Sydney, Australia – 27 June 2024 | American Rare Earths Ltd (ASX:ARR)
American Rare Earths Limited (ASX: ARR | OTCQX: ARRNF | ADR: AMRRY) is pleased to announce the approval of a significant grant proposal by the State of Wyoming, USA. The Company will receive A$10.7 million (US$7.1 million) in non-dilutive funding to advance the Cowboy State Mine at Halleck Creek.
Highlights:
Grant Approval: ARR's proposal to further develop the Cowboy State Mine at Halleck Creek has been approved by the State of Wyoming, USA.
Funding Details: ARR will receive A$10.7 million (US$7.1 million) in non-dilutive funding over three years as part of a Matching Funds arrangement.
Project Advancements: The funding agreement will cover:
Further exploration drilling and bulk sampling on state mineral leases
Baseline environmental studies for state permitting
Establishment of a pilot processing plant focused on the preconcentration of Halleck Creek ore
Prefeasibility studies and economic assessments
Community impact assessments
The Funding Agreement, executed today, is supported by the Wyoming Energy Authority (WEA) and the University of Wyoming Energy Resources Council (ERC). This collaboration underscores Wyoming's commitment to fostering a sustainable and prosperous future through strategic energy investments.
Richard Hudson, Chairman of American Rare Earths, remarked: "This significant grant not only underscores the technical and economic potential of the Cowboy State Mine at Halleck Creek but also represents a shared vision for advancing sustainable resource development. The A$10.7 million in non-dilutive funding will accelerate our exploration and development efforts, ensuring we meet our project milestones. This partnership reinforces Wyoming's leadership in the U.S. energy and mining sectors, and we are excited to contribute to the state's economic and environmental sustainability through this strategic initiative. The funding further validates the direction the Company has taken and gives us even greater optimism around the project."
Donald Swartz, CEO of American Rare Earths, stated: "We are thrilled to receive this support from the State of Wyoming and the WEA, which not only represents technical validation of the project by industry experts at the ERC and WEA, but a shared commitment to permit and develop a commercial rare earth mine and processing facility in Wyoming. This funding announcement comes on the heels of our most recent project update, and this non-dilutive funding will be used to meet those objectives. Wyoming is committed to lead the U.S. energy industry and support like this is why the state has been so successful in attracting investment in exploration and mining across the resource sector. This grant will assist the Company in expediting its project development of the Cowboy State Mine, and we are excited for things to continue to progress."
Rob Creager, Executive Director of Wyoming Energy Authority, commented: "Wyoming is investing in the future of the energy industry and exploring new opportunities. The American Rare Earths Mine, supported through the Wyoming Energy Authority and the State of Wyoming, will give us greater insight into potentially one of the largest deposits of rare earth materials in the United States. And, like previous grant recipients, we look forward to what this project will bring our state and nation."
Terms of the Agreement:
The grant is conditioned upon a 1:1 match of government and private dollars from ARR. The term of the grant is three years, or until the full A$10.7 million (US$7.1 million) has been spent on the project. ARR will provide technical reports detailing findings and future work recommendations to the WEA.
