Highlights

  • Viridis Mining produced first Mixed Rare Earth Carbonate (MREC) from its Colossus demonstration plant, marking a key operational milestone in project development.
  • The Facility is designed as a semi-industrial rare earth processing plant, enabling continuous operations, process validation, and offtake engagement support.
  • The company is progressing toward Definitive Feasibility Study (DFS) completion and targeting long-lead equipment orders in Q3 2026 ahead of planned 2028 production.

Viridis Mining and Minerals Limited (ASX:VMM) traded at A$3.39, rising 3.04% following the announcement of first production of Mixed Rare Earth Carbonate (MREC) from its Colossus demonstration plant. Over the past year, the stock has appreciated more than 1,100%, reflecting significant re-rating driven by rare earth project advancement and increasing investor interest in non-China Supply chain development.

The latest announcement reinforces the company’s transition from exploration-stage valuation dynamics toward pre-production development status. Market attention has been concentrated on execution milestones, particularly those that demonstrate scalable processing capability and alignment with global rare earth Demand trends.

Colossus Project: Strategic Position in Rare Earth Supply Chain

The Colossus Project, located in Brazil, is positioned within the ionic clay rare earth segment, which is globally significant due to its ability to produce high-value magnet rare earth elements such as neodymium, praseodymium, dysprosium, and terbium.

These elements are critical inputs for permanent magnets used in electric vehicles, wind turbines, and advanced defence applications. Supply chain concentration in China has led to increased strategic focus on alternative sources, placing projects like Colossus within a broader geopolitical and industrial Diversification narrative.

Viridis controls a vertically integrated development pathway through its Rare Earth Research and Processing Centre (CPTR), which now houses the operational demonstration plant used for process validation and early product generation.

Demonstration Plant Commissioning and First MREC Output

The successful commissioning of the demonstration plant represents a key technical milestone in the development of the Colossus Project. The facility has now produced its first batch of Mixed Rare Earth Carbonate (MREC), confirming the operational performance of the process flowsheet at semi-industrial scale.

The plant is designed to process 100 kilograms per hour of ionic clay feed and is considered one of the largest continuous rare earth demonstration facilities outside China. Its configuration replicates the process flowsheet outlined in earlier feasibility work, allowing real-world validation of recovery rates, reagent consumption, and impurity control.

Initial output is enriched in both light and heavy rare earth elements, including neodymium, praseodymium, dysprosium, and terbium, which are key components in high-performance magnet production.

At nameplate capacity, the facility is capable of producing approximately 8 kilograms of MREC per day, primarily intended for laboratory analysis, product qualification, and offtake partner engagement.

Process Validation and Engineering De-Risking

A central function of the demonstration plant is process de-risking ahead of full-scale development. The facility enables continuous testing of key operational parameters, including leaching efficiency, impurity removal, reagent recovery, and solid-liquid separation performance.

The integration of automated control systems allows for real-time monitoring and optimisation of process variables, which is critical for scaling toward commercial production. This data is expected to feed directly into the Definitive Feasibility Study (DFS), supporting final design decisions and equipment selection.

The company has also prioritised collaboration with engineering partners and equipment suppliers to ensure commercial plant design consistency with demonstration-scale outcomes.

Offtake Engagement and Commercial Pathway

With MREC production now underway, Viridis is advancing discussions with potential offtake partners. The production of qualification samples is expected to support commercial negotiations, particularly with participants in the permanent magnet supply chain seeking diversified rare earth sourcing.

Offtake development is a critical component of rare earth project financing, as Downstream buyers often require verified product specifications and consistent supply assurances before committing to long-term agreements.

The demonstration plant output therefore serves both technical and commercial validation purposes, strengthening the company’s position in ongoing discussions with strategic counterparties.

DFS Progress and Equipment Procurement Timeline

Viridis is progressing toward completion of its Definitive Feasibility Study, with key process parameters expected to be finalised in the near term. The demonstration plant data is expected to play a central role in confirming scalability and operational assumptions.

The company has indicated that long-lead item (LLI) procurement is scheduled for Q3 2026, signalling progression toward early-stage development readiness. These items typically include major processing equipment required for full-scale plant construction and represent a key step in project execution planning.

The overall development timeline remains anchored to first production targeted for 2028, indicating a multi-year transition from pilot-scale validation to commercial operations.

Environmental Design and Processing Efficiency

A notable feature of the Colossus processing strategy is its emphasis on environmental management systems, including zero liquid discharge (ZLD) water treatment and reagent recycling.

These systems are designed to minimise environmental footprint while improving operating efficiency through reduced water and reagent consumption. Residual material is also treated for potential reuse in mine backfilling, aligning with modern sustainability standards in mineral processing.

This environmental design framework is increasingly relevant in rare earth project development, where permitting, ESG compliance, and stakeholder engagement can materially influence project timelines.

Conclusion

Viridis Mining’s successful production of first Mixed Rare Earth Carbonate at its Colossus demonstration plant marks a significant technical milestone in the development of its rare earth project portfolio. The achievement validates key elements of the process flowsheet and supports ongoing feasibility, offtake, and engineering activities. While the project remains in the pre-production stage, the establishment of continuous MREC output at semi-industrial scale represents a meaningful step in de-risking the pathway toward commercial rare earth production targeted for 2028.