Arafura Rare Earths will begin exporting two of the worlds most sought-after rare earth metals for use in Hyundai’s electric vehicles, following a recent agreement.
The seven year offtake agreement between the Northern Territory-based resources company and South Korean automaker will see Neodymium-Praseodymium (NdPr) oxide exported from Arafura’s Nolans Project.
The agreement may be extended by a further five years, pending mutual agreement between the two companies.
NdPr is an element used in the making of electric motors for electric vehicles, and is highly valued by companies making the green energy transition.
Initial supply is expected in 2025, and will be 600t per year, increasing to 1,500t by year four of the agreement.
Northern Territory Chief Minister, Natasha Fyles, said the Government welcomed the announcement.
“The Government is working very hard to make the Territory the best place for exploration and mining investment in Australia,” Ms Fyles said.
“Today’s announcement is another huge step forward for the Nolans Project in securing a Final Investment Decision, supporting our plan for the Northern Territory to become a globally-significant producing, processing and manufacturing centre for critical minerals.”
