Lindian Secures Full Ownership of Kazakhstan Rare Earths Facility

Lindian Takes Full Ownership of Strategic Kazakhstan Processing Facility

Lindian Resources (ASX:LIN) has moved decisively to consolidate its downstream rare earths processing capabilities by acquiring the remaining 49% interest in the SARECO Mixed Rare Earths Carbonate (MREC) hydrometallurgical facility in Stepnogorsk, Kazakhstan, for up to US$20 million. This acquisition elevates Lindian’s stake from 51% to 100%, granting it full operational and marketing control over the only commercial-scale MREC processing plant outside of China, MP Materials, Serra Verde, and Lynas.

The SARECO facility is fully constructed and operational, boasting established cracking, leaching, and precipitation circuits supported by utilities and reagent infrastructure. Its location within an industrial precinct offers ready access to power, gas, water, sulphuric acid, skilled labour, and rail logistics. The acquisition also includes two additional warehouses totaling approximately 15,500 square metres and extra land parcels, expanding Lindian’s footprint and capacity for future downstream growth.

Accelerated Pathway to Production with Strong Metallurgical Credentials

Lindian is targeting first processing at SARECO in Q4 2026, aligned with the Kangankunde Rare Earths Project’s anticipated first production. The company has validated the processing flowsheet through independent testwork by ANSTO, which confirmed a 96% overall recovery of neodymium and praseodymium (NdPr) from Kangankunde concentrate to MREC, with the final product certified as non-radioactive under IAEA standards. This metallurgical performance underpins Lindian’s confidence in the facility’s capability and its strategy to integrate mine-to-MREC production.

Moreover, SARECO benefits from a low-cost sulphuric acid supply arrangement with the nearby Stepnogorsk Sulphuric Acid Plant, enhancing processing economics. Lindian is also exploring alternative in-country feedstock sources to potentially accelerate initial processing ahead of Kangankunde’s ramp-up.

Fully Funded and Strategically Positioned Amid Global Demand

The acquisition follows a recent A$100 million institutional capital raising, which leaves Lindian fully funded to progress Kangankunde through to first cash flow and advance SARECO into production. Given the comparative capital cost of building a new MREC facility exceeds A$500 million and involves multi-year development, Lindian’s move to acquire an existing operational plant represents a significant capital and timeline advantage.

Interest from strategic end-users in the United States, Europe, and Japan underscores the importance of diversified Western rare earth supply chains. Lindian’s full ownership and control over SARECO’s production and marketing position it well to capitalise on this demand.

Kangankunde Project Compliance Confirmed Amid Media Inaccuracies

Separately, Lindian has addressed recent misleading media reports about the Kangankunde Rare Earths Project in Malawi. The company confirmed that its wholly owned subsidiary, Rift Valley Resource Developments Ltd, holds a valid and in-good-standing medium-scale mining licence (MML0290/22). Government inspections found no evidence of unauthorised mining or illegal extraction, and the Environmental and Social Impact Assessment (ESIA) has been approved by Malawi’s Environment Protection Authority.

The Malawi Minister of Mining clarified in the National Assembly that mineral sample exports for testing were legally permitted and that Kangankunde’s operations involve beneficiation within Malawi rather than raw mineral exports. Lindian maintains positive engagement with Malawian government bodies and remains on track for first production in Q4 2026, while progressing towards a stage two Final Investment Decision.

Integrated Strategy Advances Rare Earths Supply Chain Ambitions

Lindian’s Executive Chairman, Robert Martin, emphasised that full ownership of SARECO provides a capital-efficient route into downstream processing, with substantial capacity for future expansion. The company’s integrated mine-to-MREC strategy benefits from strong technical due diligence, robust metallurgical validation, and strategic positioning within Eurasian trade corridors.

With Kangankunde construction well advanced and SARECO acquisition completed, Lindian is poised to become a significant player in global rare earths supply, leveraging its assets in Malawi, Kazakhstan, and beyond.