Meteoric Resources NL (MEI) has unveiled the findings of its Definitive Feasibility Study for the Caldeira rare earth project in Brazil, outlining a pathway to large-scale production of essential magnetic materials. The study projects an initial capital expenditure of US$498 million, including a 10% contingency, to establish a mine and processing facility. Financial projections indicate a post-tax Net Present Value of US$2.7 billion and a 47% internal rate of return based on forecast pricing.

The development plan centres on a significant resource base, with the study incorporating an updated Ore Reserve of 151 million tonnes grading 3,524ppm total rare earth oxides. This represents a 3.4% increase in tonnage compared to the 146Mt reserve reported just two weeks earlier on July 16, 2026. The current mine schedule supports an operation exceeding 20 years, with more than 80% of the project's tenure excluded from the current plan, leaving significant room for future expansions and life-of-mine extensions.

"The Caldeira Project DFS is a comprehensive assessment of the technical, commercial and financial fundamentals required to support a formal investment decision. The DFS confirms Caldeira as a low capital intensive, low operating cost, long life asset containing abundant light and heavy magnetic rare earth elements essential to permanent magnet production."

"The DFS demonstrates the Project's ability to generate strong economic returns while maintaining resilience across a range of market conditions."

— Stuart Gale, Managing Director and CEO

Technical confidence in the project is supported by an extensive data set, including over 90,000 metres of drilling and more than 55,500 assays. The metallurgical process design benefited from three years of testwork with the Australian Nuclear Science and Technology Organisation and seven months of continuous pilot plant operations. The processing facility is designed for an initial 6.0Mtpa throughput, with magnetic rare earth recoveries estimated at 71%. The engineering work, coordinated by Ausenco, has been delivered to AACE Class 3 accuracy.

The company is now moving toward the final stages of project readiness. Having already secured a Preliminary License, Meteoric anticipates receiving the Construction License in the fourth quarter of 2026. Management is actively engaging with private sector groups and government funding agencies to finalize project financing and offtake agreements. A formal investment decision remains conditional on the successful acquisition of the construction license and the completion of these financing arrangements.

With the feasibility study complete, the company aims to position the project as a long-term supplier of light and heavy rare earth elements for global supply chains, specifically targeting the demand from permanent magnet producers. The project is expected to create approximately 1,200 jobs during the construction phase, transitioning to 520 permanent roles once the site enters the operational stage. Future workstreams are already considering the feasibility of downstream separation facilities in Brazil to add further value to the mixed rare earth carbonate product.

Read the full announcement: Caldeira DFS Confirms Confidence in Project Fundamentals