- MEI signs MOU for offtake from its Caldeira rare earths project in Brazil
- US company Ucore will take 3,000 tonnes per year at its planned Louisiana facility
- US company Ucore will take 3,000 tonnes per year at its planned Louisiana facility
Special Report: Meteoric Resources has signed a memorandum of understanding (MoU) with Ucore Rare Metals for the supply of 3,000 metric tonnes of total rare earth oxides (TREO) annually from its Caldeira project in Brazil. The material will support Ucore’s planned rare earth oxide production facility in Louisiana, USA.
Ucore aims to establish itself as a premier advanced technology firm, delivering top-tier metal separation products and services tailored for the mining and mineral extraction sector.
This strategy involves forming strategic alliances to challenge the Chinese dominance over the North American rare earths supply chain, which includes the imminent creation of a heavy and light rare earth processing facility in Louisiana, followed by the development of additional strategic metal complexes in Canada and Alaska.
Evidently, Ucore recognizes the potential in Meteoric (ASX:MEI) Caldeira, which contains a rich heavy REO basket featuring significantly enriched magnet REOs such as terbium, dysprosium, neodymium, and praseodymium.
Ucore aims to become a leading advanced technology company providing metal separation products and services to the mining and mineral extraction industry. The company’s strategy includes disrupting China’s dominance of the North American rare earth supply chain by establishing a heavy and light rare earth processing facility in Louisiana, alongside future strategic metal complexes in Canada and Alaska.
Ucore values Meteoric’s Caldeira project for its enriched heavy rare earth oxide basket, notably including critical magnet rare earth elements such as terbium, dysprosium, neodymium, and praseodymium.
Deal Highlights Project Potential
Under the MOU, both parties will work toward a binding agreement for the supply of mixed rare earth carbonate from Caldeira to Ucore’s Louisiana strategic metals complex.
Upon production, Ucore plans to purchase a minimum of 3,000 tonnes of TREO annually from Caldeira, which could include over 900 tonnes of NdPr, approximately 6 tonnes of terbium, and 24 tonnes of dysprosium.
MEI CEO Nick Holthouse said, “This important agreement with Ucore strengthens Meteoric’s MREC offtake strategy and supports Ucore’s efforts to establish an alternative rare earth separation option within a Western supply chain. Ucore’s involvement demonstrates strong market confidence in Caldeira’s development potential. We look forward to collaborating with Ucore and benefiting from their technical expertise and US Government relationships as we advance our downstream capabilities and finalize commercial arrangements.”
Louisiana Facility Targeting Operations in 2026
Ucore’s rare earth oxide production facility in Louisiana is expected to begin commissioning by Q4 2025, with commercial operations targeted for the first half of 2026.
Ucore chairman and CEO Pat Ryan stated, “We are pleased to partner with Meteoric and its world-class Caldeira project as we build a diverse Western rare earth supply chain. The proximity of Brazil to the Port of New Orleans and our Louisiana facility provides a strategic advantage as we establish rare earth manufacturing in the southeastern United States.”
Meteoric anticipates securing a construction permit by Q4 2025 and aims to commence MREC production in the second half of 2027.
