Rare Element Resources has secured a non-binding letter of interest (LOI) from the Export-Import Bank of the United States (EXIM) to develop the Bear Lodge critical rare earth project by providing a part of debt financing of up to $553m.
This funding support aligns with the US Government’s strategic focus on domestic mineral production, particularly critical rare earth elements (REEs).
Go deeper with GlobalData
Coinciding with the LOI from EXIM, US President Donald Trump has issued an executive order to enhance US mineral production.
The directive aims to streamline permitting and funding processes, and establish offtake agreements for minerals deemed critical to national security and technological advancement.
Rare Element Resources’ rare earth demonstration plant is currently undergoing factory acceptance testing, with recent upgrades causing a slight delay in the commencement of operations, now expected in mid-2025.
The plant is set to operate for up to ten months, producing up to ten tonnes of neodymium/praseodymium (Nd/Pr) oxide, which is crucial for discussions with potential strategic partners and offtake customers.
EXIM’s potential involvement in the Bear Lodge project is part of its broader mission to facilitate the export of US goods and services, supporting US jobs.
The project is in line with EXIM’s Make More in America Initiative and the China and Transformational Exports Program, both of which counter competitive pressures from China and promote US leadership in key technological sectors.
Rare Element Resources president and CEO Ken Mushinski said: “We appreciate this EXIM expression of interest and view it as further legitimatisation of our significant efforts to date as well as our plan for the future of our Bear Lodge project.
“We certainly appreciate the President and his Administration’s commitment to critical minerals production. Our current work at the Upton, Wyoming, rare earth processing and separation demonstration plant is a timely and necessary step in the project’s development and will be key to furthering the permitting and development of the mine and full-scale commercial plant.”
