RareX (ASX:REE) has signed a non-binding memorandum of understanding (MoU) with a vertically integrated critical minerals platform, US Strategic Metals, to collaborate on processing and supply chain development between Australia and the US.
The MoU is intended to assess processing capabilities at US Strategic Metals’ (USSM) permitting Missouri multi-metallic critical minerals hub for products from RareX’s future operations.
RareX, which has a market capitalisation of $36.52 million, will jointly pursue opportunities with USSM for strategic funding, technology development, and supply chain collaboration consistent with US-Australia critical minerals cooperation frameworks.
Both companies will establish a working group to progress feasibility and technical assessments at the USSM site in Missouri and evaluate downstream integration opportunities.
RareX CEO James Durrant says this partnership represents a natural alignment between Australia’s upstream mineral capability and the US’ growing downstream industrial base.
“By working with USSM, we are taking a practical step toward integrating Australian-led resource development with US processing capacity – helping to build the secure, Western-aligned supply chains that our industries and governments are calling for,” Durrant says.
USSM Chief Executive Stacy Hastie the platform’s processing and refining capabilities in Missouri are designed to serve the US’ domestic needs.
“Together with RareX, we intend to advance the technologies and funding partnerships that will underpin the next generation of western critical mineral supply chains,” Hastie says.
According to the International Energy Agency, the supply of rare earths remains among the least geographically diversified among all critical minerals.
Earlier this month, the US and Australia reached an understanding on a common policy framework for mining and processing rare earths and other critical minerals.
Both nations intend to support the supply of raw and processed critical minerals and rare earths crucial to the commercial and defence industries of the US and Australia.
In 2024, China accounted for 60% of the global mining output, followed by Myanmar, Australia, and the US. China’s dominance is even greater in the separation and refining stages, representing 91% of the global production.
RareX’s Cummins Range Project in Western Australia is a near-permitted multi-critical mineral deposit containing rare earths, gallium, scandium, and phosphate.
Write to Aaliyah Rogan at Mining.com.au
Images: RareX & USSM
