Aclara Resources Inc. announced the results of a series of technical studies supporting its integrated heavy rare earths supply chain, spanning from mining operations to the production of permanent magnet alloys. The studies include a feasibility study for the Company?s flagship asset, the Carina Project prepared in accordance with National Instrument 43-101 ? Standards of Disclosure for Mineral Projects, a scoping study for the Company?s separation project, and a Front-end Loaded 2 Technical Report for its metals and alloys project.
Aclara is advancing two ionic clay deposits in Brazil and Chile capable of producing a mixed rare earth carbonate with very high concentrations of heavy rare earth elements, particularly those restricted under China?s export controls. Aclara is also establishing a U.S.-based processing hub that will separate mixed rare earth carbonate into individual rare earth oxides and further transform these oxides into metals and alloys tailored to the needs of permanent magnet manufacturers. Aclara?s value proposition is anchored in its vertically integrated, mine-to-alloys business model, designed to maximize commercial viability while reducing execution risk, optimizing costs, and accelerating development timelines.
The Company is establishing a fully traceable heavy rare earth supply chain that meets the highest environmental and social standards at every stage, while maintaining full control over mining and processing to ensure consistency, quality, and reliability. Its projects are purpose-built to enhance geopolitical independence and strengthen supply chain resilience. Backed by leading industrial shareholders such as Hochschild Mining PLC and CAP S.A., and supported by strategic institutions such as the U.S. International Development Finance Corporation, which has committed initial funding and retains a pathway for further investment, Aclara has deployed over USD 250 million to date and is well-positioned to fund its integrated growth mine-to-alloys strategy.
The Carina Project is an advanced-stage ionic clay-hosted heavy rare earth deposit located in Goiás, Brazil. The Carina Project is designed to produce a high-purity mixed rare earth carbonate through a low-impact, technology driven and value-added extraction process. The operation contemplates conventional open-pit mining but, due to the friable nature of the clays, does not require blasting, crushing, or milling, thus significantly reducing energy consumption and carbon emissions.
Rare earth elements are recovered using Aclara?s proprietary Circular Mineral Harvesting process, an ion-exchange technology that uses a recyclable ammonium-based solution to selectively extract rare earths. The process is designed to minimize environmental impact, with high rates of water and reagent recycling and no requirement for a tailings storage facility. The resulting high-purity mixed rare earth carbonate is intended to be further processed at Aclara?s U.S.-based separation and downstream facilities, forming part of the Company?s vertically integrated mine-to-alloys supply chain.
After-tax Net Present Value of approximately USD 1,661 million (8.0% discount rate). Internal Rate of Return of 26.9%, with a payback period of 2.9 years. Initial capital cost of USD 678.2 million, plus USD 102.7 million contingency, remaining within expectations for the current level of engineering, with a high degree of estimate accuracy, including appropriate owner?s costs and contingency.
Average annual net revenue of USD 599 million and EBITDA of approximately USD 461 million. Average annual commercial discount of USD 314 million (34% of gross revenue) applied to reflect mixed rare earth carbonate separation, with fees assumed payable to Aclara?s Louisiana separation project for permanent magnet rare earths, as well as to third parties for the separation of by-products. High average Net Smelter Return of USD 61.8 per tonne processed, compared to low average operating cost of USD 13.1 per tonne processed, consistent with prior estimates.
Price assumptions based on Argus Media European indices (excluding China), in real terms and supported by observable ex-China transactions. Average annual production of 4,378 tonnes of rare earth oxides in mixed rare earth carbonate, with high concentrations of Dysprosium and Terbium (4.2%) and Neodymium and Praseodymium (26.8%). Average annual production includes: 156 tonnes of Dysprosium and 27 tonnes of Terbium, represents approximately 11.8% of China?s 2024 estimated output.
1,191 tonnes of Neodymium and Praseodymium. Additional key heavy rare earth elements including: 173 tonnes of Samarium; 177 tonnes of Gadolinium; 10 tonnes of Lutetium; and 1,160 tonnes Yttrium. Feasibility Study led by Hatch Consultoria em Projectos Ltda.
All production estimates are based on mineral reserves. Extensive pilot plant operations conducted in Goiânia throughout 2025. Key equipment and inputs supported by multiple western vendor quotations, enhancing supply chain resilience and geopolitical diversification.
High purity of >95.0% (97.7% based on design mass balance), supported by semi-industrial scale production. Circular Mineral Harvesting process minimizes environmental impact: No explosives, crushing, or milling. Approximately 93% water recirculation.
Main reagent recycled at an approximate efficiency rate of 99.0%. No tailings storage facility required. Low carbon footprint driven by low energy consumption and full renewable energy share in Goiás? power grid.
Mixed rare earth carbonate product designed for downstream processing at Project Dynamo (located in Louisiana, U.S.), where mixed rare earth carbonate will be separated into individual oxides and converted into metals and alloys to meet magnet manufacturer specifications. Modular construction strategy enables parallel fabrication and site preparation, an improved schedule, quality control, and reduced exposure to labor and weather constraints. Early works are expected to commence mid-2026 (including construction of camps and roads; ancillary infrastructure), ahead of full construction targeted for 2027.
Startup targeted for the second half of 2028, with ramp-up anticipated through 2029.
