As a critical step towards fortifying the North American rare earth elements (REE) supply chain, Saskatchewan Research Council (SRC) and Defense Metals Corporation recently inked a Memorandum of Understanding (MOU). This MOU aims to fortify Canada’s positioning in the global map of REE processing.
SRC is a renowned leader in the recovery of REE at the pilot scale. Simultaneously, Defense Metals boasts an impressive portfolio featuring an advanced exploration-stage REE project (Wicheeda) in British Columbia’s highly prospective Cariboo Mining District. By coming together, both companies hope to accelerate the processing of REE in Canada.
The MOU between SRC and Defense Metals revolves around the establishment of a Monazite Processing Plant within Saskatchewan. The plant aims to process monazite, a valuable REE mineral, to produce a mixed REE concentrate. The processing method would be predicated upon an innovative, cost-effective, and ecological approach.
Under the agreement, SRC will play a significant role as it will be responsible for the design, construction, commissioning, and operation of the monazite-processing pilot plant. SRC’s decadal experience in REE research and processing makes it aptly suitable for this role. Their approach will not just include the technical facets but also cover environmental, social, and governance concerns inherent in REE processing.
Utilizing SRC’s untapped potential in developing processing methodology and leveraging its strong research capacity, Defense Metals will focus on advecting its Wicheeda Project to ensure plentiful sources for the planned processing plant.
This plant will not only offer an economic boost to Saskatchewan but will also provide Canada with an advantage in the REE industry. It is particularly vital given the global strategic importance of REEs which are essential in several high-tech applications, including electric vehicles, smartphones, and renewable energy technologies. Also, REEs are necessary for defence and military applications, underpinning their significance to national security.
Moreover, this agreement aligns well with the Canadian government’s mission to fortify the country’s mineral value chains. It is a definite stride towards reducing the sole dependency on China, which currently dominates the global REE supply. This aligns with the policy emphasis of both the Canadian and US governments to collaborate and reduce dependency on foreign and potentially insecure sources of critical minerals.
While numerous barriers persist for nascent North American REE processors, this agreement kindles a ray of hope. The challenges include lack of investment, complex metallurgy, waste handling, and environmental factors. However, bringing together leaders like SRC and Defense Metals catalyses progress while tackling these barriers.
Another aspect worth noting here is that the MOU demarcates new possibilities for mineral development in indigenous areas. It could drive additional employment opportunities and socio-economic development, especially given the proximity of the Wicheeda Project to indigenous communities.
In summary, the collaboration between SRC and Defense Metals is a significant milestone in making Canada a global player in REE processing. By leveraging their collective strengths, these two organizations aim to propel Canada to the forefront of a critical industry – a stage upon which economic prosperity, technological advancements, environmental sustainability, and national security all intersect.
