Recent billion-dollar ventures by Australian firms Meteoric and Viridis Mining and Minerals have spotlighted Minas Gerais for rare earth development, stirring global interest. Rare earths, crucial for technologies like smartphones, electric vehicles, and wind turbines, are pivotal for a sustainable, energy-efficient future.
These 17 essential metals, known for their unique high-tech applications, find Brazil and Vietnam as key holders after China, which dominates the market. China's 60% production control and export restrictions pose geopolitical and economic challenges, driving global search for alternatives, spotlighting Minas Gerais.
Minas Gerais, with its rich deposits near extinct volcanoes in Araxá and Poços de Caldas, becomes a strategic player. Brazil’s strong ties with the US and EU, combined with its rich reserves, position it as a viable alternative to Chinese dominance.
The global rare earth market, valued at around $6 billion with expectations to reach $14 billion by 2028, is driven by demand for clean energy and electric vehicles. Minas Gerais's potential goes beyond raw materials; it involves creating an ecosystem conducive to mineral project development, emphasising environmental licensing, specialised labour, and market access.
Governor Romeu Zema’s efforts are elevating Minas towards becoming a rare earth hub. The acquisition of the LABFAB ITR by the Federation of Industries of the State of Minas Gerais and the Minas Gerais Development Company underscores this ambition, aiming to make Minas a leader in rare earth research and application.
This initiative, marking Minas as a research and development haven in the Southern Hemisphere, underscores its strategic significance in diversifying the global rare earth supply and advancing energy transition technologies.
