REEs Have Critical Technology Applications
Impacting us in every aspect of our lives
Geopolitical Tension
China Dominates Every Step of the Rare Earth Supply Chain:
From Mining and Beneficiation, to Smelting and Producing NdFeB Magnets
Source: Department of Energy Rare Earth Magnet Supply Chain Deep Dive Assessment
Growing Supply Shortage
The current low Chinese pricing now driving governments to provide suppliers a floor price
Chinese export restrictions created a global shortage, moving the price of NdPr oxide from US$30/kg to nearly US$200/kg in 2010 through 2011. Also, Feb 2022 prices peaked at nearly US$150/kg
Source: Adamas Intelligence
Why Defense Metals
North America’s Premier Rare Earths Deposit
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Deposit high in Neodymium (Nd) and Praseodymium (Pr) located near Prince George and in close proximity to existing infrastructure
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Large, proven resource for potential long life mine and high-grade rare earths at surface with low strip ratio
Robust Economics with High Operating Margins
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PFS shows pre-tax NPV US$1.8 billion and 24.6% IRR
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Highest operating margins for rare-earths projects globally
Current Valuation Offers Significant Potential for Upside
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One of the lowest Price-to-Net Asset Value (P/NAV) ratios in Canadian critical minerals, highlighting a substantial opportunity for growth
Strong Leadership
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Board and Senior Management with extensive experience in rare earths and strong relationships with Western governments (Canada, United States and the European Union)
Only Undeveloped Reserve in North America
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Indicates a robust project with lower risk - only Reserve level projects attract project debt