In 2024, Viridis delivered strong geological results from the project.
The Australian export credit agency has offered support to Australian mining company Viridis Mining and Minerals for the further development of its Colossus rare earth project in Brazil. Up to $50 million in funding could be made available, according to the agency. If finalized, this would mark the fourth instance of backing from a state-backed financial institution for Viridis. Export credit agencies from Canada and France, as well as Brazil’s national development bank (BNDES), have previously expressed interest in supporting the project. These commitments are complemented by private-sector investment. According to Viridis, the combined financing package of approximately US$286 million is now effectively covered, bringing the project closer to a final investment decision (FID).
Viridis has already reported strong geological results from the Colossus project in recent years. In April 2024, the company announced recovery rates of up to 63 percent, among the highest globally for rare earth elements extracted from ion-adsorption clays. These clay-hosted deposits occur mainly in tropical and subtropical regions and are the primary source of heavy rare-earth elements such as dysprosium and terbium, which are scarcer and typically more valuable than light rare earth elements like neodymium. Currently, commercial production of ion-adsorption clay deposits is largely confined to China and neighboring Myanmar. However, several analysts see Brazil as a potential future producer, given its favorable geology. To increase domestic value creation, Viridis has also entered into a cooperation agreement to enable local downstream processing of the extracted material.
Photo: indahlestar29 via Canva