Highlights

  • Material Transfer Agreement with Curtin University provides access to the A$18.4 million Cathode Precursor Production Pilot Plant (C4P) for MREC production.
  • Agreement provides a defined pathway to pilot-scale MREC production without requiring Victory to independently build an equivalent processing facility.
  • MREC samples are intended for evaluation with international offtake and refining partners.
  • China confirmed on 9 November 2026 that the suspension of certain additional rare earth export controls has been extended, reinforcing the strategic importance of diversified Supply chains.
  • North Stanmore Mineral Resource totals 278.8 Mt including 70.67 Mt in the Measured category, with an overall HREO/TREO ratio of 36%.

Victory Metals Limited (ASX:VTM) has executed a Material Transfer Agreement (MTA) with Curtin University that provides access to the Cathode Precursor Production Pilot Plant (C4P) — a specialised processing Facility representing approximately A$18.4 million of Investment by Curtin University, CSIRO, and the Minerals Research Institute of Western Australia. The agreement enables Victory to undertake pilot-scale production of Mixed Rare Earth Carbonate (MREC) from concentrate produced at its existing Burswood pilot plant in Perth, advancing the Company's Downstream processing pathway without constructing an equivalent standalone facility.

Latest Development

Under the MTA, Victory will transfer heavy rare earth concentrate and processing materials to the C4P facility during 2026 and 2027. MREC samples produced at the C4P facility will be returned to Victory for technical assessment and potential evaluation with international offtake and refining partners, subject to completion of the required testwork and negotiation of commercial arrangements. The agreement extends Victory's existing relationship with Curtin University and its Western Australian School of Mines, leveraging the established processing infrastructure and technical expertise of the broader C4P collaboration. This announcement coincides with China's Ministry of Commerce confirming an extension of certain additional rare earth export control suspensions to 10 January 2027, with existing export licensing requirements continuing.

Company Background

Victory Metals is developing the North Stanmore Heavy Rare Earth Elements and Critical Minerals Project in the Cue region of Western Australia. In August 2026, the Company announced a Mineral Resource Estimate totalling 278.8 Mt, including 70.67 Mt in the Measured category, with an overall heavy rare earth oxide-to-total rare earth oxide ratio of 36% — a composition particularly valuable for magnet applications. Victory's development strategy follows an integrated Western Australian processing pathway: ionic rare earth concentrate from the North Stanmore site, conversion to MREC at the Burswood pilot plant, and now downstream characterisation via the C4P facility for further refining.

Sector Context

The global heavy rare earth supply chain is concentrated in a small number of producers, with China dominating both Mining and downstream separation and refining. Western governments and industrial customers in the United States, Europe, Japan, South Korea, Vietnam, and India have explicitly identified the Diversification of rare earth supply chains as a strategic priority. Projects capable of delivering separated or intermediate-stage MREC products directly to international refining customers are considered strategically attractive, as they can bypass the most concentrated portion of the supply chain. The 36% HREO/TREO ratio at North Stanmore, which exceeds the composition of many conventional rare earth deposits, is particularly relevant for manufacturers of permanent magnets requiring heavy rare earth inputs.

Market Perception

Access to an established, well-resourced processing facility — rather than the capital-intensive path of building a standalone MREC facility — meaningfully reduces the near-term financial burden on Victory while maintaining technical progress toward product qualification. For potential offtake and refining partners, the availability of MREC samples produced at pilot scale in a credible Australian research institution supports product qualification discussions. The timing of this agreement, concurrent with China's confirmation of continued export control uncertainty, provides a commercially relevant context for Victory's discussions with international supply chain participants.

Growth Drivers

Victory's near-term development pipeline is focused on progressing from concentrate production at Burswood to MREC production at C4P and toward a formal scoping-level development study for North Stanmore. The heavy rare earth composition of the resource base is a commercial differentiator that the Company is positioning as an alternative to conventional light rare earth deposits for emerging technology manufacturers. The Australian government's critical minerals support frameworks, including export finance and strategic infrastructure funding, may provide future project finance pathways as the development advances.

Risks and Challenges

MREC pilot production is a testing phase and not equivalent to commercial production. The transition from pilot-scale processing to commercial MREC output requires engineering, process optimisation, and Capital investment that is not covered by the current agreement. Offtake and refining partner negotiations are described as subject to further testwork, and there is no certainty that commercial arrangements will be reached. The rare earth processing market requires customer qualification processes that are typically lengthy and technically rigorous. The continued suspension of certain Chinese export controls — while creating a commercial backdrop favourable to alternative supply development — introduces uncertainty about the long-term policy environment.

Recent Announcements

Victory has previously announced a Maiden Ore Reserve, Updated Mineral Resource Estimate, and Pre-Feasibility Study for North Stanmore in August 2026, which was the original announcement to which this MTA relates in terms of MREC pathway progress. The Burswood pilot plant is described as operational, having produced heavy rare earth concentrate that is now ready for transfer to the C4P facility.

Key Insights

Victory Metals has secured access to world-class processing infrastructure through its C4P agreement with Curtin University, enabling pilot-scale MREC production from an established, well-resourced Australian facility. This reduces the near-term capital burden on the Company while advancing a credible Western Australian heavy rare earth processing pathway. With a 278.8 Mt resource base including a substantial Measured category and a 36% heavy rare earth composition, the North Stanmore project is well-positioned as a potential contributor to diversified heavy rare earth supply chains at a time of heightened global strategic interest.