Ugandan operating entity Rwenzori Rare Metals (RRM), owner of the Makuutu heavy rare earths project, has successfully produced first quantities of mixed rare earth carbonate (MREC) at its newly commissioned demonstration plant facility in Uganda.
ASX-listed Ionic Rare Earths (IonicRE) owns 60% of Makuutu and has agreed terms with partners in RRM on increasing its ownership to 94%, which, pending approval by shareholders, and subject to satisfying conditions precedent, is expected to occur in the first half of this year.
The company says production of MREC advances further supply chain and offtaker engagement, providing sample product for customers and strategic partners to evaluate, and positions Makuutu for a final investment decision later in this year and planned full commercial production in 2026.
The high proportion of heavy rare earths within the Makuutu MREC basket further enhances the project’s market positioning and strengthens its value proposition to global partners and stakeholders.
This major milestone marks a pivotal moment in the project’s trajectory and path to offtake and strategic partner discussions.
The company notes that the demonstration plant has displayed rapid progress, having achieved this milestone within nine months of breaking ground in Uganda, and two months after receiving its large-scale mining licence, LML00334, at Makuutu.
"We are delighted to announce the successful production of our first mixed rare earth carbonate on site at Makuutu in Uganda. The progress achieved over the past nine months from what was previously a sugarcane field, to now be a functioning technical facility producing magnet and heavy rare earths is a testament to the focus, dedication and expertise of our RRM and IonicRE team who made this happen.
"Achieving this major milestone, safely, within such a short timeframe, underscores our commitment to developing Makuutu as a disruptor to existing supply chains, providing an alternative, secure, sustainable and traceable source of heavy rare earths for new supply chains to emerge,” IonicRE MD Tim Harrison says.
He adds that Makuutu, in combination with the Ionic Technologies Belfast recycling facility, is key to harnessing the company’s technology to accelerate the mining, refining and recycling of magnets and heavy rare earths that are critical for the energy transition, advanced manufacturing and defence.
“Looking ahead, IonicRE remains steadfast in its pursuit of operational excellence, innovation and sustainable growth. With the successful commencement of MREC production, the company is well-positioned to capitalise on emerging opportunities and deliver long-term value to its shareholders and stakeholders,” says Harrison.
The company will continue to ramp up MREC production at Makuutu in order to generate an adequate mass of product to provide samples to a number of groups who have requested samples for further evaluation.