Joint Venture Between JOGMEC and Aclara Announced
Japan is seeking to secure early access to rare earth resources in Brazil. The state-run Japan Organization for Metals and Energy Security (JOGMEC) has announced a joint venture with Canadian company Aclara, which is developing rare earth deposits in Brazil (PDF). The cooperation will focus on the exploration and advancement of rare earth deposits hosted in ionic clays. These can contain comparatively high proportions of heavy rare earth elements and are often easier to develop than conventional hard-rock deposits.
JOGMEC plans to invest up to US$3 million in exploration over the next three years. Under certain conditions, the amount may be increased by a further US$1.5 million. In return, the organization will have the option to acquire a 30% interest in one of Aclara’s Brazilian exploration projects. Following a successful earn-in period, JOGMEC will also be entitled to secure offtake rights for part of the project’s future production and may transfer these rights to Japanese companies or consortia. Aclara’s more advanced Carina Project is excluded from the joint venture.
Photo: Aleksander Tumko
