Updated
Updated · Reuters · May 28
Viridis Opens Brazil Rare Earth Center, Targets 2028 Output for US and Europe
Updated
Updated · Reuters · May 28

Viridis Opens Brazil Rare Earth Center, Targets 2028 Output for US and Europe

2 articles · Updated · Reuters · May 28
  • Pocos de Caldas gained Viridis' new rare earth research and processing center on Thursday, a step toward steady-state production at its Colossus mine in Minas Gerais by end-2028.
  • The facility will produce the project's first mixed rare earth carbonate and process up to 100 kilograms of ore an hour, which CEO Rafael Moreno said should strengthen offtake talks.
  • Viridis is in advanced discussions with U.S. and European buyers and is excluding Chinese interest, arguing Western supply-chain diversification should deliver better pricing.
  • China still dominates the market with 60% of global mine output and more than 90% of refined rare earth production, a backdrop that has pushed Western governments to seek alternative supplies.
  • Colossus is expected to cost $360 million to $370 million, potentially rising to $400 million if lenders require extra working capital, with project financing targeted for the third quarter.
With China controlling 90% of refining, can a new Brazilian mine truly challenge its dominance?
Beyond mining, can the West fund the $60 billion refining capacity needed for a non-Chinese supply chain?
Is Brazil's rare earth boom a path to supply chain security or just a new geopolitical battleground?

Brazil’s Colossus Project: Building a 493 Million Tonne Rare Earth Supply Chain to Challenge China’s Dominance

Overview

Brazil has taken a major step in building its rare earth supply chain by inaugurating the Viridis Poços de Caldas processing facility. This pilot plant, with a capacity of 100 kg/h, is designed to gather essential data and refine processes, helping to overcome technical challenges that have troubled similar projects in the past. By serving as a foundation for larger ventures like the Colossus project, the facility provides valuable operational experience and de-risks future scale-up efforts. This strategic move sets the stage for Brazil’s growth as a key player in global rare earth production.

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