Australian rare earths producer Hastings Technology Metals Limited (ASX: HAS) has signed a major offtake contract German company Thyssenkrupp for the supply of high grade product from its Yangibana Rare Earths Project in Western Australia.
Under the agreement, Hastings will supply 9,000 tonnes per annum of its mixed rare earth carbonate (MREC) for the first 5 years and 5,000 tonnes per annum for the second 5 years, totalling 70,000 tonnes over a 10-year period.
Charles Lew, Hastings Executive Chairman, said he offtake contract with a global player like Thyssenkrupp was a major milestone for the company, demonstrating the commercial and technical strengths of the Yangibana rare earth project.
“Hastings is targeting the commencement of early earth works on site in Yangibana in the next few months as our intention is to commence production by late 2023,” he continued.
“This timing coincides with the strong increase in demand for magnet rare earths expected over the next 5 to 10 years driven by the EV revolution.
“The processing plants are designed to produce 15,000 tonnes of MREC per annum (when separated is equivalent to 3,400 tonnes of NdPr oxides), which Hastings is expected to deliver to high-quality partners such as thyssenkrupp under long-term offtake contracts with the balance of Yangibana’s output reserved for other offtake customers or the spot market.”