American Rare Earths Limited (ASX: ARR | OTCQX: ARRNF) has received approval for a substantial grant from the State of Wyoming, securing $10.7 million (US$7.1 million) in non-dilutive funding to advance its Cowboy State Mine at Halleck Creek.
The grant, approved as part of a Matching Funds arrangement, will be distributed over three years and is set to accelerate the development of the Halleck Creek project.
This funding will support various critical aspects of the project, including:
- Further exploration drilling and bulk sampling on state mineral leases
- Baseline environmental studies for state permitting
- Establishment of a pilot processing plant for the preconcentration of Halleck Creek ore
- Pre-feasibility studies and economic assessments
- Community impact assessments
The funding agreement, executed with the support of the Wyoming Energy Authority (WEA) and the University of Wyoming Energy Resources Council (ERC), highlights Wyoming’s commitment to fostering sustainable energy investments.
Richard Hudson, Chairman of American Rare Earths, expressed enthusiasm about the grant, stating that it underscores the technical and economic potential of the Cowboy State Mine at Halleck Creek.
He emphasised that the non-dilutive funding will accelerate exploration and development efforts, ensuring the company meets its project milestones.
Donald Swartz, CEO of American Rare Earths, noted that the support from Wyoming and the WEA represents technical validation of the project by industry experts.
He highlighted that this funding follows their recent project update and will be instrumental in meeting their objectives.
Rob Creager, Executive Director of Wyoming Energy Authority, commented on the state’s investment in the future of the energy industry, expressing anticipation for the insights this project could provide into potentially one of the largest deposits of rare earth materials in the United States.
The grant is contingent upon a 1:1 match of government and private dollars from American Rare Earths.
The company will provide technical reports detailing findings and future work recommendations to the WEA throughout the three-year term of the grant.
This significant funding boost is expected to expedite the development of the Cowboy State Mine, potentially positioning Wyoming as a key player in the U.S. rare earth elements sector.
