Critical Metals Corp Forms 50/50 JV for Rare Earth Processing in Saudi Arabia
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Globenewswire
- Joint Venture Framework: Critical Metals Corp has signed a non-binding term sheet with TQB to form a 50/50 joint venture aimed at constructing a rare earth processing facility in Saudi Arabia, directly expanding non-Chinese global processing capacity and enhancing supply chain security.
- Long-Term Offtake Agreement: The JV framework stipulates that 25% of the Tanbreez Project's rare earth concentrate production will be supplied to Saudi Arabia, ensuring a stable raw material supply for the U.S. defense industrial complex and supporting strategic defense supply chains.
- Capital-Efficient Structure: CRML will not issue equity or incur debt in connection with the JV, retaining a 50% ownership interest without capital expenditure obligations for the processing facility, thereby reducing commercial risks associated with the project.
- Advanced Product Production: The processing facility is expected to produce separated rare earth oxides and metals, catering to aerospace, defense, and high-performance industrial applications, further solidifying CRML's position in the critical minerals market.
Analyst Views on CRML
Wall Street analysts forecast CRML stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for CRML is 14.00 USD with a low forecast of 14.00 USD and a high forecast of 14.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Analyst Rating
1 Buy
0 Hold
0 Sell
Moderate Buy
Current: 17.925
Low
14.00
Averages
14.00
High
14.00
Current: 17.925
Low
14.00
Averages
14.00
High
14.00
About CRML
Critical Metals Corp. is a mining development company. The Company is focused on mining critical metals and minerals and producing strategic products essential to electrification and technologies for Europe and its partners. Its flagship Project, Tanbreez, consists of rare earth deposits and is located in Southern Greenland. The Wolfsberg Lithium Project is located 270 km southwest of Vienna, in Austria’s Carinthia region. The Wolfsberg Lithium Project is a fully permitted mine in Europe and is strategically located with access to established road and rail infrastructure. With its strategic asset portfolio, the Company supplies critical minerals essential for defense applications, the clean energy transition, and technologies.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
