Brazil's BNDES Approves R$77.5 Million Rare Earth Financing for Viridis

en.Wedoany.com Reported - The Brazilian National Bank for Economic and Social Development (BNDES) has approved R$77.5 million in financing for Viridis Mineração, equivalent to more than US$15 million at the September 10, 2026 exchange rate, with funds coming from the bank's Mais Inovação (More Innovation) program. The funds will be used to create the Rare Earth Research and Processing Center (CPTR).

According to the plan, the CPTR will produce mixed rare earth carbonate at pilot scale and simultaneously conduct research to develop specific metallurgical technologies and optimize processing routes for ion-adsorption clays in the Poços de Caldas region of Minas Gerais.

Mixed rare earth carbonate is an intermediate product obtained after processing minerals containing rare earth elements; ion-adsorption clay is a geological deposit in which rare earth elements exist in adsorbed ionic form.

The CPTR is the first phase of Viridis Mineração's Colossus project, encompassing a pilot plant and subsequent activities focused on technology development, technical validation, and verification of rare earth processing routes. The pilot plant is designed to simulate the conditions of the Colossus project's industrial plant, which is scheduled to begin implementation in the first quarter of 2027 and should be operational by the end of 2028.

BNDES President Aloizio Mercadante stated that this is an investment aimed at promoting domestic rare earth element production, helping to position Brazil as a strategic global supplier of critical minerals needed for the energy transition. He said the project means supporting the innovation ecosystem and domestic supply chain in the Poços de Caldas region and creating skilled jobs.

Viridis CEO Rafael Moreno said the 16-month financing arrangement represents a highly attractive opportunity and demonstrates that Brazil provides support for strategic projects such as Colossus.

Moreno stated that when Viridis was selected last year in a call for proposals launched by BNDES and Finep, the goal was to translate that support into concrete resources for developing rare earth-related operations in Brazil; the approval of this R$77.5 million financing marks important progress toward that goal. Combined with the US$154 million in capital already raised, the company's financial position will be further strengthened, helping it continue to secure the remaining priority financing needed to make the Colossus project viable.

Viridis Mineração's project was selected in a public call for proposals launched by BNDES and Finep in 2025, aimed at funding projects related to the strategic mineral value chains needed for the energy transition and economic decarbonization. The list of selected projects can be found on the bank's website.