REG - Rainbow Rare Earths - Appointment of Non-Executive Director

Rainbow Rare EarthsAnnouncement

12/06/2023 07:00

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RNS Number : 3262C  Rainbow Rare Earths Limited  12 June 2023

12 June 2023

Rainbow Rare Earths Limited

("Rainbow" or "the Company")

LSE: RBW

 

Appointment of Darryll Castle as Non-Executive Director

Rainbow Rare Earths is pleased to announce that Mr Darryll Castle has joined
the Board as a Non-Executive Director. Mr Castle's appointment is pursuant to
the nomination right held by TechMet Limited ("TechMet"), as set out in the
Company's recent private placement announcement dated 9 May 2023, whereby
TechMet may nominate one Director to the Board of Rainbow for so long as it
holds at least 10% of the issued shares in the Company. Further to its major
participation in the private placement, TechMet now holds 71,618,369 shares in
Rainbow, which represents 12.0% of the Company's issued share capital.

Mr Castle is currently Director of Operations for TechMet. With a background
in engineering, he has over 30 years' experience across company leadership,
project/operational delivery and transformation, technical planning and
implementation, fund management, business development and governance roles.

Through his extensive career he has served as an executive director of a
number of mining and production companies including CEO of Trafigura Mining
Group, CEO of PPC Cement (JSE listed) and CEO of Anvil Mining (TSX and ASX
listed), where he was instrumental in completing the sale of Anvil Mining to
China Minmetals for US$1.3 billion, and COO at Metorex Group Limited, as well
as multiple board memberships of listed and private companies.

Mr Castle has first-hand operations and projects experience globally including
in Cuba, Spain, Peru, and particularly on the African continent, having run
projects and companies in the DRC, Zambia, Angola, Zimbabwe, Ethiopia, Rwanda
and Tanzania.

Mr Castle is a South African national and holds a B.Sc in Civil Engineering
from the University of KwaZulu-Natal and a Batchelor of Commerce from the
University of South Africa, a Masters of Business Administration (MBA) and the
Chartered Financial Analyst (CFA) qualification.

Within the last five years, Mr Castle was a director of Basil Read Holdings
(JSE listed). The Company confirms that there is no further information
required to be disclosed pursuant to paragraph 9.6.13 of the UK Listing Rules.

George Bennett, CEO of Rainbow, commented: "We are delighted to welcome
Darryll to the Board. His extensive mining and operating experience globally,
but particularly across Africa, will be highly valuable to Rainbow. He is
joining the Company at a critical point as we are set to deliver on the
operation of the Phalaborwa pilot plant over the coming months, both via the
delivery of a mixed rare earth sulphate from the plant front end in South
Africa and via the delivery of separated rare earth oxides from the plant back
end in the USA. We look forward to working with Darryll at this exciting
juncture for the Company."

Rainbow has today also uploaded a new investor presentation to its corporate
website, which can be accessed here:
https://www.rainbowrareearths.com/investors/results-reports-presentations/
(https://www.rainbowrareearths.com/investors/results-reports-presentations/) .

 

 

For further information, please contact:

 

 Rainbow Rare Earths Ltd   Company  George Bennett     +27 82 652 8526
                                    Pete Gardner
                                    Cathy Malins (IR)  +44 7876 796 629
                                                       cathym@rainbowrareearths.com (mailto:cathym@rainbowrareearths.com)

 Berenberg                 Broker   Matthew Armitt     +44 20 3207 7800
                                    Jennifer Lee

 Tavistock Communications  PR/IR    Charles Vivian     +44 (0) 20 7920 3150
                                    Tara Vivian-Neal   rainbowrareearths@tavistock.co.uk (mailto:rainbowrareearths@tavistock.co.uk)

 

 

Notes to Editors:

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 the
identification and development of secondary rare earth deposits that can be
brought into production quicker and at a lower cost than traditional hard rock
mining projects, with a focus on the magnet rare earth elements neodymium and
praseodymium ("NdPr"), dysprosium and terbium.

The Phalaborwa Rare Earths Project, located in South Africa, comprises a total
Mineral Resource Estimate of 30.4 Mt at 0.44% TREO contained within
unconsolidated gypsum stacks derived from historic phosphate hard rock mining.
High value NdPr oxide represents 29.0% of the total contained rare earth
oxides, with economic Dysprosium and Terbium oxide credits enhancing the
overall value of the rare earth basket in the stacks. Rainbow will use a
proprietary separation technique developed by its partner K-Technologies, Inc.
for the plant at Phalaborwa, which simplifies the process of producing
separated rare earth oxides (versus traditional solvent extraction), leading
to cost benefits, as well as being more environmentally friendly.

The Phalaborwa Preliminary Economic Assessment has confirmed strong base line
economics for the project, which has a base case NPV(10) of US$627 million 1 
(#_ftn1) , an average EBITDA operating margin of 75% and a payback period of
< two years. Pilot plant operations will commence in 2023, with the project
expected to reach commercial production in 2026, just five years after work
began on the project by Rainbow.

 1  (#_ftnref1) Net present value using a 10% forward discount rate

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