RareX partners (ASX:REE | REEO) with U.S. strategic metals to strengthen allied critical minerals supply chains

RareX Limited (ASX:REE | REEO) has advanced its position in the global critical minerals sector through a new Memorandum of Understanding (MOU) with U.S. Strategic Metals (USSM).

The partnership, signed in Washington D.C. and witnessed by officials from the U.S. Department of State, marks a pivotal step in linking Australian upstream production with U.S. downstream processing.

James Durrant, Managing Director and Chief Executive Officer of RareX Limited, explains how this collaboration supports RareX’s broader strategy to integrate its projects into secure, transparent, and Western-aligned supply chains.

What does this new partnership with U.S. Strategic Metals mean for RareX and its shareholders?

This partnership is a major milestone for RareX as we continue to strengthen our role in the critical minerals sector.

The non-binding Memorandum of Understanding with U.S. Strategic Metals, or USSM, establishes a clear framework for cooperation between our Australian operations and a fully permitted U.S. processing and refining hub.

For shareholders, it opens a pathway for RareX to participate in allied supply-chain development between Australia and the United States, which both governments have identified as a strategic priority.

The collaboration enables joint efforts in processing, funding, technology development, and logistics, ensuring that Australian-sourced materials can be refined and utilised within trusted Western markets.

“This partnership represents a natural alignment between Australia’s upstream mineral capability and the United States’ growing downstream industrial base. By working with U.S. Strategic Metals, we are taking a practical step toward integrating Australian-led resource development with U.S. processing capacity.”

The MOU’s signing in Washington D.C. underscores its alignment with official U.S. initiatives focused on securing critical mineral supply chains and advancing ethical, transparent cooperation across allied economies.

What specific minerals or products could be processed under this collaboration?

The agreement allows RareX and U.S. Strategic Metals to evaluate processing options for future products from RareX’s operations, including heavy rare earth elements such as dysprosium and terbium, as well as gallium and scandium.

USSM’s Missouri facility is fully permitted for multi-metallic processing and tailings management and is equipped to recover a range of strategic minerals including cobalt, nickel, antimony, lithium carbonate, copper cathode, and rare earth elements.

RareX’s portfolio aligns closely with these capabilities.

The Cummins Range Project in Western Australia hosts rare earths, gallium, scandium, and phosphate, offering a diverse mineral composition suited to integrated downstream pathways.

The Missouri hub’s advanced capacity to process complex polymetallic materials using proven, environmentally responsible methods provides an ideal location to assess processing compatibility for RareX’s concentrates.

The collaboration will also examine technology compatibility, transport logistics, and export frameworks to ensure a responsible, efficient, and commercially viable model for cross-border processing between Australia and the United States.

How does this agreement fit with RareX’s existing projects like Cummins Range and Mrima Hill?

The MOU directly supports RareX’s strategy to connect upstream resource development with downstream processing in allied jurisdictions.

The 100% owned Cummins Range Project in Western Australia is progressing through metallurgical testing, including programs conducted in North America, and is expected to secure its Mining Licence in early 2026.

It is technically Australia’s largest undeveloped rare earth deposit and has a forecast post-tax NPV8 of approximately $330 million based on prior study outcomes.

Cummins Range contains magnet-grade rare earths along with gallium, scandium, and phosphate. all key materials for advanced manufacturing and clean-energy technologies.

The project’s proximity to the Port of Wyndham provides logistical advantages for future export.

“RareX’s focus is on developing reliable, multi-mineral feed sources such as Cummins Range, and potentially Mrima Hill, to serve transparent, allied supply chains”.

At the same time, RareX is advancing its consortium proposal with Iluka Resources for the Mrima Hill Project in Kenya, which has the potential to become a major source of rare earths and niobium.

The proposal is supported by Ausenco, WSP, and AWEMAC, with financial readiness underpinned by a $50 million share subscription facility from U.S.-aligned GEM.

Both projects could ultimately supply downstream partners such as USSM, enabling RareX to support integrated, Western-aligned critical mineral supply chains.

How does this partnership align with U.S. government policy and global critical minerals frameworks?

The MOU is directly aligned with several key U.S. and allied initiatives aimed at ensuring secure and ethical supply chains for critical minerals.

It supports Executive Order 14241, Immediate Measures to Increase American Mineral Production, which prioritises the onshoring of mineral production to strengthen national and industrial security.

The partnership also complements the objectives of the Quadrilateral Security Dialogue, or QUAD, between the United States, Australia, Japan, and India, and the U.S.–Australia Framework for Securing Supply in the Mining and Processing of Critical Minerals and Rare Earths.

These cooperative frameworks collectively aim to reduce reliance on China for essential industrial inputs and defence materials.

“By aligning our activities with U.S. Strategic Metals, we are helping to build the secure, Western-aligned supply chains that our industries and governments are calling for.” — James Durrant, Managing Director & CEO, RareX Limited

Through this alignment, RareX is contributing to the diversification and resilience of global supply chains, reinforcing its reputation as a responsible and forward-looking participant in the allied critical minerals network.

What are the next steps following the signing of the MOU?

The next step is to establish a joint working group between RareX and U.S. Strategic Metals to advance feasibility and technical assessments at the Missouri facility.

This will include evaluating RareX’s products for processing suitability, identifying potential funding opportunities within U.S. and allied programs, and defining the logistics and export framework that will support future collaboration.

These studies will deliver insight into how RareX’s mineral streams can integrate into USSM’s processing systems and will guide future commercial and operational decisions.

Although the MOU is non-binding, it establishes a structured pathway for cooperation that allows both parties to test alignment between Australian upstream capability and U.S. downstream demand.

RareX will continue to update shareholders as milestones are reached and as the partnership progresses toward its next phase.

Building allied supply chains

The collaboration with U.S. Strategic Metals highlights RareX’s commitment to connecting its high-quality Australian and East African mineral assets with downstream opportunities in the United States.

It represents an important step in building reliable, transparent supply chains that align with Western industrial and policy objectives.

As the working group begins technical assessments in Missouri, RareX remains focused on responsible project development, strategic collaboration, and the creation of long-term value for shareholders.

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