Osmond Signs Deal with Técnicas Reunidas to Launch EU Rare Earth Production
Osmond Resources has partnered with Técnicas Reunidas to establish the European Union’s first vertically integrated rare earth production facility, aiming to reduce reliance on imports and boost local supply chains.
- Collaboration agreement signed between Osmond Resources and Técnicas Reunidas
- Targeting EU’s first vertically integrated production of Mixed Rare Earth Carbonates and Oxides
- Focus on rare earth bearing monazite sourced from Osmond’s Spanish projects
- Leveraging EU funding opportunities under the Horizon Program
- Técnicas Reunidas brings proprietary RARETECH processing technology and engineering expertise
Strategic Partnership to Build EU Rare Earth Supply Chain
Osmond Resources Limited (ASX:OSM) has taken a significant step towards establishing a European rare earths supply chain by signing a collaboration agreement with Spanish engineering giant Técnicas Reunidas (TR). This partnership aims to deliver the European Union’s first vertically integrated production facility for Mixed Rare Earth Carbonates (MREC) and Mixed Rare Earth Oxides (MREO), critical components in permanent magnets and other advanced technologies.
The collaboration aligns closely with the EU’s strategic goal of reducing dependency on imports for critical minerals, a priority underscored by the European Commission’s Horizon Program. Técnicas Reunidas, a leader in industrial plant engineering with a track record spanning over 2,600 projects worldwide, will provide its proprietary RARETECH technology and engineering, procurement, and construction (EPC) services to Osmond, which will own the production facility.
Leveraging Spanish Mineral Assets and EU Support
Osmond’s focus is on rare earth bearing monazite sourced primarily from its Orión EU Critical Minerals Project in Jaén Province, Andalucía, southern Spain. This project covers a substantial 228 square kilometres and hosts a siliciclastic geological system rich in critical minerals such as rutile, zircon, hafnium, and rare earth elements. Recent bulk sampling and drilling have confirmed promising grades of rare earth oxides, supporting Osmond’s ambition to become a significant global producer.
The partnership will also seek to tap into Spanish and broader EU funding opportunities to accelerate development. This financial backing is crucial to fast-track the construction and commissioning of the MREC facility, which will be a cornerstone in establishing a fully integrated European rare earths value chain.
Técnicas Reunidas’ Role in the PERMANET Project
Técnicas Reunidas is the lead company for the PERMANET Project, an EU initiative aimed at creating a complete value chain for permanent magnet production within Europe. Their RARETECH technology, already supplying rare earth concentrates in carbonate form, will be instrumental in processing monazite into market-ready products. With nearly 14,000 employees and revenues exceeding €4.4 billion in 2024, TR brings substantial industrial capacity and expertise to the collaboration.
Broader Implications for EU Critical Minerals Independence
Osmond is also advancing its Iberian One Project in Segovia Province, targeting kaolinite and alunite mineralisation to supply alumina, potash, and graphite critical to the EU’s industrial base. Together, these projects and the collaboration with TR position Osmond as a key player in the EU’s push for critical minerals self-sufficiency, a strategic imperative amid global supply chain uncertainties.
While the partnership marks a major milestone, details on funding timelines and specific production targets remain in development. The success of this venture will depend on navigating technical challenges inherent in rare earth processing and securing regulatory approvals within the EU’s evolving critical minerals framework.
Bottom Line?
Osmond and Técnicas Reunidas’ alliance could redefine Europe’s rare earth landscape, but execution risks and funding hurdles lie ahead.
Questions in the middle?
- What are the projected timelines for the MREC facility’s construction and production start?
- How will EU funding mechanisms influence the project's financial viability and scale?
- What technical challenges might arise in deploying RARETECH technology at commercial scale?
