Australia Will Spend A$840 Million to Develop the Country's First Combined Rare Earth Mine and Refinery Project
April 10, 2024
According to the Australian Broadcasting Corporation (ABC), the Australian federal government will inject $840 million (about 4 billion yuan) in the form of loans and subsidies into mining company Arafura to advance the development of the company's Nolans Project, a rare earth mine, which increases the consumption of HPGR and VSI wear parts(such as Hard Alloy Stud, Side Stud, cheek plate, Rotor Tip Set, Distributor Plate, Carbide Plate...).
The project's rare earth mine is located 125 kilometers north of Alice Springs in Australia's Northern Territory and focuses on the production of rare earth neodymium and praseodymium, the report said. Arafura has supply agreements with South Korean automotive companies Hyundai and Kia, as well as Siemens Gamesa Renewable Energy and General Electric.
Australian Resources Minister Madeleine King said the government's investment in the project aimed at ensuring that Australia can capitalize on its abundant rare mineral resources and compete on the world stage using these natural resources.
The Arafura project will be Australia's first combined rare earth mine and refinery, and it will help secure Australia's position as a renewable energy superpower, the report said. With rare earth supply chains at risk around the world, it is now necessary for the Australian government to invest heavily in the rare earths sector to ensure relevant projects get off the ground and attract private capital so that Australia can establish itself in the global rare earths market.
This follows the Australian government's commitment to provide $230 million loan to Liontown Resources, a lithium mine developer in Western Australia. In February, King also said she would add nickel to Australia's list of key minerals after nickel prices weakened, and provide $4 billion in funding for nickel mining companies. King said Australia would "need more mining, not less" to meet global climate goals and to reduce emissions by "building solar panels, batteries and wind farms".
