Hastings Technology Metals acquires significant stake in Neo Perfomance Materials.
The increasing demand for rare earths is a great opportunity for Australia. The country is rich in mineral resources and has many years of expertise in mining and processing minerals, both of which are in demand internationally. For example, the Australian mining company Lynas has been commissioned to build a refinery for rare earths in the USA. Competitor Arafura is establishing lively contacts with electric car manufacturers and wind energy groups, which are particularly interested in permanent magnets made of rare earths. The influence of Australian companies in the supply of these strategic raw materials is likely to grow, with Perth-based Hastings Technology Metals announcing Friday that it will acquire a 22.1 percent stake in Neo Perfomance Materials. The company also aims to gain representation on the board of the Canadian manufacturer of rare earth magnets and alloys.
Hastings Technology Metals is currently developing the Yangibana project in Western Australia, among other projects, which is expected to come on stream in late 2023. The rare earth deposit is rich in neodymium and praseodymium. Future customers will include the Essen-based trading and services group Thyssenkrupp Materials Trading.
The investment in Neo Performance will enable Hastings to profit from processed products in addition to raw material mining in the future. As we reported last week, Neo Performance is entering the rare earths mining business. The plan is to explore a deposit in Greenland.