A strategically important rare earths project

Australian Rare Earths (AR3) has now finalised and signed its $5 million grant under the Federal Government’s International Partnerships in Critical Minerals (IPCM) program.

The grant work program is set to commence this month after AR3 initially received a grant instalment of $750,000.

The grant authenticates the Koppamurra rare earths project in South Australia and its strategic importance in building diverse, sustainable supply chains through secure international partnerships.

The funding will support additional metallurgical testwork and the completion of a pre-feasibility study (PFS) evaluating the heap leach and rehabilitation flowsheet from the mine to a mixed rare earth product in conjunction with social, environmental and economic assessments.

It will also assist the construction and operation of a demonstration plant to advance the Koppamurra project and significantly de-risk the development pathway.

AR3 will match the grant funding, bringing the total planned Koppamurra expenditure to $10 million spread over 2025 and 2026.

The $5 million grant will be paid upon AR3 providing progress on the agreed activities, provided on a six-monthly basis, with the first report due July 30 2025.

Vanadium has been a large focus of the IPCM grants, with $3.8 million put aside for Vecco Group’s Vecco project in Queensland. Tivan received a $7.39 million grant to support the company’s upcoming feasibility studies for the Speewah fluorite project in Western Australia.

Graphinex received recognition also, with a $3 million grant to support a proposed graphite refinery in Townsville.

Running for four years from 2023–24 to 2026–27, the IPCM program contributes to the implementation of the Australian Government’s Critical Minerals Strategy.

The Strategy outlines the government’s policy framework for Australia’s critical minerals sector, supporting a vision that by 2030 Australia will be a globally significant producer of raw and processed critical minerals and supports diverse, resilient and sustainable supply chains.