ASX-listed Australian Strategic Materials (ASM) and Blackstone Minerals have inked a three-way memorandum of understanding (MoU) with rare earth element refiners Vietnam Rare Earth Company (VTRE) to cooperate on opportunities to develop a fully integrated rare earths mine-to-metals value chain in Vietnam.
VTRE is seeking strategic partners to develop upstream mining and processing capabilities in Vietnam, which has the world’s largest rare earth reserves outside of China.
Under the MoU, Blackstone and VTRE will assess existing rare earth licensed concessions and, if appropriate, would apply to secure the mining licences under a joint venture arrangement.
Blackstone has agreed to allow VTRE access to its laboratory and piloting facilities at the Ta Khoa nickel project, with ASM to provide technical assistance to conduct a pilot flotation programme for the beneficiation of rare earth concentrates from the Dong Pao deposits.
The three companies will also explore a commercial model that could support a fully integrated mine-to-metals rare earths business.
“It is not often that you find a potential partnership in which the strategic advantages and core competencies of each party are so complementary. For Blackstone, a potential move into rare earths in Vietnam aligns with our technology mineral strategy and is synergistic to our Ta Khoa project and our existing relationships in the electric vehicle (EV) industry; for VTRE, teaming up with Blackstone gives VTRE access to our extensive knowledge in ESG management, mining, minerals processing and refining; for ASM, it is a great opportunity to extend their relationship with VTRE and to progress their vision of full vertical integration in critical minerals,” said Blackstone MD Scott Williamson.
“With this MoU, Blackstone, VTRE and ASM will progress discussions with the view to potentially establishing a world-leading fully integrated rare earths business.”
ASM MD and CEO Rowena Smith said the MoU had the potential to drive a more collaborative approach within rare earth elements and the critical minerals sector, and to deliver positive outcomes for all parties.
“We have already established a strong relationship with the VTRE team and I am excited by the progress they are making to increase their oxide production capacity. The partnership they are looking to build with Blackstone has the potential to benefit ASM’s existing supply of rare earth oxides for processing at the Korean metals plant.”
