MTM and Meteoric Forge New Path in Rare Earth Refining with Flash Joule Heating

A Breakthrough in Rare Earth Processing

MTM Critical Metals Ltd (ASX – MTM) and Meteoric Resources NL (ASX – MEI) have taken a significant step towards reshaping the rare earth element (REE) refining landscape. On 17 June 2025, the two companies announced a non-binding Memorandum of Understanding (MOU) to collaborate on downstream processing of Meteoric’s mixed rare earth carbonate (MREC) from the Caldeira Rare Earth Project in Brazil using MTM’s proprietary Flash Joule Heating (FJH) technology.

This collaboration follows successful proof-of-concept testwork demonstrating that FJH can selectively separate and concentrate high-value magnet rare earths; namely neodymium (Nd), praseodymium (Pr), dysprosium (Dy), and terbium (Tb); in a single, un-optimised flash. Crucially, the process achieves this without the use of acids or solvents, marking a potential paradigm shift from the traditional multi-stage solvent extraction methods that dominate the industry.

Technical and Strategic Implications

The testwork results are compelling – over 80% of low-value lanthanum (La) and cerium (Ce) were separated from the MREC feedstock, significantly upgrading the product’s value and reducing downstream processing burdens. The recovery of 81% of terbium; a rare and strategically important heavy rare earth element; further underscores the technology’s potential to secure critical supply chains.

MTM’s FJH process offers a faster, simpler, and modular alternative to solvent extraction, which typically involves hundreds to over a thousand mixer-settler stages and is largely controlled by Chinese refining infrastructure. By enabling a Western-based chloride refining route, this technology could reduce capital and operating costs, shorten deployment timelines, and mitigate environmental impacts associated with conventional methods.

Collaboration and Commercial Outlook

The MOU outlines a framework for joint technical optimisation, flowsheet integration, and commercial structuring, including potential licensing or joint development models. While non-binding and limited in exclusivity to ionic clay REE projects in Brazil, the agreement signals a strategic intent to develop a scalable, geopolitically aligned refining solution that enhances the value and flexibility of Meteoric’s Caldeira MREC product.

MTM is also actively engaging with other rare earth developers globally, including hard-rock and recycling projects, to explore broader applications of the FJH technology. This positions MTM as a potential key player in diversifying and securing rare earth supply chains beyond traditional sources.

A Step Toward Strategic Independence

Rare earth elements are critical to modern technologies ranging from electric vehicles and wind turbines to defence systems. The dominance of Chinese-controlled refining infrastructure has long posed supply chain risks for Western economies. MTM’s FJH technology, by enabling in-country or allied downstream refining, offers a pathway to reduce these dependencies and support strategic autonomy.

While still at the proof-of-concept stage, the technology’s ability to achieve comparable results to complex solvent extraction in a single flash is a remarkable feat. Further optimisation and scale-up will be key to realising its commercial potential.