Hanau/Berlin (OTE) – VACUUMSCHMELZE (VAC), a global leader in the
production of rare earth
permanent magnets and Torngat Metals, a Quebec-based rare earths
development company, have signed a non-binding Memorandum of
Understanding (MOU) to pursue an offtake agreement for Torngat Metals
to supply VAC with long-term security of fully traceable and
responsibly produced separated rare earth oxides.
The MOU was signed in Berlin today by Yves Leduc, CEO of Torngat
Metals, and Erik Eschen, CEO of VAC, in the presence of Germany’s
Minister for Economic Affairs and Energy Katherina Reiche and
Canada’s Minister of Energy and Natural Resources Tim Hodgson. This
strategic move underscores Canada and Germany’s bilateral
collaboration in the area of critical minerals. Both countries are
seeking to address the global heavy rare earths crisis while
establishing a permanent magnet supply chain independent from China.
By joining forces with VAC, Torngat Metals is reinforcing its
position as a reliable partner within the permanent magnet supply
chain. Once in operation, the company’s Strange Lake project will be
uniquely positioned to ensure long-term supply security for the full
suite of light and heavy rare earth oxides needed for permanent
magnets.
”As the sole Western producer of sintered rare earth permanent
magnets, VAC is at the forefront of securing a diverse and resilient
supply chain for critical raw materials. The company is expanding our
global capacities and moving upstream into strip casting and metal
making, strengthening every stage of production. Ensuring reliable
access to terbium (Tb) and dysprosium (Dy) – elements essential to
high-performance magnets is the final step, and one that we are
achieving through our strategic partnership with Torngat. This
commitment is essential to reinforce VAC’s strategic position and
bolster the industrial base. In doing so also, we can enhance the
national security of our allied nations by ensuring continuous
availability of technology critical to our collective defense.” said
Erik Eschen, CEO of VAC.
“This MOU highlights our progress – not only in advancing project
development, but also in forging the partnerships needed to build a
resilient and diversified supply chain for rare earth permanent
magnets,” said Yves Leduc, CEO of Torngat Metals. “These critical
minerals are central to advanced clean energy technologies, and we
look forward to working with VAC to play a leading role in driving
the transition.”
“The partnership between Torngat Metals and VAC marks a
significant step forward in Canada’s efforts to build a secure and
sustainable supply chain for rare earth elements. By advancing
responsible development at Strange Lake and forging international
collaboration with a global leader like VAC, Torngat is helping to
position Canada as a key contributor to the permanent magnet supply
chain, and an energy and critical mineral superpower. This agreement
reflects our shared commitment with Germany to reduce reliance on
single-source supply chains and strengthen the resilience of critical
mineral access worldwide,” said Tim Hodgson, Canada’s Minister of
Energy and Natural Resources.
About Vacuumschmelze
VACUUMSCHMELZE (VAC) is a leading global producer of advanced
magnetic solutions, rare earth permanent magnets, and inductive
components. With extensive application know-how and 100 years of
experience in material science and product development, VAC designs
and manufactures mission critical solutions for a wide variety of
industries, including renewable energy, e-mobility, automotive,
industrial automation, medical, aerospace. VAC’s unique ability to
develop and manufacture from base elements through final products
enables us to provide customers optimal form factors and performance,
generating best in class efficient solutions in an environmentally
conscious manner. More information is available at
www.vacuumschmelze.com . VAC is a portfolio company of Ara Partners,
a global private equity firm that is decarbonizing the industrial
economy.
About Torngat Metals Ltd.
Torngat Metals is a private company based in Canada working to
develop the Strange Lake Rare Earth Project to responsibly supply
rare earth elements required for high-tech and low-carbon solutions.
With development activities in Quebec, Newfoundland, and Labrador,
the company aims to be a globally recognized supplier of light rare
earths and a global leader in solving the heavy rare earth supply
crisis for dysprosium and terbium. Leveraging robust partnerships
with Indigenous peoples and local communities, new approaches to
minimizing environmental impacts, and cutting-edge engineering,
Torngat Metals looks forward to playing a pivotal role in the global
transition to clean energy. Learn more at www.torngatmetals.com .
Digital press kit: http://www.ots.at/pressemappe/DE125764/aom