Meteoric Resources NL (ASX:MEI) has initiated inquiries for debt funding to advance its 100% owned Caldeira Rare Earth Ionic Clay Project in Minas Gerais, Brazil.
“We are thrilled to embark on this process with the EXIM bank, a significant stride in our Debt Financing strategy for the Caldeira Project. In recent years, there has been heightened awareness regarding the shortcomings in Western Supply chains for Rare Earth mining and downstream processing,” Meteoric Resources CEO Nick Holthouse said.
“Meteoric, through the Caldeira Project and support from the EXIM Bank, aims to contribute to the rebuilding of an independent and vertically integrated rare earth supply chain of scale.”
The ongoing progress of Meteoric’s Caldeira Project has garnered attention from Export Credit Agencies (ECAs) and government lenders. The project boasts global reserves of Rare Earth elements, strategically located near REE separation facilities in the Western Hemisphere.
Meteoric plans to extract and process high-value Neodymium, Praseodymium, Dysprosium, and Terbium, crucial elements for the future of clean energy generation.
With the support of Sprott Capital Partners (SCP), Meteoric has partnered with Woodford Resources, based in Washington D.C. to initiate the Senior Debt Financing process.
This collaboration has led to Meteoric receiving a non-binding Letter of Interest from the United States Export-Import Bank (EXIM), regarding the potential financing of up to US$250 million (A$377.6 million).
This funding will serve as a cornerstone for a diverse funding structure at the Caldeira project, with a focus on resource validation, metallurgical studies, and engineering assessments.
These endeavours are critical for the EXIM due diligence process as Meteoric targets a Financial Investment Decision (FID) by late 2025.
MEI last traded at 24.5c, at 11am AEDT.