PERTH (miningweekly.com) – ASX-listed Australian Strategic Materials (ASM) has signed a collaboration agreement with the Korean Mine Rehabilitation and Resource Corporation (KOMIR) to develop critical minerals supply into Korea.

Under a joint statement of cooperation, ASM and KOMIR have agreed to work together to expand the use of rare earths and critical metals in Korea and develop import opportunities that will secure the supply of these metals for Korean industry.

“This builds on the cooperative and collaborative relationship between Korea and ASM, creating further opportunities to engage on the strategic issue of critical minerals and metal supply. This Joint Statement of Cooperation is another firm sign of Korea’s commitment to securing its supply of critical metals and to working with ASM to deliver an outcome that is beneficial to the Korean supply chain,” ASM MD David Woodall said.

“ASM welcomes this opportunity to work with KOMIR to provide an alternative, secure and sustainable supply of critical metals. ASM will commence production of critical metals at ASM’s Korean metals plant in 2022.”

CEO of KOMIR, Kyu-yearn Hwang, said to improve the supply and demand of rare earths in South Korea, the South Korean government supported the operation of South Korean critical metals plants.

“Partnering with ASM will enable us to deliver on our strategy to ensure a stable, secure supply of critical minerals and metals for the South Korean industry,” he added.

The key areas contemplated for cooperation under the joint statement of cooperation include the import of rare-earth products into Korea, including for strategic stockpiling, and supplying ASM with rare-earth products to enable Korean domestic production of rare-earth magnet feed metal at ASM’s Korean metals plant.

KOMIR/s deal with ASM comes as Korean President MoonJae-In meets with Australian critical mineral miners in Sydney.

“Korea is our fourth largest trading partner, third largest export market valued at almost A$26-billion and home to many household brands such as Samsung, LG, Hyundai and KIA. Korea’s POSCO is Australia’s single largest customer. The demand for critical minerals is rising and Korean corporates, over the past two years alone, have committed to investing more than half a billion dollars in Australian mining projects. This is a trend we expect to see increase in the near term,” said The Australia-Korea Business Council’s chairperson Simon Crean.

“Due to the complementary nature of our economies, and close historical ties forged during the Korean war, our members believe there is significant opportunity to move the relationship beyond just digging and shipping our resources into new and innovative partnerships with technology and processing companies. A visit by the President provides a huge impetus for us all to examine and activate these opportunities.”