St George partners with Brazil's Lima & Pergher for rare earth processing center (updated)

St George Mining

26/08/2026 21:22

Adds context in bullets 1-2, details in bullets 6-7
By Marta Nogueira
BELO HORIZONTE, Aug 26 (Reuters) - Australia's St George Mining SGQ.AX signed a memorandum of understanding with Brazil conglomerate Lima & Pergher to establish a rare earth separation and processing center in the Brazilian city of Uberlandia, St George executives said on Wednesday.
Brazil has the world's second-largest reserves of rare earth minerals after China 
Local officials have argued the country should not limit itself to exporting raw materials but instead add value through a strategic high-tech industry
Under the agreement, a combined investment of 2 billion reais ($388.1 million) is expected, the executives noted during a mining event in Belo Horizonte, Brazil
The unit is expected to be built at an industrial complex owned by START, Lima & Pergher's chemical and industrial division
It is projected to process rare-earth carbonates produced by St George's Araxa project in Minas Gerais state, as well as material potentially supplied by other mining companies
It is also expected to have capacity to process about 50,000 metric tons of carbonate per year around 2030, with commercial operations set to begin in 2029
The ownership stakes and investment commitments of each partner have not yet been defined
     
($1 = 5.1535 reais)

 (Reporting by Marta Nogueira; Writing by Fernando Cardoso; Editing by Mark Porter and David Gregorio)
 ((fernando.cardoso@thomsonreuters.com;))