Solvay and Viridis sign letter of intent (LOI) for rare earth materials sourcing

Solvay today announced it has entered into a Letter of Intent (LOI) with Viridis Mining and Minerals to secure a strategic supply of rare earth materials by 2028, reinforcing the resilience and diversification of critical materials supply chains. Both companies will now work toward finalizing a definitive sourcing agreement.  

Under the terms of the LOI, Viridis is expected to supply critical rare earth feedstocks from Brazil to Solvay’s La Rochelle plant in France. Solvay will provide a recognised rare earth separation expertise and processing technology to accelerate feedstock supply from Brazil. This collaboration would leverage Solvay’s advanced processing, separation and formulation capabilities to refine rare earth raw materials into the individual high-purity oxide elements essential for electric vehicle motors, renewable energy, advanced electronics and defense systems.  

The feedstock includes key rare earths for permanent magnets, notably neodymium (Nd), praseodymium (Pr), dysprosium (Dy) and terbium (Tb), supporting increasing global demand. It contains an important distribution of additional heavy rare earths, such as samarium (Sm), gadolinium (Gd) and yttrium (Y), used in critical advanced technology sectors such as automotive, electronics, medical and aerospace applications.

Solvay’s La Rochelle facility is one of the largest rare earth separation plants outside China and one of the few sites worldwide capable of processing all rare earth elements at industrial scale. The partnership supports Solvay’s broader ambition to scale up production capacity and contribute to the development of a more resilient rare earth value chain.  

The contemplated transaction remains subject to definitive documentation, compliance with applicable requirements and other customary conditions. Accordingly, there can be no assurance that the transaction will be completed or as to its final terms.