RCS - Rainbow Rare Earths - Rainbow joins the Rare Earth Industry Association

Rainbow Rare EarthsAnnouncement

21/05/2025 07:00

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RNS Number : 4928J  Rainbow Rare Earths Limited  21 May 2025

21 May 2025

Rainbow Rare Earths Limited

("Rainbow" or "the Company")

LSE: RBW

 

Rainbow joins the Rare Earth Industry Association

Rainbow Rare Earths is pleased to announce that it has joined the Rare Earth
Industry Association ("REIA"), as an important step on the Company's
development path as it works to realise the first commercial recovery of
critical rare earth elements ("REE") from phosphogypsum.

REIA is dedicated to the development of a transparent and sustainable REE
industry and as such is a global non-profit organisation with partners
representing the entire value chain. Currently the network consists of over 70
members with operations covering REE mining, recycling, processing, permanent
magnet manufacturing, as well as the end users of permanent magnets, which are
the main value drivers for REE.

REIA is focused on innovation as a key pathway to industry resilience and
Rainbow's work can be an important contributor as the Company furthers its
plans to unlock a global opportunity for the low-cost and responsible supply
of magnet rare earths from phosphogypsum, starting with the Phalaborwa project
in South Africa.

Rare earths are notably essential to national security and Phalaborwa has been
identified by the U.S. Government as a strategic source of all four magnet
rare earths (neodymium, praseodymium, dysprosium and terbium), with a proposed
US$50 million in project equity funding from the U.S. International
Development Finance Corporation ("DFC") to be invested via strategic
shareholder TechMet Limited.

George Bennett, CEO, commented: "We are delighted to join REIA and to be part
of the conversation as we work together with other REE stakeholders from
across the supply chain to find solutions for some of the most pressing issues
facing our industry. Most importantly, we must act now to develop an
independent and resilient supply chain for the rare earths so vital to defence
applications, the green energy transition as well as many other advanced and
emerging technologies."

Dr. Badrinath Veluri, President of REIA, commented, "We are very pleased to
welcome Rainbow Rare Earths to REIA as our newest member. We recognise the
benefit in Rainbow's proposed extraction of magnet rare earths from secondary
sources, as a potentially lower cost and faster way to access these resources
at a time when the world urgently needs diversified sources of supply. We look
forward to working with Rainbow and to building a strong partnership."

For further information, please contact:

 

 Rainbow Rare Earths Ltd   Company  George Bennett         +27 82 652 8526

                                    Pete Gardner
                           IR       Cathy Malins           +44 7876 796 629

                                                           cathym@rainbowrareearths.com
 Berenberg                 Broker   Matthew Armitt         +44 (0) 20 3207 7800

                                    Jennifer Lee

 Stifel                    Broker   Ashton Clanfield       +44 20 7710 7600

                                    Varun Talwar

 Tavistock Communications  PR/IR    Charles Vivian         +44 (0) 20 7920 3150

                                    Tara Vivian-Neal       rainbowrareearths@tavistock.co.uk

 

Notes to Editors:

 

About Rainbow:

Rainbow Rare Earths aims to be a forerunner in the establishment of an
independent and ethical supply chain of the rare earth elements that are
driving the green energy transition. It is doing this successfully via
pioneering the first commercial recovery of rare earth elements from
phosphogypsum that occurs as the by-product of phosphoric acid production.
These projects eliminate the cost and risk of typical rare earth projects,
which involve mining and the production of a rare earth concentrate that must
be chemically cracked to form a mixed rare earth carbonate before further
downstream processing. As such, Rainbow's projects can be brought into
production quicker and at a lower cost than traditional hard rock mining
projects.

The Company is focused on the development of the Phalaborwa Project in South
Africa and the earlier stage Uberaba Project in Brazil. Rainbow's process will
deliver separated rare earth oxides through a single hydrometallurgical plant
on site, with a focus on the recovery of neodymium, praseodymium, dysprosium
and terbium. These are critical components of the high-performance permanent
magnets used in electric vehicles, wind turbines, defence and exciting new
markets such as robotics and advanced air mobility.

The Phalaborwa updated interim economic study released in December 2024 has
confirmed strong base line economics for the project, which has a base case
NPV(10) of US$611 million. Given Phalaborwa is a chemical processing
operation, with its resource sitting at surface in a chemically cracked form,
it has a much lower operating cost than traditional rare earth mining
projects, and it is therefore estimated to be the highest margin rare earth
project in development today outside of China.

More information is available at www.rainbowrareearths.com
(http://www.rainbowrareearths.com/) .

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