Brazilian Rare Earths Raises $78M to Advance Rare Earth Projects in Brazil

BRE Secures Strategic Funding for Rare Earth Projects and Refinery Development

Brazilian Rare Earths (BRE) has raised A$120 million (US$78 million) through a placement of 25.6 million new shares at A$4.68 per share. The funding will accelerate BRE’s rare earth projects in Brazil. It will also support the integrated separation refinery at Camaçari Petrochemical Complex in Bahia. The placement price reflects a 6.4% discount to the last closing price. However, it matches the five-day volume-weighted average price. Petra Capital and Canaccord Genuity served as joint lead managers, with Petra acting as sole bookrunner. The new shares will carry equal rights as existing ones. This raise follows BRE’s A$80 million capital injection last year. It strengthens the company’s push to make Brazil a global rare earth leader. Earlier this month, BRE signed key agreements with Carester, a rare earth processing specialist. These deals include engineering, technical services, and feedstock supply for the Bahia refinery.

Strategic Agreements to Boost Rare Earth Refining and Supply Chain

BRE’s new agreements focus on producing high-value oxides like neodymium, praseodymium, dysprosium, and terbium. The company also plans to produce uranium and heavy rare earth concentrates. A binding 10-year offtake agreement with Carester will supply dysprosium and terbium to the Caremag facility in France. These developments show a shift from exploration toward full-scale processing. BRE is creating an integrated value chain in rare earths. The company is developing upstream mining projects while also expanding downstream refining capacity. This approach reduces reliance on China, which dominates the rare earth market. It also strengthens supply chains for Western industries, especially in critical minerals and green technologies. Global demand for rare earths continues to grow. The rise is fueled by EVs, wind power, and defense tech. Investors are now backing integrated development projects. BRE’s funding and partnerships place it at the front of this movement in South America’s critical minerals sector.

SuperMetalPrice Commentary:

BRE’s capital raise and strategic deals with Carester mark a major step toward rare earth independence outside Asia. The company’s shift toward vertical integration signals Brazil’s growing role in global critical minerals. With Western countries seeking diversified supply chains, BRE’s progress could shape future rare earth availability. Investors should monitor the Camaçari refinery, as it will be key to Brazil’s rare earth ambitions.