Latest news with #Lynas
News.com.au
14-07-2025
- Business
- News.com.au
America has lit a fire under the rare earths market. Now ASX juniors want Australia to do the same
Rare earths miners are hopeful of higher prices thanks to a US Government deal with California miner MP Materials Floor price of US$110/kg for NdPr could drag ex-China rare earths prices higher Developers and explorers want Australia to follow suit and provide floor pricing to build ex-China supply chain In the weeks ahead of the Federal Election, the Albanese Government launched its "Trump Card", to get miners onside and float a carrot in the face of the US Administration in a bid to allay the threat of tariffs. A $1.2 billion commitment to build a critical minerals stockpile, leveraging the geological miracle of WA with its bounty of lithium, nickel and rare earths, was proposed as a way to support a set of industries beaten down by Chinese market control and manipulation and give the US access to something it dearly wants. Like so many political commitments it was wishy-washy. What would go into that stockpile was unclear. Lynas (ASX:LYC) boss Amanda Lacaze declined last month at a media huddle in Perth to say whether the company had been in negotiations about selling material to Canberra from its Mt Weld mine near Laverton, or what price it may chase. But a shot in the arm was delivered by the Americans themselves last week, which could set prices for any similar initiative the Aussie Government wants to roll out. MP Materials, the US$7.4 billion owner of the US' only rare earths operation at Mountain Pass in California, inked US$400m in equity investments from the Department of Defense as part of a multi-billion dollar public-private partnership that will make the Pentagon a 15% shareholder in the New York listed company – a 52% gain on Thursday already putting the taxpayer in the money. Contained within that deal were loans to expand and construct new and existing magnet production plants and, crucially, a 10-year arrangement to buy or stockpile oxides from Mountain Pass at US$110/kg NdPr oxide. Even with prices in China surging in response to the news, that clocks in at roughly double the Chinese market price once value-added tax is removed. If ex-China pricing rises to meet that signal, the key circuit-breaker to kick-off stalled rare earths developments – ending low prices resulting from overproduction in the Middle Kingdom – could be triggered. Argonaut's Jon Scholtz and George Ross said the deal could provide guidance for future offtakes in Australia, such as for the Iluka Resources (ASX:ILU) Eneabba Refinery in WA, which is being supported by close to $2 billion of cheap Canberra debt. "We view this move as a positive which solidifies the US rare earth magnet supply chain. Of our covered, LYC has upside from the US Plant (separate heavies) which would fill the last remaining gap in the US supply chain," they said in a note on Monday. "While this provides precedent for ILU's Eneabba facility and potential offtakes with the Australian government for a strategic stockpile." Developers rejoice The MP Materials news unsurprisingly sent a whole host of rare earths stocks flying on Friday. And even more ASX companies are now stepping out with calls for more support for western rare earths supply. "China's price manipulation of rare earths has halted the development of dozens of otherwise viable projects globally and hurt the bottom line of companies such as Lynas," Victory Metals (ASX:VTM) CEO and executive director Brendan Clark said. "It's not that the demand isn't there it's that the economics have been artificially crushed to maintain China's dominance. "That strategy has worked for a long time, but this kind of US Government backed partnership is exactly what is needed to break that control." VTM owns the North Stanmore project in WA's Gascoyne region. It's already built strong ties with the US Government despite being based in Australia. The project, which promises to deliver critical metals including heavy and light rare earths, gallium, scandium and hafnium for the defence, semiconductor, auto and energy sectors, has already received a letter of intent for a US$190m funding package from the US Export-Import Bank. With System for Award Management approval this week it is now able to throw its hat in the ring for further support and engagement with the Pentagon and other US Government departments. Clark said he was pleased by the level of US involvement to date, and expects to see more news in the pipeline. "I predict you will see more of these types of announcements especially for the more critical rare earths like dysprosium and terbium," he said. Others, like Red Metal (ASX:RDM) boss Rob Rutherford, have called for Australia to mirror the policy direction from the DoD. His company owns the Sybella project near Mt Isa in north Queensland and he thinks the Australian Government should work with nations like South Korea and Japan to set up subsidised intergovernmental supply chains. 'It is now up to other manufacturing nations like South Korea, Japan, Europe and even Australia to invest in expanded magnet capacity with REO supply guaranteed with similar price flooring mechanisms," he said. 'I strongly believe the Australian Government should jointly fund and build magnet plants in these resource-poor manufacturing nations, government to government, on the provision they utilise Australian raw REO materials." Excitement brews in Brazil While the DoD has set its focus on the sole domestic operation in the United States – something that lead to big price gains since Friday for ASX stocks in the immediate vicinity like Dateline Resources (ASX:DTR) and Locksley Resources (ASX:LKY) (both continued climbing ~12% on Monday) – other jurisdictions could stand to benefit. The key exploration jurisdiction open to the West for rare earths outside the US and Australia is Brazil, where explorers are trying to prove up "China-style" clay-hosted rare earth deposits. Developers have been seeking to align their exploration and resource compilation efforts tailored to commodities the US desperately wants for its defence and tech markets. Alongside rare earths, that also includes critical minerals like gallium, a key component in semiconductor chips also subject to controls from Beijing. One of those is Axel REE (ASX:AXL), which is aiming to compile a maiden resource of both gallium and rare earths at its Caladão project. "As countries seek to diversify away from China's dominance, rare earths jurisdictions like Brazil, with strong resource endowments and a growing appetite for foreign investment, are rising in global importance," AXL's Pat Volpe said. "Our Caladão Project is particularly well placed in this emerging landscape. With high-grade magnetic rare earths mineralisation, and more importantly exceptional at surface gallium content, Axel's portfolio is aligned with the very materials now being prioritised by US and allied governments. "Gallium, in particular, is rapidly gaining attention for its role in semiconductors and 5G infrastructure, yet global supply is almost entirely controlled by China. Projects like ours can play a meaningful role in reshaping that balance. "This US investment will likely trigger a broader reassessment of how and where the world sources its critical minerals." Demand strength Others think it says as much about the demand side as it does supply chains. Demand for rare earth metals could lift from 93,000t in 2023 to 169,000t by 2040, according to the International Energy Agency. RareX (ASX:REE) managing director James Durrant says the MP investment highlights how important rare earth elements are to the defence sector. With investment in defence budgets increasing, more REE magnets will be required to fuel growing drone and airforce fleets, along with other military tech and weaponry. RareX owns the Cummins Range project in WA's north, a large deposit consisting of rare earths and phosphate, with high grade hits also of scandium and gallium. But it is also leveraged to any supply deals Iluka makes, with the junior collaborating with the mineral sands producer to potentially pick up the Mrima Hill project Kenya, where rare earths enriched material would be mined and then shipped for processing at Eneabba. Durrant says "diversification is always key for competition and supply security". "If the Americans are doing this, will the Ausralians follow? There's already Australian Government debt, but will they go into the equity space?" Durrant asked.
News.com.au
11-07-2025
- Business
- News.com.au
Closing Bell: ASX misfires but Bitcoin takes off, hitting new highs
ASX closes trade down 0.11pc Resources only sector on the up, adding 1.82pc Bitcoin smashes new all-time high twice in 24 hours ASX gives up the ghost in the last hour Despite a valiant struggle back into positive territory by about 2pm AEST, the ASX ran out of steam, falling 0.11% by the end of the day. The materials sector (+1.82%) lost all support as energy flipped into negative territory, remaining the only silver lining in an otherwise pretty dismal day of trading. There were no points of interest to be found in the indices either – the ASX 200 Resources added 1.59%, but it was all on its lonesome in that regard. A combination of a US$400m direct investment in US-based rare earth miner MP Minerals from the Pentagon and threats to impose a 35% tariff on Canadian goods drove rare earth and battery metal stocks higher. Iluka (ASX:ILU) and Lynas (ASX:LYC) stayed the course, adding 22% and 16% respectively. Brazilian Rare Earths (ASX:BRE) also held onto most of its gains, adding 4% while Arafura Rare Earths (ASX:ARU) lifted 8%. They were joined by Meteoric Resources (ASX:MEI) which added 12%, Iperionx (ASX:IPX) up 15%, Ioneer (ASX:INR) 5% and Mineral Resources (ASX:MIN) gaining 7.7%. Bitcoin breaks through to new highs Bitcoin has been simmering along in the background ever since Trump took office and the GENIUS act was put before US lawmakers, quietly gaining steam as a flurry of central banks engage in stablecoin and tokenisation experiments. As Rob Badman wrote earlier today, 'Bitcoin's also having a sky-high, market-cap-bolstering moment. It's been extraordinarily resilient of late, pretty much maintaining above a US$2 trillion market cap for the past two months.' At about 3 pm AEST today, the fan favourite cryptocurrency broke through to a new high again, rocketing all the way up to US$118,239.2 per bitcoin. "Bitcoin's new all-time high is being driven by relentless institutional accumulation – major players are scooping up supply and drying up liquidity on exchanges," Joshua Chu, co-chair of the Hong Kong Web3 Association, told Reuters. Bitcoin's breakthrough moment comes right before Crypto Week – starting July 14, US lawmakers will be debating a slew of bills that will redefine America's cryptocurrency framework, the GENIUS act among them. In the meantime, stablecoin issuers and crypto trading platforms alike are reaping the rewards. Circle (NYSE:CRCL) was up 1% overnight, while Robinhood (NASDAQ:HOOD) jumped 4.4% and Coinbase (NASDAQ:COIN) lifted 4% in trade before surging another 7.7% afterhours. ASX SMALL CAP LEADERS Today's best performing small cap stocks: Code Name Last % Change Volume Market Cap TD1 Tali Digital Limited 0.002 100% 5543076 $4,095,156 FAL Falconmetalsltd 0.37 95% 8465053 $33,630,000 ATH Alterity Therap Ltd 0.015 67% 91442987 $82,146,336 CMB Cambium Bio Limited 0.3 40% 105206 $3,930,773 RMI Resource Mining Corp 0.019 36% 2284175 $10,282,347 AOA Ausmon Resorces 0.002 33% 564100 $1,966,820 RNX Renegade Exploration 0.004 33% 380012 $3,865,090 CMG Criticalmineralgrp 0.13 31% 75986 $8,963,892 GLA Gladiator Resources 0.009 29% 1006500 $5,308,078 NPM Newpeak Metals 0.027 29% 18461697 $6,763,506 BCA Black Canyon Limited 0.225 25% 1265719 $23,337,125 LKY Locksleyresources 0.085 25% 49159594 $12,466,666 FHS Freehill Mining Ltd. 0.005 25% 1750040 $13,655,414 MEL Metgasco Ltd 0.0025 25% 616451 $3,665,173 TON Triton Min Ltd 0.005 25% 249329 $6,273,555 HIQ Hitiq Limited 0.016 23% 1804743 $5,976,073 JGH Jade Gas Holdings 0.032 23% 818972 $43,857,688 MGU Magnum Mining & Exp 0.008 23% 5645972 $15,067,241 NSB Neuroscientific 0.16 23% 1341795 $43,234,842 OZM Ozaurum Resources 0.08 21% 2082477 $15,120,724 WR1 Winsome Resources 0.23 21% 2608917 $46,339,756 PH2 Pure Hydrogen Corp 0.099 21% 2965887 $30,625,427 GBZ GBM Rsources Ltd 0.018 20% 29618855 $21,237,917 BMM Bayanminingandmin 0.06 20% 9761188 $5,147,770 1AI Algorae Pharma 0.006 20% 83299 $8,436,974 Making news... TALi Digital (ASX:TD1) has added just over $131k to the coffers in an entitlement offer at 0.1 cents a share for a total cap raise of $931k after also closing out a share placement. In June TD1 acquired the 'You Can Do It!' program, a social-emotional learning program aimed at improving the social, emotional, and academic outcomes of young people. Management reckons it's a strategic fit with Tali's existing ReadyAttentionGo! Platform, which is targeted at improving early childhood cognitive attention and engagement outcomes. A startlingly high-grade gold hit of 1.2m at 543 g/t has brought Falcon Metals (ASX:FAL) sharply into the spotlight, as the company drills the first wedge hole at the Blue Moon prospect. FAL was topping ASX charts last week on claims they'd found Bendigo-style gold mineralisation after hitting 0.3m at 48.7 g/t gold at Blue Moon. These latest results certainly support that assertion – the Bendigo Goldfield has produced 22 million ounces of gold since it was first discovered in 1851, a bounty Falcon is keen to tap into. Eye and tissue repair biotech Cambium Bio (ASX:CMB) has begun dosing patients in a Phase 3 trial for its Elate Ocula dry eye disease therapy. Management says it's an important milestone in the journey to commercialisation, as CMB enters the final stages of developing the therapy in a clinical setting. Concussion management technology company HitIQ (ASX:HIQ) has expanded into the UK market, launching its PROTEQT system for rugby players and similar 'collision sports' like hockey. HIQ is running a dual business model with both upfront product sales and an ongoing subscription; players receive a new instrumented mouthguard each year that includes the latest innovations. ASX SMALL CAP LAGGARDS Today's worst performing small cap stocks: Code Name Last % Change Volume Market Cap ICU Investor Centre Ltd 0.001 -67% 752314 $913,534 HLX Helix Resources 0.001 -50% 4012451 $6,728,387 BMG BMG Resources Ltd 0.0065 -35% 20353249 $8,443,972 AXP AXP Energy Ltd 0.001 -33% 24501766 $10,027,021 OB1 Orbminco Limited 0.001 -33% 5815000 $5,103,852 PIL Peppermint Inv Ltd 0.002 -33% 200000 $6,903,269 TMK TMK Energy Limited 0.002 -33% 10000000 $30,667,149 AQX Alice Queen Ltd 0.003 -25% 88750 $4,998,560 BLZ Blaze Minerals Ltd 0.003 -25% 1626948 $7,113,856 CRR Critical Resources 0.003 -25% 501305 $11,080,342 PRS Prospech Limited 0.018 -22% 4389689 $8,712,995 IBX Imagion Biosys Ltd 0.015 -21% 18458755 $3,825,487 1AD Adalta Limited 0.002 -20% 4010 $2,678,291 AMS Atomos 0.004 -20% 41442 $6,075,092 ERL Empire Resources 0.004 -20% 1636 $7,419,566 LCY Legacy Iron Ore 0.008 -20% 173725 $97,620,426 MRD Mount Ridley Mines 0.002 -20% 1473 $1,946,223 RCM Rapid Critical 0.002 -20% 8450000 $3,539,445 SBR Sabre Resources 0.008 -20% 442783 $3,944,619 VEN Vintage Energy 0.004 -20% 1280785 $10,434,568 CDE Codeifai Limited 0.023 -18% 29129279 $13,131,683 UCM Uscom Limited 0.014 -18% 25000 $4,422,501 TX3DA Trinex Minerals Ltd 0.1 -17% 62368 $2,090,695 IPB IPB Petroleum Ltd 0.005 -17% 1288198 $4,238,418 SER Strategic Energy 0.005 -17% 1124100 $4,026,200 IN CASE YOU MISSED IT Gold success story Ora Banda (ASX:OBM) is on track to lift production 60% in FY26 to as much as 155,000oz pa.
Yahoo
11-07-2025
- Business
- Yahoo
Australian rare earth stocks soar on MP Materials' multi-billion US deal
(Reuters) -Shares of Australian rare earths miners, including Lynas ( and Iluka Resources ( soared on Friday after U.S.-based MP Materials' a multibillion-dollar deal with the U.S. government to boost production of rare earth magnets. Lynas Rare Earths, the world's largest rare earths producer outside China, surged as much as 20% to its highest since mid-August 2022 and was set for its best day since April 2020. Iluka skyrocketed 27%, marking its biggest intraday gain ever. The stocks were the top gainers on the benchmark ASX 200, which edged higher, as of 0558 GMT. The deal between the U.S. Department of Defense (DoD) and MP Materials lifted sentiment for Australian rare earth firms. It comes on the heels of China imposing restrictions on rare earths, resulting in a 75% drop in rare earth magnet exports from the country last month and forcing some auto companies to suspend production. Rare earths comprise 17 metals used to make magnets that are critical in manufacturing cars, including electric vehicles, some auto parts, weapons, and electronics. As part of the deal, the DoD will become the largest shareholder in MP Materials and guarantee a floor price of $110 per kilogram for the two most popular rare earths, nearly double of current market prices in China. "This signals a strong U.S. push for rare earth magnet independence, lifting upside risk across the rare earth pricing complex. Lynas appears to be the next logical beneficiary of government market support," Jefferies said in a note. "We see the resetting of the pricing metrics for rare earths as delivering material upside potential to Lynas' earnings in the near term and an increased potential for the de-risking of its growth projects via government entity funding." The brokerage upgraded Lynas to "buy" from "underperform" and hiked its price target to A$10 a share from A$6.40. Lynas was last trading at A$9.67. Smaller lithium players Sayona Mining and Liontown Resources jumped 2.8% and 1.6%, respectively. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
West Australian
11-07-2025
- Business
- West Australian
Uncle Sam bets big on MP Materials, is there anything left for Lynas Rare Earths' stalled Texas refinery?
Shares in Lynas Rare Earths spiked after MP signed a deal with the Pentagon, but is it really such good news for Australia's rare earths pioneer? The US Department of Defense has staked its hopes of breaking China's rare earths domination on MP Materials with the sizeable purchase of company stock and an offtake agreement that combined will extend beyond a billion dollars. Investors clearly believe Lynas will reap an indirect benefit from investment pouring in to strengthen a non-Chinese rare earths supply chain. But could the direct impact on Lynas' own US ambitions counteract any benefit? Has Uncle Sam put all its chips on MP or does it want to up the ante? Lynas more than a year ago secured a $US288 million commitment from the Pentagon to build the Seadrift rare earths refinery in Texas. But progress has stalled before a shovel has even struck dirt. Lynas wants the DOD to fork out more cash for an unspecified cost blow-out and sort out a wastewater permitting issue. Rumours are the largest government department in the US is not keen to budge and the Lynas relationship is strained. Seadrift is yet to see any love from Donald Trump's agenda to fast-track critical minerals projects. Others, like ASX-listed Dateline Resources and its Colosseum rare earths project in California, are being welcomed with open arms. Late last year, The West Australian asked the DOD if the Lynas investment commitment was still on the cards. The response was a definitive yes. A couple of months ago the same question was put to the same government department. This time, the response was quite different. 'No comment.'
Reuters
11-07-2025
- Business
- Reuters
Australian rare earth stocks soar on MP Materials' multi-billion US deal
July 11 (Reuters) - Shares of Australian rare earths miners, including Lynas ( opens new tab and Iluka Resources ( opens new tab, soared on Friday after U.S.-based MP Materials' (MP.N), opens new tab a multibillion-dollar deal with the U.S. government to boost production of rare earth magnets. Lynas Rare Earths, the world's largest rare earths producer outside China, surged as much as 20% to its highest since mid-August 2022 and was set for its best day since April 2020. Iluka skyrocketed 27%, marking its biggest intraday gain ever. The stocks were the top gainers on the benchmark ASX 200 (.AXJO), opens new tab, which edged higher, as of 0558 GMT. The deal between the U.S. Department of Defense (DoD) and MP Materials lifted sentiment for Australian rare earth firms. It comes on the heels of China imposing restrictions on rare earths, resulting in a 75% drop in rare earth magnet exports from the country last month and forcing some auto companies to suspend production. Rare earths comprise 17 metals used to make magnets that are critical in manufacturing cars, including electric vehicles, some auto parts, weapons, and electronics. As part of the deal, the DoD will become the largest shareholder in MP Materials and guarantee a floor price of $110 per kilogram for the two most popular rare earths, nearly double of current market prices in China. "This signals a strong U.S. push for rare earth magnet independence, lifting upside risk across the rare earth pricing complex. Lynas appears to be the next logical beneficiary of government market support," Jefferies said in a note. "We see the resetting of the pricing metrics for rare earths as delivering material upside potential to Lynas' earnings in the near term and an increased potential for the de-risking of its growth projects via government entity funding." The brokerage upgraded Lynas to "buy" from "underperform" and hiked its price target to A$10 a share from A$6.40. Lynas was last trading at A$9.67. Smaller lithium players Sayona Mining ( opens new tab and Liontown Resources ( opens new tab jumped 2.8% and 1.6%, respectively.
