Business
Supply Agreement with UK-based Less Common Metals
Supply Agreement with UK-based Less Common Metals.
About this update from Rainbow Rare Earths Ltd.
[{"type":"text","content":"\n\n\n11 September 2023\nRainbow Rare Earths Limited\n(\"Rainbow\" or \"the Company\")\nLSE: RBW\n \nRainbow enters into strategic supply agreement with UK-based Less Common Metals to develop a responsible Western supply chain for rare earth elements\n· Rainbow will supply LCM with rare earth elements designated as critical minerals due to their essential role in the green energy transition\n· LCM is the only rare earth metal and alloy manufacturing facility in the UK and one of the only facilities in the Western world\n· Both Rainbow and LCM are aligned in their values and their ambitions to play a part in the establishment of a Western supply chain for critical rare earth elements\nNEWS RELEASE\nRainbow Rare Earths is pleased to announce that it has entered into a strategic supply agreement with Less Common Metals Ltd (\"LCM\") to be a supplier of the magnet separated rare earth oxides neodymium and praseodymium (\"NdPr\"), dysprosium (\"Dy\") and terbium (\"Tb\"). These are the most economically important rare earth elements as they are used to make the permanent magnets essential to decarbonisation, via their use in electric vehicles and wind turbines, as well as to defence and other high-tech products.\nThese elements are also designated as 'critical minerals' in the UK's Critical Minerals Strategy as they are defined as having a high criticality for the UK, according to the economic vulnerability and supply risk criteria used for the assessment.\nLCM is a world leader in the manufacture and supply of complex alloy systems and metals. The separated rare earth oxides supplied by Rainbow will be used for manufacturing into metal in order to create an alloy, which is then supplied to permanent magnet manufacturers in the EU and the USA.\nLCM is based in Ellesmere Port, Cheshire; it is currently the only rare earth metal and alloy manufacturing facility in the UK and one of the only facilities in the Western world. Its location is of strategic importance to Rainbow as the Company's aim is to play a part in the establishment of a Western supply chain for critical rare earth elements outside of Chinese control.\nThis is in alignment with LCM's ambitions, which is currently in discussions to invest in expanded capacity in North America, the EU and Asia.\nLCM has been looki...