Victory signs nonbinding MoU with Sumitomo for potential offtake of rare earths
ASX-listed Victory Metals has signed a strategic nonbinding memorandum of understanding (MoU) with integrated trading and investment company Sumitomo Corporation.
The MoU outlines the proposed initial terms on which Victory and Sumitomo will negotiate an offtake of mixed rare earth carbonate (MREC) from Victory's flagship North Stanmore heavy rare earth elements (HREE) project, in Western Australia, which contains Australia’s largest indicated and inferred HREE clay resource of 235-million tonnes.
The MoU establishes a potential long-term offtake partnership between the two companies, reinforcing Victory’s global positioning as a future supplier of ethically sourced critical rare earth materials for the technology, defence and renewable energy sectors.
"We are extremely pleased to be partnering with Sumitomo Corporation, a globally recognised powerhouse with extensive industry expertise and a proven record of securing critical mineral supplies. This agreement reflects the strategic value of the North Stanmore project and confirms the global significance of our unique HREE composition within the North Stanmore clay deposit.
"The agreed terms enable Victory to accelerate project development, enhance financing options and expand future processing capabilities. This partnership opens exciting new opportunities for Victory to integrate into the global rare earth supply chain and secure our place as a leading supplier in the energy transition and defence sectors,” says Victory CEO Brendan Clark.
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