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Meteoric Resources’ Caldeira REE project in line for share of $1.4b Brazilian government funding

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By Colin Hay - 
Meteoric Resources ASX MEI Caldeira REE Brazil Strategic Minerals Funding
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Meteoric Resources (ASX: MEI) has achieved a significant boost to its plans for the Caldeira rare earths project, which is now in line for a share of approximately $1.4 billion in funding from the Brazilian government.

The Brazilian Financial Agency for Studies and Projects (Finep) and the National Bank for Economic and Social Development (BNDES) have included Caldeira in their strategic minerals funding program.

The program is a Brazilian state initiative established to support strategic minerals projects by expanding production capacity and encouraging research, development and innovation.

Pilot plant plans

Meteoric has submitted an application to Finep for funding under this program that includes development of a pilot plant and downstream rare earth separation leading to magnet making, along with scaling and debottlenecking of Caldeira.

“We are very pleased to be part of this important initiative to develop and industrialise production of strategic minerals in Brazil,” managing director Stuart Gale said.

“Finep, BNDES and the government of Brazil are to be congratulated for establishing and funding an initiative that encourages the development of new technologies and assists in the development of Brazilian industry.”

Resource upgrade

Meteoric announced a significant mineral resource estimate (MRE) update in March for the northern licences at the 100%-owned Caldeira project.

Applying a 1,000ppm cut-off, the Caldeira global MRE increased by 50% to 1.1 billion tonnes at 2,413 parts per million total rare earth oxides including 559ppm magnetic rare earth oxides.

The company will add the high-grade Barra do Pacu area to the MRE in the coming quarter and include it in the project’s pre-feasibility study.

“We look forward to working together with Finep and BNDES to develop the common goals of advancing downstream development and believe that our Caldeira project has the scale, quality and sustainability attributes necessary to support these objectives,” Mr Gale added.