Canada Rare Earth Corp (TSX-V:LL) said the first shipment of rare earth concentrate from a new supplier is in transit to its customer base.
The company noted that this is the initial shipment of a minimum of 60 shipments anticipated over the five-year period.
The contract, signed September 3, 2021, calls for a total quantity of 18,000 metric tons. However, the company and the supplier are working together to increase this quantity through larger and more frequent shipments.
READ: Canada Rare Earth responding to urgent demands of international businesses and national governments for reliable supply
"We are very excited about this initial shipment as the start of a multi-year successful relationship. We are confident that together with the supplier we will build the shipments up to much higher quantities to help satisfy our customer demand," said Canada Rare Earth COO Peter Shearing in a statement.
Canada Rare Earth said its strategy calls for growing its supply base of rare earth and critical minerals through proprietary properties and various third-party arrangements.
The company added that it views this particular contract as an important component of its efforts to diversify its concentrate sources as it will augment supply from its proprietary properties, such as the Bom Futuro tailings stockpile in Brazil which is presently under development.
Canada Rare Earth is developing an international vertically integrated business within the global rare earth industry.
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