Viridis Secures Landmark Environmental Approval for Colossus Rare Earth Project
Viridis Mining and Minerals has achieved a critical environmental milestone with the granting of the Preliminary License for its Colossus Rare Earth Project in Brazil, significantly de-risking the development timeline and paving the way for construction in 2026.
- Preliminary License granted by Minas Gerais State Environmental Council
- 46% expansion of Northern Concessions consolidates resource base
- Project aligned with leading ESG and sustainable mining practices
- US$30 million funding agreement and strong export credit agency support
- On track for Final Investment Decision and construction start in second half 2026
A Defining Regulatory Milestone
Viridis Mining and Minerals Limited has announced a pivotal achievement for its flagship Colossus Rare Earth Project in Minas Gerais, Brazil, with the receipt of the Preliminary License (PL) from the State Environmental Policy Council (COPAM). This approval, granted unanimously on 19 December 2025, confirms the environmental feasibility of the project and marks the most complex and time-intensive hurdle in Brazil’s three-stage environmental licensing process.
The PL not only validates Viridis’ comprehensive Environmental Impact Assessment and Report but also clears the critical regulatory pathway toward the Installation License (IL), a prerequisite for construction commencement. This milestone materially de-risks the project’s development timeline and enhances confidence among financiers, strategic investors, and offtake partners.
Strategic Expansion and Resource Strengthening
Complementing this regulatory success, Viridis has expanded its Northern Concessions by 46%, consolidating its dominant landholding in a highly prospective region near Poços de Caldas. This expansion directly adjoins areas with historically high-grade rare earth mineralization, including Dy-Tb oxide values exceeding 500ppm, the highest recorded in the Poços de Caldas alkaline complex.
The Northern Concessions now host a 215 million tonne Mineral Resource and a 97.4 million tonne Probable Ore Reserve, underpinning the project’s robust resource base. Recent drilling along the new boundaries has confirmed strong mineral continuity, supporting near-term exploration and mine planning flexibility within the approved environmental footprint.
Sustainability at the Core of Development
Viridis is advancing a sustainable extraction and processing approach designed to minimise environmental impact. The project employs selective mining confined to mineralised zones, chemical-free initial ore separation, and the use of low-impact ammonium-based reagents in beneficiation. Inert waste material will be progressively backfilled into mined-out pits, promoting rapid environmental restoration.
Water usage is optimised through advanced recirculation systems, significantly reducing consumption and eliminating effluent discharge into natural waterways. This commitment to environmental stewardship aligns Colossus with global ESG standards and reflects strong support from local and state authorities.
Funding Momentum and Next Steps
Financially, the project benefits from a US$30 million definitive agreement with ORE Investments Ltda. and Régia Capital Ltda., alongside multiple letters of support from leading export credit agencies and development banks including Export Development Canada, Bpifrance, and BNDES. These partnerships underscore the project’s compelling technical and economic fundamentals.
Viridis is progressing several parallel workstreams, including resource conversion drilling, construction of a Rare Earth Research and Processing Centre, and completion of a Definitive Feasibility Study targeted for June 2026. The company remains on track for a Final Investment Decision in the third quarter of 2026 and construction commencement in the second half of the year.
Managing Director Rafael Moreno emphasised the significance of the PL, stating it "materially de-risks the Project and confirms Colossus as one of the most advanced ionic clay rare earth developments globally," highlighting the combination of regulatory certainty, funding momentum, and world-class resource quality now underpinning the project.
Bottom Line?
With the Preliminary License secured, Viridis is poised to accelerate development, but the path to full production hinges on upcoming licensing and financing milestones.
Questions in the middle?
- How will Viridis navigate the Installation License process and potential regulatory challenges?
- What are the prospects for expanding high-grade resources within the newly acquired tenements?
- How will global rare earth market dynamics influence offtake agreements and project financing?
