SYDNEY , AUSTRALIA: Ionic Rare Earths Ltd has joined forces with Viridis Mining and Minerals Ltd (ASX: VMM) to establish a 50:50 Joint Venture, setting the stage for a significant leap in the rare earth separation industry within one of the world’s rapidly evolving rare earth regions.

The newly formed Joint Venture Company (JV Co) is poised to construct a state-of-the-art refinery and magnet recycling facility in Brazil.

This ambitious project will harness Ionic Technologies’ advanced separation technology, which has already proven its mettle at IonicRE’s Belfast magnet recycling Demonstration Plant with successful magnet Rare Earth Oxide (REO) production.

Viridis’ Colossus Rare Earth Project, nestled in Poços de Caldas, Brazil, is shaping up to be a game-changer with its high-grade Ion Adsorption Clay (IAC) deposits.

The project’s maiden drilling results are impressive, with intercepts such as 46.0m at 3,285ppm Total Rare Earth Oxide (TREO) comprising 27% Middle Rare Earth Oxide (MREO), and 24.0m at 4,573ppm TREO with 38% MREO.

The initial metallurgical extraction results are promising, showing approximately 80% Neodymium-Praseodymium (NdPr) and 66% Dysprosium-Terbium (DyTb).

Under the terms of the Joint Venture, Viridis has agreed to supply mixed rare earth carbonate (MREC) processed from the Colossus Project on standard market terms.

Notably, this arrangement does not bind Viridis to an offtake agreement, granting them the flexibility to market the entirety of the Colossus Project’s output to any prospective offtake partners.

IonicRE will contribute its expertise in separation technology to the JV, ensuring a seamless and efficient commercial operation.

The collaboration aims to create a closed-loop process for the production and supply of RE products, bolstered by the supportive Brazilian jurisdiction.

Discussions with Brazilian government agencies are ongoing, with both parties working towards expedited approval processes.

The goal is to position Brazil as a pivotal player in the global supply chain, capitalizing on the expertise and resources of IonicRE and Viridis.

The JV Co’s establishment marks IonicRE’s ascent as a formidable leader in the global supply of REOs outside China, a critical component in the ongoing energy transition.

Permanent magnets, vital for electric motors, wind turbines, and advanced manufacturing, stand to benefit greatly from this venture.

Furthermore, the JV Co solidifies IonicRE’s status as an industry pioneer on the path to Rare Earth Element (REE) production and supply.

With operations spanning two continents, IonicRE gains a strategic advantage in risk mitigation and expands its potential for global opportunities.

A Scoping Study for the Refinery and Recycling project is slated for completion by the end of 2024, signaling a new era in rare earth supply.

IonicRE’s Executive Chairman, Mr. Brett Lynch, expressed his enthusiasm for the Joint Venture, stating, “This agreement is a testament to IonicRE’s progress over the past two years as a key player in the essential rare earth supply chain for the Western world.

Following our continuous magnet REO production success at Belfast and Makuutu, we are now poised to meet the surging demand from the energy transition, particularly in electric motors, wind turbines, and advanced manufacturing.

Our partnership with Viridis enables us to leverage our collective assets and expertise, ensuring IonicRE’s prominence in an alternative global rare earth supply chain currently dominated by China.

Establishing a secure, resilient supply is imperative, and IonicRE is set to be at the forefront of this critical endeavor.”