The Rare Earths industry is commonly misunderstood. Rare Earths or REE have recently gained a lot of interest in the media mainly due to the attention created by the US-China trade war. Most punters in the market are not aware that there is a second aspiring REE producer on the ASX in Northern Minerals Limited (ASX: NTU). Several months ago, I learned that the REE industry is primarily about permanent magnets.
Northern Minerals Limited is focussed on becoming the first significant producer of the heavy rare earth (HRE), dysprosium outside of China. The Company has a large landholding in Western Australia (WA) and the Northern Territory (NT) that is highly prospective for this element. Its current portfolio consists of three projects, the Browns Range and John Galt projects in WA, and the Boulder Ridge Project located in the NT.
Of these projects, Northern Minerals’ 100% owned Browns Range Project (the Project) is its flagship project, where it has a number of deposits and prospects containing high-value dysprosium and other HREs, hosted in xenotime mineralisation.
Dysprosium is an essential ingredient in the production of NdDyFeB (neodymium dysprosium iron-boron) magnets used in clean energy and high technology solutions. As a result of increasing global demand for these applications, dysprosium supply is critical.