According to a report by BNAmericas, data from the Brazilian Mining Association (Ibram) shows that due to heightened geopolitical tensions caused by rare earths, investments in Brazil's rare earth projects are expected to reach $2.17 billion during 2025-29, a 49% increase compared to the estimated investments for 2024-28.
Some analysts believe that statements by US President Trump regarding control over Greenland and efforts to sign a mineral agreement with Ukraine are essentially related to rare earths, as rare earths are critical for manufacturing high-tech products, magnets, batteries, motors, and other items.
Although the share is small compared to the $70 billion in mining investments during the same period, rare earths have become the fastest-growing sector in terms of investment during this time, driven by increased investor interest.
"Rare earth investments have profound geopolitical implications," said José Ricardo Pisani, a mining investment partner at Brazil's Prisma Capital. "This opens the door for Brazil to enter the rare earth market, as Brazil holds the world's second-largest rare earth reserves."
Prisma Capital is considering acquiring domestic mining assets in Brazil. The company manages 22 billion reais ($3.8 billion) in capital, investing in sectors such as oil and gas, infrastructure, and energy.
"However, it is important to note that despite Brazil's significant rare earth reserves, they are largely undeveloped. Currently, Brazil has only one operational rare earth project, the Mineração Serra Verde mine in Goiás state, while other projects are just beginning," Pisani added.
"Nevertheless, Brazil's main rare earth development projects are located in parts of Goiás, Minas Gerais, and Bahia states," he said.
Currently, Brazil's fastest-progressing rare earth projects are located in Minas Gerais state, mostly controlled by Australian junior mining companies.
Colossus/Viridis Mining
Following the completion of a preliminary study, Australian exploration company Viridis Mining announced plans to invest $287 million in the construction of the Colossus rare earth mine. The mine is located in Poços de Caldas, Minas Gerais state.
The project aims to establish a mining and production facility capable of processing 5 million mt of rare earth ore annually over a 20-year mine life.
"The preliminary study confirms that Colossus is one of the world's largest and most economically valuable rare earth development projects, with world-class resource quality, high concentrations of magnetic rare earth oxides, and unique beneficiation properties. Rare earths are critical for global energy transition, defense applications, and modern technologies, but assessing the true value of rare earth projects remains complex," said Rafael Moreno, the company's CEO, in a statement.
The company added that it is negotiating project financing and underwriting agreements.
Araxá/St. George Mining
Australian-listed exploration company St. George Mining is developing the Araxá niobium-rare earth mine, also located in Minas Gerais state.
Earlier this month, St. George Mining announced an agreement to raise A$8 million ($5 million), which will be paid to a private equity fund. The fund aims to raise A$20 million for the Araxá rare earth project. Last year, St. George Mining acquired the Araxá rare earth project from Itafos Araxá Mineração e Fertilizantes.
St. George Mining's CEO, John Prineas, stated in an interview that the company plans to invest $150-300 million in the construction of the Araxá rare earth mine.
Caldeira/Meteoric Resources
Australian junior mining company Meteoric Resources is advancing the exploration and development of the Caldeira rare earth mine, located near Poços de Caldas in Minas Gerais state.
According to the company's recent presentation, under the base case scenario, an investment of $297 million is required to mine and process 5 million mt of ore annually.
The company emphasized that rare earth projects can "receive strong support in terms of government debt and aid."
Carina Module/Aclara Resources
In December 2024, Canadian-listed company Aclara Resources announced that it had raised $25 million through private financing, as part of its efforts to fund the development of its Carina rare earth project in Goiás state.
During this financing round, several companies subscribed to Aclara's shares, including Chilean mining company CAP, UK-based Hochschild Mining, and New Hartsdale Capital, indirectly owned and controlled by Aclara's chairman Eduardo.
In January, Aclara appointed Murilo Nagato as the manager of its wholly-owned Brazilian subsidiary, Aclara Resources Mineracao.
The Carina project aims to produce magnetic rare earth elements critical for energy transition technologies.
Over its 22-year mine life, the project is expected to produce an annual average of 191 mt of dysprosium-terbium and 1,350 mt of Pr-Nd, which are essential for manufacturing high-performance magnets used in electric vehicles and renewable energy technologies.
The Carina project requires an initial investment of $599 million. Currently, the project is in the pre-feasibility study phase, with Hatch providing engineering consultancy. In January, the company announced that the project is expected to commence production in 2028.
Terra Brasil
According to local media reports, miner Terra Brasil has appointed Genial Investimentos as its exclusive financial advisor to extract phosphorus, potassium, and rare earths from the Olegário project, located in north-west Minas Gerais state.
The planned investment is 2.4 billion reais.
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