Australia's Meteoric Resources to supply rare earths oxide to Canada's Ucore (updated)

Meteoric Resources NL

21/08/2024 01:38

(Adds details in paragraphs 2-3, CEO quote in paragraph 4;
share moves in paragraph 5; background in paragraph 6)
       Aug 21 (Reuters) - Rare earths developer Meteoric
Resources  MEI.AX  said it has executed an agreement to supply
3,000 metric tons of rare-earth oxide from its forthcoming
Caldeira rare earth ionic clay project in Brazil to Canada's
Ucore Rare Metals  UCU.V .
    Under the agreement, the parties will work towards a binding
agreement for the supply of mixed rare earth carbonate (MREC) to
Ucore's developing rare earth oxide production facility, the
Louisiana Strategic Metals Complex in the United States,
Meteoric Resources said on Wednesday.
    The Perth-headquartered firm said it also expects to obtain
a construction permit by the fourth quarter of 2025, and aims to
commence MREC production during the second half of 2027.
    "Ucore's interest signals strong external market confidence
in the Caldeira Project's ability to progress to a final
investment decision and into production," Meteoric CEO Nick
Holthouse said.
    Shares of Meteoric were down as much as 4% to A$0.096 by
0033 GMT, amid weakness across the sector.
    The agreement follows Meteoric collaborating with a regional
department of Brazil's Minas Gerais state in late June to
explore the production of rare earths magnets.

 (Reporting by Shivangi Lahiri in Bengaluru; Editing by Rashmi
Aich)
 ((Shivangi.Lahiri@thomsonreuters.com;))