PERTH, Australia, Sept. 3, 2026 /PRNewswire/ -- Lindian Resources Limited ("Lindian" or the "Company") (ASX: LIN) is pleased to announce that it has executed a Technology and Engineering Services Agreement and a long-term binding Offtake Agreement, for the development of an Oxide Separation Facility with Carester SAS ("Carester").
Carester is a leading global rare earth processing and separation specialist. Together with Tetra Tech Coffey ("Tetra Tech"), Carester will advance a Definitive Feasibility Study ("DFS") for a new 8,000 tonne per annum REO nameplate capacity solvent extraction and oxide separation facility ("SX Facility") at Stepnogorsk, Kazakhstan, targeted for completion in Q4 2026.
Lindian and Carester have also executed a long-term Offtake Agreement for up to 20 years (10 years and 5 + 5-year extension option) for both a Mixed Heavy Rare Earths compound ("SEGH") and right of first refusal ("RoFR") for Mixed Heavy Rare Earths Carbonate ("MHREC"). Heavy rare earths product will be supplied to the Caremag Refinery in Lacq, France, which has secured significant French and Japanese government funding.
The Caremag Refinery is a JV development between the Japan Organization for Metals and Energy Security ("JOGMEC"), Iwatani Corporation ("Iwatani") and Carester. MHREC will be supplied from Lindian's MREC Processing Facility in Kazakhstan ("CLP" or "MREC Facility" or "HydrometallurgicalPlant"). SEGH product will be produced alongside separated Neodymium ("Nd"), Praseodymium ("Pr") oxides.
HIGHLIGHTS:
- 8,000tpa REO SX facility: DFS underway with Carester and Tetra Tech for a large-scale solvent extraction and oxide separation facility at Stepnogorsk, Kazakhstan, DFS completion by end of 2026[1].
- Binding long-term offtake agreement for 70% SEGH volumes (plus MHREC RoFR): initial 10-year term with two further five-year extension options. Carester to purchase 70% of SEGH production and RoFR over 70% of MHREC production from SARECO.
- Higher payabilities with MHREC and SEGH: pricing linked to the Carester Realised Price and tied to any government floor price (France/Europe, US or Japan) provided for Magnet Rare Earth Oxides ("MREO") and yttrium ("Y") produced at the Caremag Facility.
- High-value, divergent market prices: Western forecasts for Dy, Tb and Y at US$541/kg, US$1,988/kg, US$383/kg[2] respectively compared to current AMI spot (US$249/kg, US$1,127/kg and ~US$30/kg).[3]
- Multiple higher-value revenue streams: Lindian's integrated platform provides exposure to Monazite Concentrate, MREC, SEGH and separated MREOs, including high-value NdPr, dysprosium ("Dy"), terbium ("Tb") and yttrium ("Y").
- Mine-to-Oxide vertical integration: creates a pathway from premium Kangankunde Monazite Concentrate through SARECO hydrometallurgical processing into magnet-quality NdPr oxide and SEGH Carbonate.
- Strong Kazakhstan Government support: the 8,000tpa REO separation project has been recognised as strategically important to Kazakhstan's downstream rare earth ambitions, with the Ministry of Industry and Construction committing its support for development.
- Potentially attractive competitive cost base: the Stepnogorsk industrial complex provides existing power, gas, water, rail, reagent infrastructure, skilled labour and local sulphuric acid supply, providing significant potential brownfield capital and operating cost advantages. Two warehouses totaling ~15,500m² and additional buildings, structures and land parcels secured as part of SARECO transaction.
- SX Facility will be funded internally: cash flows from Kangankunde and SARECO operations (first production Q4 2026) together with FYE closing cash at bank and undrawn Nico facilities of A$125m[4] .
- Scalable multi-feed processing hub: the SX Facility is designed to receive SARECO Product Liquor Solution ("PLS") and compatible third-party MREC, while Lindian continues to evaluate multiple additional Kazakhstan rare earth feed sources. SX Facility ~1.5x SARECO facility for potential expansion and third party feedstock.
- Strong demand from end users for SARECO MHREC, SEGH and REOs from SX Facility: demand from additional strategic parties, OEMs and rare earth permanent magnet manufacturers.
[1] The REO nameplate capacity for the SX Facility relates to the potential processing capacity of the SX Facility only and is not a projection or forecast of the amount of minerals to be extracted from the Company's projects. Investors seeking the Company's production targets should refer to the Company's feasibility study dated 1 July 2024. |
[2] Refer CRU Special Report - ASX announcement (NTU) dated15 September 2025, Dy/Tb forecast prices: Adamas Intelligence - ASX:BRE dated 18 August 2026, Yttrium forecast price (Petra estimates). |
[3] Historical/current spot prices Bloomberg / Asian Metal Index (AMI). |
[4] Please see LIN ASX Announcement 'Quarterly Activities Report' dated 30 July 2026. |
The proposed SX Facility represents the next major step in Lindian's downstream strategy and is being designed to produce magnet-quality NdPr oxide and SEGH Carbonate, extending Lindian's participation beyond concentrate and mixed carbonate production into separated, higher-value magnet rare earth products.
Lindian is also actively evaluating multiple additional rare earth feed sources within Kazakhstan to support increased utilisation and future expansion of SARECO and the proposed 8,000tpa REO SX Facility.
INVESTOR BRIEFING WEBCAST:
Lindian will host an investor webcast and briefing on Thursday, 3 September 2026 at 2:00pm Sydney time, where Executive Chairman, Robert Martin and Directors, Zac Komur and Teck Lim will present an overview of the Carester strategic partnership for 8,000tpa REO SX Facility, DFS, long-term supply agreement, and Lindian's mine-to-oxide rare earth strategy. The briefing will be webcast and accessible online at:
https://ccmediaframe.com/?id=a5KJfZ0G
Lindian's Executive Chairman, Robert Martin, commented: "The agreement with Carester represents another significant step in Lindian's strategy to move further downstream to expand our markets and to capture more of the value from the rare earths that we produce. Following our acquisition of 100% of the SARECO MREC facility, we now have an established processing platform from which we can produce mixed rare earth concentrate and mixed rare earth carbonates as we move towards the realisation of producing separated oxides.
"Carester brings both world-class separation expertise and a long-term route to market for our heavy rare earth production. Its Caremag facility is backed by €216 million of French and Japanese funding and is targeting approximately 15% of global dysprosium and terbium oxide production, demonstrating the strategic importance of the supply chain that we are building.
"We have stage 1 of Kangankunde on track for commissioning in November this year, our SARECO preventative maintenance programs are now under way for full commissioning in October this year, Kangankunde stage 2 DFS and the DFS for the oxide facility both also due in December this year which in turn is positioning Lindian to be one of the few truly vertically integrated mine to separated oxides producers globally".
Carester's President, Frédéric Carencotte, commented:
"This strategic partnership marks another step in Carester's strong commitment to supporting the development of a secure and sustainable diversified rare earth industry. Lindian's established SARECO processing platform in Kazakhstan, combined with our separation technology will provide a long-term MHREC and SEGH feedstock security for our French plant and demonstrates how close industrial cooperation can reinforce the critical raw materials value chain. The Aktau and HREE feedstock processed at SARECO will provide critical feed for production of DyTb oxides for high-performance permanent magnets".
Statement from Ministry of Industry and Construction, Kazakhstan:
"Lindian's Rare Earth Oxides Separation Project represents an important next stage in the development of rare earth production in Kazakhstan, creating additional value within the country by combining Carester's specialist rare earth separation expertise with Kazakhstan's established hydrometallurgical capabilities.
The project has the potential to establish an important position for Kazakhstan in the global rare earth supply chain, connecting resources, processing capabilities and markets across the globe.
The Rare Earth Oxides Separation Project will also bring Kazakhstan closer to its ambition of becoming a significant producer of permanent magnet materials, which are increasingly critical to artificial intelligence, robotics, e-mobility and renewable energy.
Given the strategic significance of the project, the Ministry of Industry and Construction will provide the necessary support in Kazakhstan to facilitate its successful development."
Media Contact:
Hannah Murphy
hannah.murphy@lindianresources.com.au
+61422858131
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