HOUSTON, May 21 (Argus) - US rare earth producer REalloys has signed a 15-year purchase agreement with Critical Metals (CRML) to purchase rare earth concentrate from the Tanbreez project phase one in southern Greenland.
REalloys said on Thursday that this binding agreement replaces the previous letter of intent and covers 15% of the monthly output of the Tanbreez project.
Once the Tanbreez project phase one starts operation, it is expected to have a rare earth concentrate production capacity of up to 15,000 metric tons per year. The company has not disclosed the specific time. Pricing will be based on a market reference formula and provide minimum price protection for specific payment elements.
CRML holds 92.5% of the Tanbreez project, which is one of the largest known heavy rare earth element deposits in the world, containing large amounts of dysprosium and terbium.
REalloys fully owns the Hoidas Lake project in Saskatchewan, Canada, and collaborates with the Saskatchewan Research Council to conduct rare earth separation and processing. It has also conducted cooperation with partners from the United States, Brazil and Kazakhstan.
The company aims to start commercial-scale production of dysprosium, terbium and neodymium metals and alloys in January 2027.
