Meteoric Resources Shares Rise After Signing Rare Earth Offtake MOU

Meteoric Resources NL (ASX: MEI) shares have climbed after entering into a rare earth offtake MOU with Neo Performance Materials Inc (TSX: NEO).

The company will supply 3,000 metric tonnes (MT) total rare earth oxide (TREO) per year from its Caldeira Project in Brazil to Neo’s magnet manufacturing plant.

Meteoric shares were trading 5.58% higher intra-day following the announcement, at A$0.23.

Watch: Meteoric Resources updates JustStocks on first rare earth carbonate production from Caldeira Project

The Caldeira Rare Earth Ionic Clay Project, located in the state of Minas Gerais, is a globally significant rare earth elements project.

Meteoric is gearing up to mine and process high-value neodymium and praseodymium (NdPr), and the highly sought dysprosium and terbium (Dy-Tb).

These four magnetic rare earth elements are critical for the generation of essential clean energy for the future.

MOU with Neo

The MOU provides the framework for the parties to negotiate a commercial offtake agreement for the supply of mixed rare earth carbonate (MREC) from the Caldeira Project.

Notably, annual offtake of 3,000 MT TREO from the Caldeira Project could supply Neo with as much as 900 MT of Nd-Pr oxide and 30 MT of Dy-Tb oxide.

Meteoric expects to obtain a construction permit by Q4 2025 and aims to start MREC production during the second half of 2027.

Growing existing resource

Throughout the March quarter, Meteoric continued exploration and infill drilling at the Caldeira Project.

The drilling intersected significant clay hosted rare earth mineralisation including 143 metres at 6,406ppm TREO from surface.

Through this drilling, Meteoric is aiming to grow its existing resource of 409 million tonnes at 2,626 ppm TREO at a 1,000ppm cut off.

Meteoric had cash of A$27.3 million at the end of the March quarter.

 

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