One of the world’s largest rare earths metal projects, to be based in the Northern Territory, is a step closer following a $200m investment from the National Reconstruction Fund Corporation (NRFC).
Arafura Rare Earths has secured the funding for its Nolans project, 135km north of Alice Springs.
Arafura’s Managing Director Darryl Cuzzubbo said the deal had been months in the making and de-risked the equity funding required for the development of Nolans.
Mr Cuzzubbo said the $200 million commitment from the NRFC demonstrated the strategic and economic importance of Nolans to the Northern Territory, and Australia more broadly.
“This is indeed a significant day for Arafura and the Nolans Project.”
Federal Industry and Science Minister Ed Husic said the project would create 600 jobs during the construction phase with 350 ongoing jobs once mining and refining operations were up and running.
Minister Husic said rare earth minerals were integral for the manufacture of magnets that went into products such as wind turbines, electric vehicles and defence equipment.
He said demand for processed rare earth minerals was expected to double by 2030, with the current market currently dominated by a single supplier.
“The mine and processing plant will produce around 4,440 tonnes of neodymium and praseodymium (NdPr) – which will account for around four percent of global demand from 2032.
“It will be the first of its kind in Australia and one of the largest in the world, a game changer for the Northern Territory.”
