Ioneer has secured non-binding letters of intent with Korea’s KIND and Hyundai Engineering, marking a key step towards a Final Investment Decision for the Rhyolite Ridge lithium-boron project, targeting first production in 2029.
- Non-binding LOIs with KIND and Hyundai Engineering
- Rhyolite Ridge hosts North America’s only lithium-boron reserve
- Over $220 million invested and 70% engineering completed
- Final Investment Decision targeted for second half of 2026
- First commercial production expected in 2029
Strategic Korean Partnerships Propel Project Development
Ioneer Ltd (ASX:INR, NASDAQ: IONR) has taken a significant stride towards developing its Rhyolite Ridge lithium-boron project by securing non-binding letters of intent (LOIs) with the Korea Overseas Infrastructure & Urban Development Corporation (KIND) and Hyundai Engineering. These agreements aim to advance the project’s path to a Final Investment Decision (FID) in the latter half of 2026, with first commercial production slated for 2029.
KIND, a public institution under South Korea’s Ministry of Land, Infrastructure and Transport, specialises in overseas infrastructure investments, including critical minerals projects in the US. Hyundai Engineering, a major player in engineering, procurement and construction (EPC) across Asia, has also committed to participate in the project’s engineering and design phases.
Rhyolite Ridge’s Unique Strategic Position
Rhyolite Ridge stands out as the only known lithium-boron reserve in North America and one of just two globally. This rare combination of critical minerals is essential for electric vehicle batteries and other clean energy technologies. The project’s strategic value is underscored by its potential to bolster supply chains for both the United States and South Korea, two countries keen on securing domestic critical minerals sources.
Since 2016, Ioneer has invested over US$220 million in advancing Rhyolite Ridge, completing more than 70% of its advanced engineering work. The company recently updated project economics, halving processing time and boosting annual lithium hydroxide and boric acid outputs to 27,800 and 135,500 tonnes respectively.
Path to Final Investment Decision and Production
Ioneer is targeting a Final Investment Decision in the second half of 2026, with first commercial production expected by 2029. The project will process ore on-site, creating between 275 and 300 permanent jobs during operations. The LOIs with KIND and Hyundai Engineering are non-binding and do not guarantee investment or support, but they signal strong interest from key Korean institutions and contractors.
These developments build on Ioneer’s existing Korean partnerships, including a binding offtake agreement with EcoPro Innovation, a leading high-nickel cathode producer. The company also holds offtake agreements with Ford and a Toyota-Panasonic joint venture, reflecting growing demand for its lithium and boron products.
Engineering Expertise and Supply Chain Confidence
Hyundai Engineering’s involvement underscores confidence in the project’s permitting and construction readiness. The company emphasised Rhyolite Ridge’s standout metrics in permitting, long-term supply certainty, and engineering progress, highlighting its commitment to securing reliable critical minerals supply chains amid the global energy transition.
Ioneer’s Executive Chairman James Calaway described the LOIs as a reflection of the project’s sophistication and strategic importance, bringing the company closer to breaking ground on what he called a once-in-a-generation asset for US critical minerals production.
Bottom Line?
While the LOIs mark a pivotal step towards development, the non-binding nature means investors should watch for binding agreements and the Final Investment Decision expected later this year.
Questions in the middle?
- Will binding agreements with KIND and Hyundai Engineering materialise following the planned July MOUs?
- How will evolving global critical minerals demand impact Rhyolite Ridge’s financing and offtake arrangements?
- What are the key risks that could delay the Final Investment Decision or first production timeline?