The offer marks the third government-level support offer for the project.
Australian rare earth developer Viridis Mining and Minerals has received a Letter of Interest (LOI) from Export Development Canada (EDC) to support its Colossus rare earth project in Brazil. The non-binding offer of up to $100 million marks the third expression of government-level financing interest in the operation, following earlier approaches from France’s export credit agency and Brazilian development institutions.
Colossus is an ionic adsorption clay (IAC) rare earth deposit, a type that can be mined without drilling or blasting. Instead, the clays are leached with chemical solutions to release the rare earth elements, making IAC deposits faster to develop and generally less capital-intensive than conventional hard-rock projects. This type of deposit is currently only commercially mined in Southern China and neighboring Myanmar, with some analysts believing Brazil could emerge as an alternative supplier in the future.
Viridis has previously reported strong metallurgical results from the project. In April 2024, the company announced ionic recoveries of up to 63 percent, one of the highest levels recorded globally for clay-hosted rare earth deposits (we reported).
The financing interest from EDC adds to the agency’s recent push into critical minerals. In June, EDC announced up to $250 million in support for a rare earth project in British Columbia, and it was among the first government lenders to back Australian developer Arafura’s Nolans project in the Northern Territory.
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