REalloys has entered into a non-binding letter of intent (LoI) with Patriot Exploration & Mining that will potentially give it priority access to up to 30% of rare earth products from the latter’s US operations.
This arrangement remains subject to the successful negotiation and signing of a definitive long-term offtake agreement.
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Patriot is a US-based rare earth exploration and development company. It is said to have access to two billion tonnes of above-ground material containing rare earth elements (REEs) at more than 150 sites spanning the Appalachian Basin from Alabama to Pennsylvania.
These sites are said to contain more than 40 minerals classified as critical by the US, including neodymium, dysprosium, praseodymium and terbium.
Patriot’s domestic, above-ground resource base is intended to supply rare earth materials compatible with REalloys’ processing, refining and metallisation facilities.
This approach supports REalloys’ objective of developing a broad network of allied feedstock sources for its North American operations.
Patriot partner Sean Williams said: “REalloys brings exactly the downstream infrastructure and government engagement capabilities that Patriot has been looking for in a long-term strategic partner.
“Their proven processing platform, their relationships across the Defence Industrial Base and their commitment to a fully domestic, zero-adversary supply chain align precisely with what we are building at Patriot.
“This non-binding LoI is the first step toward a long-term commercial relationship that serves US national security and industrial interests.”
The LoI is the most recent addition to a range of supply agreements that REalloys has pursued as it works to form a fully compliant feedstock network ahead of new restrictions taking effect in January 2027.
REalloys has developed a network of feedstock partners across several countries including the US, Brazil, Kazakhstan and Greenland.
The company also says its core Hoidas Lake resource in Saskatchewan, Canada, strengthens its ability to access rare earth materials from a broad and geographically varied supply base.
REalloys CEO Lipi Sternheim said: “The defence industrial base has a 2027 deadline and a supply chain gap that REalloys intends to resolve. With Patriot, we believe we will be able to add upon a definitive offtake agreement, another fully domestic, zero-adversary feedstock source to our processing network.
“Every upstream relationship we establish translates directly into our ability to deliver at the downstream level: on time, at scale and fully compliant with the procurement requirements slated to take effect next year.”
The non-binding LoI adds to REalloys’ existing feedstock partnerships, including those that involve sourcing REEs from brownfield sites.
In April this year, REalloys signed a non-binding memorandum of understanding with US Critical Materials, which owns the Sheep Creek rare earth project in Ravalli County, Montana.
