Enhancing the North American supply chain with DRC artisanal mining cooperatives promoting responsible sourcing.

Canada Rare Earth Corp. announced a pivotal supply agreement with Congolese state-owned mining company SAKIMA SA, via its subsidiary Simba Essential Minerals, establishing rare earth mining operations in the Democratic Republic of Congo (DRC).

Executives from both companies have expressed strong commitment to responsible mining practices. The agreement is one step closer to establishing Canada's competitive edge in the global essential minerals market.

"We are excited about this agreement, marking a step for the company in our growth and expansion in the global essential minerals market." said Canada Rare Earth CEO Peter Shearing. "By securing a reliable supply of high-quality rare earth minerals from the DRC, we strengthen our supply chain and competitive position, positioning the company for future success."

The partnership enhances Canada Rare Earth's supply chain of several essential minerals sourced in the DRC, initially from local artisanal mining cooperatives promoting responsible sourcing.

The company said it is exploring mineral concessions for acquisition by the end of 2024, intending to secure two or three exclusive sources of rare earths and other minerals. These proprietary concessions will significantly boost supply and reduce costs, complementing the supply chain.

Canada Rare Earth announced that through this partnership and further acquisitions, its rare earth concentrate supply is expected to ramp up from 100 to 500 tons per month by mid-2024.

"We continue to be dedicated to extracting these resources responsibly, bringing benefits not only to our shareholders but also to the local communities that are integral to our operation," said Simba Essential Minerals President and CEO Steve Sadiki. "By establishing our proprietary operations, we are simultaneously expanding Canada Rare Earth's supply capabilities while instituting a more controlled and secure source of rare earth minerals from the Kivu Provinces, a region well known for its rich mineral resources."

Canada Rare Earth's growing project portfolio includes the Red Wine complex in the Central Mineral Belt of Labrador, as well as prospective refinery sites being scouted in Brazil.

"Many western governments and businesses are looking to Canadian and American based organizations to provide alternatives to foreign sources of rare earths," said Chris Goodman, head of Canada Rare Earth's South American operations. "Our company is focused on becoming the leading western supplier of rare earth products including concentrate, oxides and metals. Wherever possible, we strive to source our feedstock from tailings to minimize the requirement for new mining operations whilst we work to extract value from past mining activities."