Business · Companies · 4 hrs ago
Viridis agrees to sell most planned rare earth output to Solvay
Viridis and Solvay signed a long-term supply deal for rare earth material from the Colossus project in Poços de Caldas, Brazil.
The project is expected to begin production in 2028, and the deal runs through the end of 2034.
Solvay will buy minimum volumes equal to about 70% of planned output, according to Viridis.
Minimum prices for key magnetic elements mean the contracted volumes could support at least US$915 million in revenue from 2029 to 2034, if the agreed volumes are delivered.
The deal gives the project a major buyer and reduces a commercial risk that could affect its financing and construction.
The companies are also discussing technical support and licensing so Viridis can make more refined, higher-value material in Brazil.
Viridis says the agreement should help complete debt financing for the project.
Viridis Mining and Minerals has signed a long-term supply agreement with Solvay for most of the planned rare earth output from its Colossus project in Poços de Caldas, Brazil.
The agreement covers minimum purchases of mixed rare earth carbonate from the start of production, planned for 2028, through the end of 2034.
The contracted minimum volumes represent about 70% of projected production.
Viridis estimates the minimum volumes and prices could support about US$915 million in revenue between 2029 and 2034, provided the agreed volumes are delivered.
Solvay has a right of first offer on the project’s remaining output through 2034, but is not required to buy beyond its minimum commitments.
The companies are also discussing a licensing and technical services agreement to support production of more refined material in Brazil.
- Who
- Viridis Mining and Minerals and Solvay.
- What
- They signed a long-term supply agreement covering minimum purchases of mixed rare earth carbonate. It covers about 70% of the project’s projected output.
- When
- Announced on November 4, 2026. Purchases are planned from production start in 2028 through the end of 2034.
- Where
- The Colossus project in Poços de Caldas, Minas Gerais, Brazil.
- Why
- The agreement is intended to provide a market for most planned output, reduce commercial risk and support project financing and construction.
This story does not have two clearly opposing sides.
Viridis announced a binding long-term supply agreement with Solvay.
Production at the Colossus project is planned to begin.
Viridis estimates the contracted minimum volumes and prices could support about US$915 million in revenue, if the agreed volumes are delivered.
The agreement’s minimum purchase period ends, and Solvay’s right of first offer on remaining output runs through this date.
- Project
- Colossus, Poços de Caldas, Minas Gerais, Brazil
- Contracted share
- About 70% of projected production
- Product
- Mixed rare earth carbonate (MREC)
- Planned production start
- 2028
- Estimated minimum revenue
- About US$915 million, 2029–2034
- Contract end
- End of 2034