Critical Metals Corp NASDAQ CRML Secures 10 Year TANBREEZ Off-Take Agreement with Department of Defense Funded Rare Earth Processor Ucore Rare Metals

Rhea-AI Summary

Critical Metals Corp (NASDAQ:CRML) has signed a significant Letter of Intent (LOI) for a 10-year offtake agreement with Ucore Rare Metals. Under the agreement, CRML will supply up to 10,000 metric tons annually of rare earth concentrate from its Tanbreez Project, representing approximately 10% of the project's initial projected production.

The concentrate will feed Ucore's Department of Defense-funded processing facilities in Louisiana and Ontario, which will produce high-purity rare earth oxides. The Louisiana facility, supported by state government and DoD funding, will process heavy rare earths essential for various applications.

This strategic partnership aims to reduce China's dominance in the rare earth ecosystem while addressing national security challenges in the Western supply chain.

Positive

• None.

Negative

• Final agreement subject to due diligence and approvals
• Currently only at LOI stage, not definitive agreement
• Limited to 10% of production capacity

Insights

Critical Minerals Analyst

CRML secures first customer with DOD-backed Ucore deal, marking key validation for Tanbreez's heavy rare earths potential.

Critical Metals Corp has secured a significant commercial milestone with this LOI for a 10-year offtake agreement with Ucore Rare Metals. The deal positions CRML to supply up to 10,000 metric tons annually of rare earth concentrate from its Tanbreez Project, representing approximately 10% of the project's initial projected production.

The strategic importance of this agreement cannot be overstated. Ucore's processing facilities in Louisiana and Ontario are specifically designed for heavy rare earth elements, which Tanbreez contains in significant concentrations. This partnership creates a direct pipeline into the U.S. defense industrial base, as Ucore's Louisiana facility is backed by both state government and U.S. Department of Defense funding.

From a supply chain perspective, this represents a critical step in developing Western alternatives to China's dominance in rare earth processing. The Tanbreez deposit in Greenland offers CRML tremendous flexibility – this initial offtake secures their first commercial customer while preserving 90% of projected production capacity for future agreements.

What makes this particularly valuable is the focus on heavy rare earths, which are more scarce and typically command higher prices than light rare earths. The DOD's involvement signals the strategic importance of securing these materials for defense and high-tech applications.

While still subject to definitive documentation and due diligence, this LOI demonstrates market validation for CRML's development plans and positions them as a potentially significant player in the Western rare earth supply chain.

Strategic LOI marks a major commercial milestone for the Company’s Tanbreez Project

10-year supply agreement of heavy rare earth concentrate from Tanbreez to Ucore’s U.S. Department of Defense funded Louisiana processing facility 

NEW YORK, Aug. 26, 2025 (GLOBE NEWSWIRE) -- Critical Metals Corp. (Nasdaq: CRML) (“Critical Metals Corp” or the “Company”), a leading critical minerals mining company, today announced that it has signed a letter of intent (LOI) for an offtake agreement with Ucore Rare Metals Inc (“Ucore”), a leader in rare-and critical-metal resources, extraction, beneficiation, and separation technologies.

Under the terms of the multi-year offtake arrangement, Critical Metals Corp expects to supply up to 10,000 metric tons annually of rare earth concentrate from its Tanbreez Project, which represents approximately 10% of the project’s initial projected production. After hydro-metallurgical processing, the concentrate will be used as feedstock for Ucore’s rare earth element processing facility, which is focused on heavy rare earths and broke ground in May, in Alexandria, Louisiana and Ucore’s facility in Kingston, Ontario. The Louisiana facility, which received support and funding from the state government and the U.S. Department of Defense, will produce high-purity rare earth oxides from mixed rare earth carbonates or oxides, which Critical Metals Corp expects to produce at Tanbreez. 

“Critical Metals Corp’s Tanbreez offers tremendous opportunities for Ucore given the significant concentration of heavy rare earths it contains, which are essential for our processing facility in Louisiana, and our downstream partners,” said Pat Ryan, Chairman and CEO of Ucore. “Both Critical Metals Corp and Ucore share a vision to lessen China’s grip of the rare earth ecosystem in the West, and we look forward to our partnership, positioning us both to meet the growing demand for rare earths while addressing national security challenges.”

“This development further validates the opportunities ahead for Critical Metals Corp and the strength of our world-class asset in Southern Greenland,” said Tony Sage, CEO and Executive Chairman of Critical Metals Corp. “Securing this offtake provides Critical Metals Corp both with our first buyer and the flexibility to supply other US based rare earth facilities in the future, given the immense size of our Tanbreez deposit. We look forward to teaming up with Ucore and their exceptional team to support the development of a robust supply chain in America that isn’t reliant on China.”

Next Steps

The parties are working expeditiously toward definitive documentation. The execution of definitive agreements remains subject to customary conditions including completion of due diligence, finalization of commercial terms, and necessary approvals.

About Critical Metals Corp.

Critical Metals Corp (Nasdaq: CRML) is a leading mining development company focused on critical metals and minerals, and producing strategic products essential to electrification and next generation technologies for the United States, Europe and their western world partners. Its flagship Project, Tanbreez, is one of the world's largest rare earth deposits and is located in Southern Greenland. The deposit is expected to have access to key transportation outlets as the area features year-round direct shipping access via deep water fjords that lead directly to the North Atlantic Ocean.

Another key asset is the Wolfsberg Lithium Project located in Carinthia, 270 km south of Vienna, Austria. The Wolfsberg Lithium Project is the first fully permitted mine in Europe and is strategically located with access to established road and rail infrastructure and is expected to be the next major producer of key lithium products to support the European market. Wolfsberg is well positioned with offtake and downstream partners to become a unique and valuable asset in an expanding geostrategic critical metals portfolio.

With this strategic asset portfolio, Critical Metals Corp is positioned to become a reliable and sustainable supplier of critical minerals essential for defense applications, the clean energy transition, and next-generation technologies in the western world.

For more information, please visit https://www.criticalmetalscorp.com/.

About Ucore Rare Metals Inc.

Ucore is focused on rare- and critical-metal resources, extraction, beneficiation, and separation technologies with the potential for production, growth, and scalability. Ucore’s vision and plan is to become a leading advanced technology company, providing best-in-class metal separation products and services to the mining and mineral extraction industry.

Through strategic partnerships, this plan includes disrupting the People’s Republic of China’s control of the North American REE supply chain through the near-term development of a heavy and light rare-earth processing facility in the US State of Louisiana, subsequent SMCs in Canada and Alaska and the longer-term development of Ucore’s 100% controlled Bokan-Dotson Ridge Rare Heavy REE Project on Prince of Wales Island in Southeast Alaska, USA.

Ucore is listed on the TSXV under the trading symbol “UCU” and in the United States on the OTC Markets’ OTCQX^® Best Market under the ticker symbol “UURAF.”

For further information, please visit www.ucore.com.

Cautionary Note Regarding Forward Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Forward-looking statements include statements regarding expectations of our business and the plans and objectives of management for future operations. These statements constitute projections, forecasts and forward-looking statements, and are not guarantees of performance. Such statements can be identified by the fact that they do not relate strictly to historical or current facts. When used in this news release, forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target,” “designed to” or other similar expressions that predict or indicate future events or trends or that are not statements of historical facts. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements.

Forward-looking statements are subject to known and unknown risks and uncertainties and are based on potentially inaccurate assumptions that could cause actual results to differ materially from those expected or implied by the forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements for many reasons, including the factors discussed under the “Risk Factors” section in the Company’s Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission. These forward-looking statements are based on information available as of the date of this news release, and expectations, forecasts and assumptions as of that date, involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and we do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Critical Metals Corp.

Investor Relations: ir@criticalmetalscorp.com

Media: pr@criticalmetalscorp.com

FAQ

What is the significance of CRML's offtake agreement with Ucore Rare Metals?

The agreement secures a 10-year supply commitment for 10,000 metric tons annually of rare earth concentrate, representing 10% of Tanbreez Project's initial production, to be processed at DoD-funded facilities.

How does the CRML-Ucore partnership impact rare earth supply chains?

The partnership aims to reduce China's dominance in rare earth processing by establishing a Western supply chain through DoD-funded facilities in Louisiana and Ontario.

What is the volume of rare earth concentrate CRML will supply to Ucore annually?

CRML will supply up to 10,000 metric tons annually of rare earth concentrate from its Tanbreez Project to Ucore's processing facilities.

Where will CRML's rare earth concentrate be processed?

The concentrate will be processed at Ucore's DoD-funded facilities in Alexandria, Louisiana and Kingston, Ontario.

What are the next steps for the CRML-Ucore agreement?

The parties are working toward definitive documentation, subject to due diligence completion, finalization of commercial terms, and necessary approvals.