The US Export-Import Bank (EXIM) offered about $850 million of investments to Australian mining companies to develop rare earth minerals projects both in Australia and in Latin America.
According to Mining.com news portal, Australian Strategic Materials (ASM) has received a letter of interest for a debt funding package of up to $600 million from EXIM to support construction of its Dubbo rare earths project northwest of Sydney. ASM is expected to make a final investment decision on the Dubbo project by the end of 2024, which has already received a $132.24 million support package from the Australian government.
Another project that EXIM has offered a $250 million financial backing to is Caldeira rare earths mine in Brazil being developed by the ASX-listed Meteoric Resources. Meteoric is targeting an investment decision late next year for Caldeira which will produce such minerals as neodymium, praseodymium, dysprosium and terbium.
Last year, the US and Australia set up a critical minerals taskforce as Australia looks to become a competitor to China, world's top rare earth minerals producer. EXIM’s support for Dubbo and Caldeira projects is linked to the potential US content in equipment, goods and services. Meanwhile, backing by a government authority is seen as key to attract commercial lenders and private investment to the sector to help secure the critical commodities.
Theodor Lisovoy, Editor in Chief of the European bureau, Rough&Polished
