Funding Uncertainty Looms as Resouro Awaits Final Approval for Tiros
Resouro Strategic Metals’ Tiros Project in Brazil has been selected for a major Brazilian government funding initiative aimed at advancing critical mineral production. This endorsement could accelerate the project’s development and bolster its role in the clean energy transition.
- Tiros Project chosen for BNDES and Finep’s BRL 5 billion support plan
- Funding to advance metallurgical testing and demonstration plant development
- Project holds significant titanium dioxide and rare earth element resources
- Selection aligns with Resouro’s collaboration on rare earth magnet production
- Final funding amounts and timelines to be confirmed by July 25, 2025
Strategic Recognition for Tiros Project
Resouro Strategic Metals Inc. has achieved a significant milestone with its Tiros Titanium and Rare Earth Elements Project in Minas Gerais, Brazil, being selected to participate in a high-profile financial support initiative led by Brazilian agencies BNDES and Finep. This Joint Support Plan, backed by a substantial BRL 5 billion (approximately US$900 million) funding pool, is designed to catalyse investment in strategic minerals critical to the global clean energy transition.
The initiative targets projects that can drive production, innovation, and manufacturing of key minerals such as lithium, graphite, copper, nickel, and rare earth elements. Resouro’s inclusion among 56 selected business plans highlights the Tiros Project’s strategic importance and potential within this competitive landscape.
Advancing Critical Mineral Extraction
Resouro holds a commanding 90% interest in the Tiros Project, which boasts a JORC- and NI 43-101-compliant resource estimate featuring 165 million tonnes of titanium dioxide and 5.5 million tonnes of total rare earth oxides. With the anticipated financial support, the company plans to accelerate metallurgical testing to refine the extraction process for titanium oxide and rare earth elements. Additionally, the funding will facilitate the development of a demonstration plant, a crucial step towards commercial viability.
Executive Chairman Chris Eager expressed pride in the project’s selection, emphasizing the endorsement as a validation of Tiros’ strategic value. He noted that the funding would provide the financial confidence to proceed without delay, maintaining momentum in technical development and positioning Tiros as a leading supplier of critical minerals essential for green technologies.
Synergies with Rare Earth Magnet Production
This development complements Resouro’s earlier announcement of collaboration with the MagBras Initiative, an industrial demonstrator project focused on the complete production cycle for rare earth permanent magnets. The synergy between Tiros’ mineral resources and MagBras’ manufacturing ambitions could enhance Brazil’s role in the rare earth supply chain, a sector of growing geopolitical and economic significance.
The final structuring of the support plans is expected by July 25, 2025, when Resouro will learn the approved funding amounts and disbursement schedules. This timeline will be critical for investors and stakeholders monitoring the project’s progress and financial backing.
Looking Ahead
Resouro’s Tiros Project stands at a pivotal juncture, with government-backed financial support potentially unlocking new phases of development. The project’s advancement could contribute meaningfully to Brazil’s economic development and the global supply of critical minerals needed for renewable energy technologies.
Bottom Line?
The upcoming funding decision will be a key catalyst for Resouro’s Tiros Project, shaping its trajectory in the critical minerals sector.
Questions in the middle?
- What specific funding amount will Resouro receive under the Joint Support Plan?
- How will metallurgical testing outcomes influence the final extraction process design?
- What are the timelines and milestones for the demonstration plant’s development?
