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| Strange Lake rare earth project |
Strategic Development of Rare Earth Mining and Separation in Canada
Torngat Metals is advancing its Strange Lake rare earth project with C$165 million in government funding, aiming to create a new domestic rare earth industry in Canada. This funding includes a C$110 million bridge loan from Export Development Canada (EDC) and a C$55 million infrastructure loan from the Canada Infrastructure Bank. The project targets the extraction and processing of heavy rare earth elements like dysprosium and terbium, critical for electric vehicles and renewable energy technologies.
The Strange Lake deposit is unique in North America for its high heavy rare earth content, positioning Canada as a future major supplier outside China. The company plans to build a rare earth separation plant in Sept-Îles, Quebec, to refine rare earth oxides domestically. CEO Yves Leduc highlights that this move will establish a full mine-to-magnet value chain in Canada, reducing dependency on Chinese supply chains and strengthening North American industrial security.
Meanwhile, Torngat Metals emphasizes environmental and social governance, engaging with Indigenous communities and prioritizing sustainable development. The company aims to start construction in late 2026 and reach production of approximately 15,000 tonnes of rare earth oxides per year by 2028. This project marks a significant step toward securing critical mineral independence for Canada and its allies.
ScrapInsight Commentary
Torngat Metals’ rare earth initiative reflects a strategic shift in North America’s critical mineral supply chains. The domestic separation plant will add value locally, potentially stabilizing rare earth prices amid geopolitical tensions. This development also signals growing investor confidence in sustainable and socially responsible mining practices.
