Daily Newsletter

25 September 2024

Daily Newsletter

25 September 2024

US pledges $786m to Australian rare earths and lithium projects

The US and Australia established a critical minerals taskforce aimed at reducing China’s dominance in the market.

Regan Slaymaker September 25 2024

The Export-Import Bank of the United States (EXIM) has offered $786m (A$1.14bn) in debt funding to support two Australian companies to develop critical minerals supply chains.  

Australian mineral resources company American Rare Earths announced on Tuesday (24 September) that it received a letter of interest from EXIM for a $456m debt funding package to support the construction and operation of the Cowboy State Mine (CSM) area at Halleck Creek in Wyoming.  

Melissa Sanderson, one of American Rare Earths’ board of directors, explained that the company is hopeful the debt funding package will help attract additional private funding for the CSM project.  

The funding package was offered under EXIM’s Make More In America Initiative and has a proposed repayment tenor of 15 years. 

On the same day, Australian critical minerals company Anson announced that EXIM offered $330m to the company to finance the construction of a lithium production plant in the Paradox Basin in Utah.  

Bruce Richardson, Anson Rescources’ executive chairman and CEO, said: "We are delighted to receive this letter of interest from US EXIM following extensive collaboration with multiple government and industry stakeholders in the United States. 

“The United States seeks to develop a domestic and reliable source of critical minerals and the Paradox Basin, which we believe is the largest source of lithium in the United States, has a significant role to play.” 

In August, EXIM offered a similar debt funding package of $600m to Australian Strategic Materials to support the Dubbo rare earths project in New South Wales.  

Last year, the US and Australia established a critical minerals taskforce designed to attract investment in minerals processing and reduce China’s dominance in the market.  

China currently controls more than 80% of global supply.  

Uncover your next opportunity with expert reports

Steer your business strategy with key data and insights from our latest market research reports and company profiles. Not ready to buy? Start small by downloading a sample report first.

Newsletters by sectors

close

Sign up to the newsletter: In Brief

Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Thank you for subscribing

View all newsletters from across the GlobalData Media network.

close