Under the agreement, which marks a significant step toward the establishment of an integrated global rare earth supply business, a framework will be set for both parties to cooperate in aligning the rare earth concentrates from GMEL’s Kvanefjeld project.
With all approvals in place, NFC aims to increase its participation in the global rare earth business, and has a new 7,000tpa capacity rare earth separation facility planned.
Located in southern Greenland, GMEL’s Kvanefjeld project is one of the world’s largest resources of both rare earth elements and uranium, with scope to increase the resource base substantially.
Currently definitive feasibility study is underway at the project and is scheduled to enter the permitting phase in late-2014.
Both parties aim to increase the technical cooperation to assist in the feasibility studies completion on Kvanefjeld, and finalize a mining license application.
A strategic cooperation agreement will be established by the two firms and map out the structure of a business partnership and associated commercial considerations.
GMEL will increase its focus on structuring the uranium business as well as firm up an optimal uranium partner for the Kvanefjeld project.
