A Game-Changer for Global Rare Earths: BRE and Carester Forge Strategic Alliance for Critical Materials

In a monumental move set to redefine the global supply landscape for critical materials, Brazil Rare Earths (BRE) and the innovative French rare earth technology company, Carester, have announced a transformative 10-year off-take and partnership agreement. This isn't just a business deal; it's a strategic alliance poised to establish a robust, diversified supply chain for Heavy Rare Earth Elements (HREEs), essential for the backbone of modern technologies, from electric vehicles and wind turbines to advanced defense systems.

The heart of this groundbreaking collaboration lies in BRE’s ambitious plan to construct a state-of-the-art rare earth separation plant, designed to process concentrate from its world-class Monte Alegre project in Brazil.

Carester steps in as a pivotal partner, not only providing substantial capital funding vital for the plant's development but also bringing its unparalleled expertise in rare earth separation technology to the table. Furthermore, Carester will serve as the exclusive off-taker of the HREEs produced, ensuring a dedicated market for these highly sought-after elements.

This partnership arrives at a crucial juncture.

With a targeted operational date of 2026 for the separation plant, the initiative directly addresses the urgent need for secure, non-Chinese sources of rare earths. The European Union, in particular, stands to benefit significantly, as this agreement aligns perfectly with the objectives of its Critical Raw Materials Act.

It represents a powerful stride towards strengthening Western supply chain resilience, reducing geopolitical dependencies, and fostering sustainable practices in the mining and processing of these indispensable elements.

Paulo Castellari, CEO of BRE, articulated the profound impact of this alliance: "This landmark agreement with Carester is more than a commercial success; it's a strategic imperative.

It not only secures significant funding and technical expertise for our Monte Alegre project but fundamentally diversifies the global rare earth supply, particularly for the critical European market. Our commitment to environmentally responsible mining, combined with Carester's cutting-edge separation technology, positions us to be a leading, ethical supplier of HREEs."

Adding to this sentiment, Guillaume Careau, CEO of Carester, highlighted the strategic foresight behind the partnership: "The demand for heavy rare earths is skyrocketing, driven by the global energy transition and increasing defense needs.

Partnering with BRE, a company committed to sustainable and responsible sourcing, enables Carester to play a crucial role in securing a long-term, stable supply. This collaboration strengthens our position as a key player in the rare earth value chain and supports Europe’s strategic autonomy in critical raw materials."

The agreement outlines a clear path forward, including provisions for an early payment facility from Carester to expedite the project’s timeline.

Beyond HREEs, the partners are also exploring a potential secondary off-take agreement for light rare earth elements (LREEs), signaling a comprehensive vision for leveraging the full potential of the Monte Alegre deposit. This comprehensive approach underscores a shared commitment to developing a vertically integrated supply chain, from mine to market, that is both resilient and responsible.

As the world accelerates towards a greener future and enhanced technological independence, the BRE-Carester partnership stands as a beacon of innovation and strategic collaboration.