VHM (ASX:VHM) has been granted a mining licence for the Goscen Rare Earth and Mineral Sands Project in Victoria.
The company will now be entitled to mine the land covered by the licence, as well as explore for minerals and construct mining facilities related to the mining operation.
The Resources Victoria regulator has approved the mining licence, which follows a thorough assessment of VHM’s application by the Earth Resources Regulator and the completion of an Environmental Effects Statement (EES) process.
VHM, which has a market capitalisation of $49.9 million, says all of the necessary remaining secondary approvals to construct, operate and close the project are progressing.
The company plans to finalise investment discussions and develop strategic partnerships as it progresses towards a final investment decision (FID) for Goschen.
The award of the mining licence will support VHM expedite discussions with potential offtake and project financing partners. In parallel, VHM has appointed an independent technical, environmental, and social due diligence review for the project financing.
CEO Ron Douglas says the approval of the mining licence is the latest milestone for the project and further de-risks the project as it targets a FID.
“For shareholders of the company and potential financiers, this is a critical approval in the ongoing process of advancing Goschen through development and into production,” Douglas says.
“Goschen has the potential to become an important Victorian supplier of critical minerals and we thank Resources Victoria for recognising the opportunity the Goschen Project represents for the state.
“VHM will now continue working towards finalising important financing and offtake agreements, as well as securing the remaining approvals we require.”
The Goschen project will involve mining mineral sands and rare earths, including zircon, rutile,
leucoxene, ilmenite product and rare earth minerals. These materials are used in a range of products,
including renewable energy infrastructure, medical implants and mobile phones.
The company was also recently awarded a three-year extension to Major Project Status for the Goschen Project under the Commonwealth Industry Minister.
Resources Victoria Executive Director Regulatory Operations Chris Webb says in addition to the recommendations from the EES process and community feedback, the state government’s assessment focused on whether VHM can deliver what is set out in their project proposal.
“Following this thorough assessment of their application, VHM have been awarded the right to
exclusively access minerals under the state’s mining legislation,” Webb says.
VHM says the Goschen Project has a clear pathway to production in Q4 2026 through a staged development strategy. It is considered a dual commodity asset which will generate revenue from two independent product streams — rare earths and heavy minerals, including zircon and titanium.
VHM is focused on rare earths and supplying critical minerals that will power the world’s clean-energy transition.
Write to Aaliyah Rogan at Mining.com.au
Images: VHM
