Australian Rare Earths Miner Makes Near $1 Billion Bet on Brazilian Mine

'We have a great deal of confidence in where demand is heading outside China,' said Lynas Chair John Humphrey.

Australian Rare Earths Miner Makes Near $1 Billion Bet on Brazilian Mine

TL;DR

  • Lynas Rare Earths is acquiring Meteoric Resources for A$968 million.
  • The deal provides Lynas with access to Meteoric's Caldeira project in Brazil, a large deposit of ionic clay rare earth oxide.
  • Lynas is the world's second-largest producer of rare earths outside of China.
  • The acquisition aims to capitalize on surging demand for rare earth metals used in electronics.
  • The transaction includes a 68.4 percent premium to Meteoric's share price.
  • Lynas Chairman John Humphrey views the Caldeira asset as consistent with the company's 'Towards 2030' strategy.