Business
Leading Edge Materials Supports European Call for Action on Rare Earth Magnets and Motors
Vancouver, October 1, 2021 – Leading Edge Materials Corp. (“Leading Edge Materials” or the “Company”) (TSXV: LEM) (Nasdaq First North: LEMSE) (OTCQB: LEMIF) (FR
About this update from Leading Edge Materials Corp.
[{"type":"text","content":" Vancouver, October 1, 2021 – Leading Edge Materials Corp. (“Leading Edge Materials” or the “Company”) (TSXV: LEM) (Nasdaq First North: LEMSE) (OTCQB: LEMIF) (FRA: 7FL) welcomes the publication of the report “Rare Earth Magnets and Motors: A European Call for Action” (the “Report”) by the European Raw Materials Alliance (“ERMA”). The Report is the result of an extensive stakeholder consultation process organized by ERMA. In 2020, the European Commission launched ERMA under the leadership of Commissioner Thierry Breton and Vice President Maroš Šefčovič with EIT RawMaterials tasked with managing the work of the alliance. The first objective of ERMA became the support the growth of an alternative European and global rare earth supply chain to increase resiliency of EU industrial ecosystems. ERMA works along two workstreams; identifying solutions to regulatory and structural bottlenecks that hinder growth of the sector in Europe, and the establishment of an investment channel to support the development of a more secure and resilient value chain for permanent magnet rare earths in Europe. To meet it objectives of ERMA the Report identifies 6 strategic action areas together with a set of 12 specific actions. Specifically, these key points from the Report could benefit the development of the Company’s Norra Karr Heavy Rare Earth project: Identification of primary mining sources of rare earth raw materials suitable for a supply into an EU value chain Exploration of regulatory measures to incentivize mining using best available practices that come with the lowest environmental impacts. The measures should target inconsistencies and obstacles in the EU regulatory framework in order to reduce the institutional risks for investments with the mention that Member States should be encouraged to determine the fitness of their raw materials policies. Facilitation of access to finance for rare earth projects through a Raw Materials Investment Platform. The Report proposes the creation of a Raw Materials Bridge Fund targeting investments of €150-200m per year to secure bankability and de-risk projects, and a Raw Materials Investment Vehicle in the form of a state-supported investment and procurement organization to act as a lead buyer and pooler of raw materials demand across European countries. Promotion of ethical and transparent sourcing in the...