TOYOTA Tsusho Corporation has been selected as the successful bidder by Japan Organisation for Metals and Energy Security (Jogmec) to join the Lofdal Heavy Rare Earths Project in Namibia as part of a strategic ownership partnership.
Toyota Tsusho is the global trading and industrial supply chain arm of the Toyota Group, and is one of Japan’s largest trading houses.
The company plays a central role in securing strategic materials for the automotive, energy transition and advanced technology sectors.
Toyota Tsusho also owns a Rare Earth Separation and Refinery facility in India, which has been operating for over 10 years.
Namibia Critical Metals, a Canada-based exploration company, owns a 95% interest in the Lofdal project, with the remaining 5% held for the benefit of historically disadvantaged Namibians.
The Canadian company says Toyota Tsusho’s introduction as a strategic partner further strengthens the industrial foundation of the Lofdal project and enhances its position as a future supplier of dysprosium and terbium – two of the most critical and supply-constrained rare earth elements required for high-performance permanent magnets.
Namibia Critical Metals president Darrin Campbell says: “We are extremely pleased to welcome Toyota Tsusho as a strategic partner in the Lofdal project through Jogmec’s public tender process.
“Toyota Tsusho is a globally respected leader in building supply chains for critical materials and advanced technologies and their participation represents a major strategic milestone for the Lofdal project.”
He says very few rare earth development projects globally benefit from the combination of government strategic support and industrial supply chain leadership that this partnership represents, adding that this strengthens Lofdal’s pathway to become a long-term supplier of critical heavy rare earth elements to global markets.
“Toyota Tsusho brings global supply chain capabilities, downstream market access and deep experience in critical mineral development.
The company operates rare earth processing and manufacturing facilities in India,” Namibia Critical Metals says in a statement.
It says the participation of both Jogmec and Toyota Tsusho strengthens Lofdal’s strategic alignment with the Japanese industry’s long-term requirements for secure heavy rare earth supply.
“The addition of a major industrial partner provides increased confidence in the project’s pathway towards development, financing and future commercialisation,” Namibia Critical Metals says, adding that the Lofdal project represents one of the most significant dysprosium and terbium rich deposits outside of China and is strategically positioned to support global magnet supply chains.
Toyota Tsusho says: “Toyota Tsusho is pleased to join the Lofdal Heavy Rare Earths Project together with Jogmec and Namibia Critical Metals. We look forward to supporting the development of the project to secure a sustainable supply for the Japanese Rare Earth Magnet supply-chain.”
Jogmec is a Japanese government independent administrative agency which seeks to secure stable resource supplies for Japan.
The terms of the Jogmec agreement with the company stipulate that Jogmec provides C$3 million (about N$37 million) in Term 1 and C$7 million (N$86.4 million) in Term 2 to earn a 40% interest in the Lofdal project.
Term 3 calls for a further C$10 million (N$123.3 million) of expenditures to earn an additional 10% interest. Jogmec can also purchase another 1% for C$5 million (N$61.6 million) and has first right of refusal to fully fund the project through to commercial production and to purchase all production at market prices. – email: matthew@namibian.com.na
In an age of information overload, Sunrise is The Namibian’s morning briefing, delivered at 6h00 from Monday to Friday. It offers a curated rundown of the most important stories from the past 24 hours – occasionally with a light, witty touch. It’s an essential way to stay informed. Subscribe and join our newsletter community.
The Namibian uses AI tools to assist with improved quality, accuracy and efficiency, while maintaining editorial oversight and journalistic integrity.
Stay informed with The Namibian – your source for credible journalism. Get in-depth reporting and opinions for
only N$85 a month. Invest in journalism, invest in democracy –
Subscribe Now!
