Australian Rare Earths (ASX:AR3) has received $1 million from the Australian Government’s International Partnerships in Critical Minerals grant. The funding will go towards advancing its Koppamurra Rare Earths Project, which straddles the border of South Australia and Western Victoria. This instalment represents the second portion of a larger $5 million grant, with the remaining $3.25 million expected to be released in 2026. Australian Rare Earths is a critical minerals explorer focused on meeting the increasing demand for uranium and rare earth elements through its wholly-owned Koppamurra Project and Queensland assets.
The grant will be used to progress metallurgical test work ahead of a Prefeasibility Study (PFS) for the Koppamurra Project. CEO Travis Beinke stated the grant instalment indicates ‘meaningful’ progress of the Koppamurra Project, as the market begins to recognise projects that will diversify the global supply of light and heavy rare earths. Beinke also noted the strategic importance of establishing secure, international supply chains, highlighting the recent partnership between MP Materials and the US Department of Defence.
Beinke expressed encouragement regarding the Australian Government’s intention to implement a Critical Minerals Strategic Reserve and National Offtake Agreements. These initiatives aim to incentivise new critical minerals supply, including rare earths. The company believes these measures provide it with strong support and robust market tailwinds.
With government backing and a commitment to sustainable development, Australian Rare Earths aims to become a supplier of high-quality, responsibly sourced rare earth feedstocks to global markets. The company is well-positioned to capitalise on the growing demand for critical minerals.
