d'une raffinerie de terres rares entièrement autorisée au Laos. L'installation a une capacité de production annuelle de 3 000 tonnes pour les oxydes de terres rares, y compris les éléments légers et lourds. La raffinerie, construite il y a 12 ans mais jamais exploitée en raison de restrictions politiques antérieures, devrait être opérationnelle après des rénovations au Q4 2025.
L'entreprise a également signé un MOU pour un partenariat 70/30 afin de développer un projet d'extraction de terres rares à base d'argile d'adsorption ionique au Laos. En raison de ces développements, la Bourse de Toronto a mis en place une interruption de la négociation, qualifiant ces transactions de Changement d'Activité selon la politique 5.2. Le processus d'approbation devrait prendre entre 12 et 16 semaines.
De plus, l'entreprise a annoncé la réattribution de Michael Lee en tant que CFO, remplaçant Janet Meiklejohn qui a démissionné en 2024.
Canada Rare Earth Corp. (TSXV: LL) hat die Rechte zur Übernahme von 70% einer voll genehmigten Raffinerie für Seltene Erden in Laos gesichert. Die Anlage hat eine jährliche Produktionskapazität von 3.000 Tonnen für Seltene Erden Oxide, einschließlich leichter und schwerer Elemente. Die Raffinerie, die vor 12 Jahren gebaut wurde, aber aufgrund früherer politischer Beschränkungen nie in Betrieb genommen wurde, soll nach Renovierungsarbeiten im Q4 2025 betriebsbereit sein.
Das Unternehmen hat außerdem ein MOU für ein 70/30 Joint Venture zur Entwicklung eines Abbauprojekts für ionenadsorbierende Tonerde in Laos abgeschlossen. Aufgrund dieser Entwicklungen hat die TSX Venture Exchange einen Handelsstopp verhängt und diese Transaktionen als Geschäftsänderung gemäß Richtlinie 5.2 eingestuft. Der Genehmigungsprozess wird voraussichtlich 12-16 Wochen in Anspruch nehmen.
Darüber hinaus hat das Unternehmen die Wiederernennung von Michael Lee als CFO bekannt gegeben, der Janet Meiklejohn ersetzt, die 2024 zurückgetreten ist.
- Acquisition rights for 70% of a fully permitted rare earth refinery
- 3,000-tonne annual production capacity for rare earth oxides
- Secured rights for 70/30 joint venture in rare earth mining project
- Strong government support for refinery operations
- Multiple interested parties for offtake agreements and potential investment
- Trading halt imposed due to Change of Business classification
- 12-16 week approval process required for transactions
- Refinery requires refurbishments before operations can begin
- Facility has been non-operational for 12 years
Vancouver, British Columbia--(Newsfile Corp. - January 7, 2025) - Canada Rare Earth Corp. (TSXV: LL) ("Canada Rare Earth" or the "Company") is pleased to announce it has entered into a Memorandum of Understanding with a private Laos-based company that gives Canada Rare Earth the right to purchase
The Refinery has a rare earth oxide production capacity of 3,000 tonnes per year (tpy) and was constructed twelve years ago. The refinery has not operated since being built due to a historical Lao PDR policy change affecting rare earth processing. These policies are now reversed and the government is strongly supporting the startup and operation of the Refinery. The government is encouraging in-country processing of locally produced rare earth concentrates to increase economic benefits from the numerous new ion adsorption clay rare earth mines located in Northern Laos. These new sources of rare earth concentrates have greatly enhanced the operating situation for the Laos Refinery by reducing the risk of consistent concentrate supply. The Refinery will be ready for commissioning after some relatively modest refurbishments, expected to be complete in Q4 2025.
The economic benefits to Laos of in-country beneficiation versus the exportation of raw materials are evident to the Lao government and that understanding, combined with an updated Environmental Impact Assessment at the Refinery, have contributed to the issuance of all required licenses and permits required for the Refinery's operation.
Canada Rare Earth has entered into discussions with numerous interested parties for offtake and potential investment at the project level. These discussions are expected to result in pre-payments and associated credit facilities to support the operation of the Refinery based on preferred terms for a secure annual supply of key rare earth oxides such as Nd, Pr, Dy, and Tb.
Peter Shearing, Chief Executive Officer of Canada Rare Earth, commented, "Selecting the right offtake partner and project funders & lenders are critical decisions and must ensure the alignment of both parties' objectives for the relationship to be both a commercial and strategic success. We are approaching this carefully and selectively to ensure the Refinery delivers the most value to the rare earth market, consumers, and our shareholders."
Rare Earth Mine Development Project
Canada Rare Earth is also pleased to announce it has entered into an Memorandum of Understanding which gives the Company the right to enter into a 70/30 Joint Venture with a private Laos-based company to co-develop an advanced-exploration stage, ion adsorption clay rare earth (IAC-RE) mining project in Laos (the "Mine JV").
Trading Halt and Change of Business
The TSX Venture Exchange (the "TSX.V") has reviewed both proposed transactions referred to in this news release (the Acquisition and the Mine JV) and has determined that they constitute a Change of Business under TSX.V policy 5.2, "Changes of Business and Reverse Takeovers" (the "Policy"). Until the TSX.V has approved the Change of Business and the associated transactions, the Company's shares are subject to a trading halt. The process to comply with the Change of Business is expected to take 12 to 16 weeks and is subject to various conditions including execution of a definitive agreement for the Acquisition and the approval by the TSX.V of a comprehensive disclosure document as required by the Policy. Information detailing the terms of the acquisition of both the Refinery and the mining project will be released in due course.
Don Anderson, Chief Investment Officer of Canada Rare Earth, said, "With this acquisition, the Company will join a small group of companies that produce separated rare earths and an even smaller group that produce the full suite of separated rare earth oxides. These are crucial ingredients for high-performance rare earth permanent magnets used in electric motors for applications such as electric vehicles, advanced air mobility, and robotics. As indicated by various industry analysts, demand for rare earth NdFeB permanent magnets is expected to have a compound annual growth rate exceeding
Peter Shearing added "The Company's acquisition of the Laos Refinery has been a strategic objective since its construction. When these transactions are complete, Canada Rare Earth will have an integrated supply chain from mining through to rare earth oxide production and Company will have successfully executed its vertical integration strategy which we have been pursuing over ten years. I want to thank our shareholders and all stakeholders for their patience. This is indeed a transformational transaction for Canada Rare Earth."
Reappointment of CFO
Canada Rare Earth is also pleased to announce the reappointment of Michael Lee as Chief Financial Officer (CFO) and to welcome Mr. Lee back to the management team. Mr. Lee was previously the Company's CFO from September 2020 to August 2021.
"We are thrilled to welcome Michael Lee back to the Company," remarked Peter Shearing, CEO of Canada Rare Earth. "Michael is highly experienced in financial management, has a very good understanding of our business and is known to our Board and management team. He is precisely the CFO that the Company needs to be successful."
Mr. Lee has over twenty-five years of experience working with publicly listed companies, from multi-mine operating companies to grassroots mineral exploration. Mr. Lee has more than ten years of working experience with the highly-regarded Hunter Dickinson Group and has held Chief Financial Officer positions for a number of their publicly-listed portfolio companies. His career foundation was built as a consultant and auditor at Ernst & Young and Deloitte.
Mr. Lee replaces Janet Meiklejohn, who resigned from her position as CFO in 2024.
About Rare Earths
Rare Earth Elements (REEs) are a group of chemically similar metals essential to modern technology and green energy. In their various forms (metals, alloys, oxides, etc.), rare earths are critical for devices like smartphones, electric vehicles (EVs), wind turbines, and military equipment due to their unique magnetic, optical, and conductive properties. REEs are also used in medical technologies such as MRIs and laser scalpels. Among these, Neodymium (Nd), Dysprosium (Dy), Praseodymium (Pr), and Terbium (Tb) are particularly indispensable for high-performance magnets, such as NdFeB (Neodymium Iron Boron) magnets, which power motors in EVs, wind turbines, drones, and robotics. (http://www.canadarareearth.com/rare-earth-overview)
Although REEs are not rare in the Earth's crust, finding deposits concentrated enough for economical mining is uncommon. The real challenge lies in separating and refining REEs into their most common usable forms, known as rare earth oxides (REOs) or rare earth metals (REMs). A small number of countries currently dominate the rare earth market, with one nation controlling a majority of global production and refining capacity. This concentration of supply creates a pressing need for alternative production and refining facilities to ensure the stability of global supply chains.
Establishing an independent full-capability rare earth production stream is immensely valuable for diversifying supply chains, stabilizing global markets, and reducing reliance on concentrated production hubs. With demand for NdFeB magnets expected to grow at
About Canada Rare Earth Corp.
Canada Rare Earth Corp. operates a rapidly growing global essential minerals business built from over a decade of success in rare earth minerals and products. Our strategy leverages near-term positive cash flow opportunities supporting our business growth, including acquiring and developing proprietary projects, resources and processing capabilities and facilities.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release contains forward-looking statements and forward-looking information within the meaning of Canadian securities legislation (collectively, "forward-looking statements") that relate to the Company's current expectations and views of future events. No assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. These statements speak only as of the date of this news release. Forward-looking statements are based on a number of assumptions and are subject to a number of risks and uncertainties, many of which are beyond the Company's control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking statements. Readers should refer to the risks discussed in the Company's continuous disclosure filings with the Canadian Securities Administrators, available on the SEDAR+ website at www.sedarplus.ca.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Peter Shearing, Chief Executive Officer
604.638.8886
pshearing@canadarareearth.com
Don Anderson, Chief Investment Officer
danderson@canadarareearth.com
Michael Lee, Chief Financial Officer
mlee@canadarareearth.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/236318
FAQ
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