September 2, 2025
Critical Metals (NASDAQ: CRML) is progressing with the bankable feasibility study (BFS) for its Tanbreez rare earth project in southern Greenland. The study is 70% complete and is expected to be submitted in the fourth quarter of this year.
The Tanbreez project is one of the largest rare earth projects globally, with an estimated resource of nearly 45 million tonnes, 27% of which are heavy rare earths. These minerals are crucial for clean energy and high-tech applications.
Danish engineering firm NIRAS is leading the BFS, having completed environmental fieldwork for the 2025 baseline sampling program. This work supports the project's environmental impact assessment and is a key part of the updated exploration license application to be submitted to Greenland authorities.
The final phase of the BFS will include mine design, process plant engineering, tailings management, and water treatment strategies. Critical Metals CEO Tony Sage highlighted the BFS progress as a major milestone, noting that the current resource covers only 1% of the 4.7-billion-tonne mineralized kakortokite unit at Tanbreez.
A 2,000-metre drilling program is underway to expand the resource, focusing on the eudialyte component of the Fjord deposit, which makes up about half of the 45-million-tonne resource.
The BFS is expected to enhance the results of a preliminary economic assessment released earlier this year, which valued the project at approximately $3 billion with an internal rate of return of 180%. The project plans to produce 85,000 tonnes of rare earth oxides annually, potentially increasing to 425,000 tonnes after expansion.
Ucore Rare Metals (TSXV: UCU) is the first buyer of Tanbreez's mixed rare earth products, with processing to occur at its new facility in Louisiana under a recently signed offtake agreement.
Despite these developments, Critical Metals' shares fell 7.5% to $5.73, reflecting broader declines among US-listed rare earth miners. The company has a market capitalization of $588.7 million.
