Australian mining company Victory Metals aims to cooperate with Japanese conglomerate. Focus on particularly valuable heavy rare earths.
The Australian mining company Victory Metals Limited plans to supply the Japanese conglomerate Sumitomo Corporation with rare earths. A non-binding Memorandum of Understanding (PDF) outlines an offtake volume of 30% of the annual production from Victory’s North Stanmore Heavy Rare Earth Project. The site contains heavy rare earth elements like terbium and dysprosium, which are more difficult to extract and therefore highly coveted. Victory describes the deposit as Australia’s largest known clay resource, the type of deposit where heavy rare earths are mainly mined. Currently, such mining occurs only in southern China and neighboring Myanmar.
The agreement is set to run for five years, with an option to extend for another five. By October 31, 2025, the two parties aim to finalize a binding term sheet as a basis for the contract.
Victory’s CEO and Executive Director Brendan Clark stated that the partnership will strengthen Victory’s position in global rare earth supply chains and as a supplier for the energy and defense sectors. Sumitomo describes itself as a global leader in resource development, metals and minerals trading, advanced technology investment, and supply chain management..
Alongside Victory, Sumitomo collaborates with other companies in countries like the USA and Kazakhstan to broaden rare earth supply chains. However, it also maintains partnerships with China, which has dominated rare earth refining for decades.
Photo: iStock/SHansche
