The Lofdal HREE Project in Namibia is WhyAfrica’s Pick Of The Week

The Lofdal HREE Project in Namibia is WhyAfrica’s Pick Of The Week

NMI has released a pre-feasibility study for its Lofdal HREE project.

By Leon Louw founder of WhyAfrica and editor of the WhyAfrica magazine.

There are only a handful of Heavy Rare Earth Element (HREE) projects in Africa, with most Rare Earth Element (REE) exploration endeavours focussing on Light Rare Earth Elements (LREE).

Although both HREE and LREE are in high demand globally, the European Union (EU) has recently emphasised the extreme strategic value of HREEs. HREEs are less abundant and are regarded as critical for high-tech applications like magnets, Electric Vehicles (EVs (and wind turbines.

The HREEs are at the heavier end of the lanthanide series and include elements like Gadolinium, Terbium, Dysprosium, Holmium, Erbium, Thulium, Ytterbium, Lutetium and Yttrium.

More focus on Heavy Rare Earth Elements (HREEs)

The main economic drivers of Namibia Critical Metals’ (NMI’s) Lofdal REE project, located northwest of Khorixas in the Kunene Region of Namibia, could potentially produce three HREEs namely dysprosium (Dy), terbium (Tb) and yttrium (Y).

The feeling in Europe is that more focus should be placed on HREEs rather than LREEs and there are concerted efforts to secure alternative supply chains outside of China, both within and outside EU borders.

Japan made it clear that they regard HREEs more strategic than LREEs when in March 2023 Sojitz Corporation and Japan Organization for Metals and Energy Security (JOGMEC) signed a supply agreement with Australian Lynas Rare Earths to secure HREEs (specifically dysprosium and terbium) for Japan.

That deal has often been described as “the first time Japan acquired a direct interest in heavy rare earths.”

PFS for Lofdal in Namibia

TSX listed NMI is developing Lofdal in a in joint venture with JOGMEC, targeting a long term, sustainable supply of heavy rare earths from Namibia to Japan.

Last week NMI released the results of its Pre-Feasibility Study (PFS) for Lofdal, and the document looks impressive.

According to the PFS Lofdal is well positioned as one of very few advanced major Dy/Tb- and Y projects outside China, with a supportive jurisdiction, a mining license, fully environmentally permitted, an excellent relationship with the communities and a key strategic JV partner (JOGMEC).

“Lofdal’s economic case is underpinned by three value pillars: Dy/Tb high-temperature magnet demand, Yttrium demand from aerospace, semiconductors and turbine industry and Nd/Pr magnet demand.

This diversified critical material exposure increases the strategic attractiveness of Lofdal for OEMs and governments.”

By Leon Louw founder of WhyAfrica

I am on the ground in Rome, Italy, reporting for WhyAfrica about Critical Materials and specifically REEs and the Africa and European link.

Map credit: Namibia Critical Metals

Lofdal HREE Project in Namibia is WhyAfrica’s Pick Of The Week