Maaden and MP Materials to establish Rare Earth Refining And Separation Facility

Saudi Arabian Mining Company (Maaden) announces that it has signed a binding term sheet with MP Materials Corp. (MP Materials) backed by the United States Department of War (DoW) to build and operate a rare earth refining and separation facility in the Kingdom.

This comes following the signing of the strategic framework for cooperation on securing uranium, metals, permanent magnets, and critical minerals supply chains signed between the United States and the Kingdom of Saudi Arabia this week in Washington D.C.

The agreement follows initial discussions between Maaden and MP Materials, announced earlier this year, to explore a potential rare-earth supply chain partnership. The facility, to be operated by Maaden with MP Materials’ industry-leading technical expertise, is being designed as a central hub forprocessing, refining, and separation of rare earth elements.

It will leverage Saudi and global feedstock to become an international anchor for value-added downstream processing and an important contributor to the development of a secure and globally integrated critical minerals ecosystem. Under the agreement, MP Materials and the DoW (through a joint venture) will hold an equity position targeted at 49% in the joint venture, with Maaden holding position of no less than 51%.

Bob Wilt, CEO, Maaden, said: “This JV is a significant step forward in the development of this important global sector, underpinned by the support of Saudi Arabia’s Ministry of Energy and the Ministry of Industry and Mineral Resources. I am proud of the role that Maaden plays as SaudiArabia’s national mining champion, and through our significant growth ambitions we will continue to develop this strategic sector as an integral pillar of the Kingdom’s economy.”

“We are honored that the U.S. government asked MP to partner on a project of this magnitude and importance for America and its allies,” said James Litinsky, Founder, Chairman & CEO of MP Materials. “By combining MP’s technical expertise with the strategic vision of the U.S. Department of War and Maaden’s capabilities and scale, the pieces are in place to fundamentally strengthen and diversify the supply chain.”

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