Rare earth developer Critical Metals (Nasdaq: CRML) has approved a $30-million program to accelerate development of its Tanbreez heavy rare earths project in Greenland, one of the world’s largest known rare earth deposits. Shares rose.
The funding is to advance drilling, infrastructure, engineering design and metallurgical work needed to move the project closer to production, the company said.
The board’s approval of the program marks a key step in unlocking the deposit’s potential after about 18 months of exploration progress, partnerships and infrastructure planning, CEO Tony Sage said. The next phase will focus on speeding the project toward production as Western governments seek new sources of heavy rare earth elements.
The effort comes as the United States and its allies push to build secure supply chains for critical minerals used in electronics, defence systems and clean energy technologies, amid concerns about heavy reliance on China.
Shares rose 4.6% to $9.35 in early trading Tuesday following the announcement.
Flurry of activity
Critical Metals has done a significant amount of work on Tanbreez’ development. In January, the company approved construction of a multi-use storage and pilot facility in Qaqortoq and announced the acquisition of a fully integrated mobile assay laboratory designed to provide real-time geochemical data directly at the site. The lab will support a proof-of-concept pilot plant by enabling rapid elemental analysis of drill core and processing samples.
The company expects first ore production in the fourth quarter of 2028 or the first quarter of 2029, with concentrate exports beginning by the third quarter of 2029.
Critical Metals has signed offtake agreements covering about 75% of the rare earth concentrates expected from the project.
Trump administration officials also reportedly approached the company last year about taking a stake.
Be the first to comment on "Critical Metals OKs $30M for Tanbreez rare earths"