European Green Transition PLC (AIM:EGT) told investors it has secured a four-year extension for the Olserum #21 license in southeast Sweden.
The license, now extended to June 2029, covers close to 11 square kilometres near Gamleby and Vastervik.
It includes a historic resource estimate of 4.5 million tonnes, grading 0.6% total rare earth oxides (TREO) in the indicated category and 3.3Mt grading 0.63% TREO in the inferred category.
The area includes ground covered by a recent 1,500 metre drill programme, which confirmed REE mineralisation at Olserum West and Djupedal.
Significantly, the company noted that the licence extension “could be critical for any incoming acquirer or partner of the Olserum project”.
Cathal Friel, the company’s chair, meanwhile, described it as “a considerable step in plans to monetise the Olserum project, as we seek to reallocate resources towards pursuing near-term revenue-generating opportunities.”
“Geopolitical uncertainty has highlighted the urgent need for Europe to establish a secure supply of REEs to support European industry. There are currently no active REE mines in Europe, and we believe the Olserum REE project will be of critical strategic importance to the region in the years ahead,” Friel said in a statement.
He added: “We believe Olserum is one of Europe's most attractive rare earth assets and the receipt of a four-year license extension validates the work we have completed to date and strengthens the company's position in ongoing discussions with a third party through sale or partnership."