REalloys Secures 15% of Tanbreez Phase 1 in 15-Year Offtake Deal
REalloys secured a 15-year offtake for 15% of Phase 1 Tanbreez output, equaling up to 2,250 metric tons annually of heavy rare earth concentrate under market-referenced pricing with floor-price protection. The agreement strengthens REalloys’ mine-to-magnet strategy by securing U.S.-aligned HREE feedstock for defense and industrial magnet production.
1. Offtake Agreement Terms
The agreement grants REalloys offtake rights to 15% of monthly Phase 1 production from the Tanbreez Project, subject to a ±5% operational variance, with an initial 15-year term and market-referenced formula pricing featuring floor-price protection on specified payable elements.
2. Phase 1 Capacity and Volume
CRML’s Phase 1 nameplate capacity is up to 15,000 metric tons per annum of rare earth concentrate, implying REalloys could secure approximately 2,250 metric tons annually under the agreed volume commitment.
3. Ownership and Project Background
In April 2026, Greenland approved CRML’s acquisition of a final 50.5% interest in Tanbreez Mining Greenland A/S, bringing total CRML ownership to 92.5%. The Tanbreez deposit ranks among the largest known heavy rare earth deposits, with high dysprosium and terbium content critical for high-temperature magnets.
4. Strategic Implications
This offtake complements REalloys’ supply portfolio at Hoidas Lake, Sheep Creek, Saskatoon, Araxá, and Kokbulak, advancing its mine-to-magnet strategy to deliver qualified heavy rare earth metals and alloys to U.S. defense and critical industrial customers ahead of expanded procurement restrictions.