BNDES Boosts Pioneering Rare Earths Project in Minas Gerais, Strengthening Strategic Minerals Supply Chain.
BNDES (National Bank for Economic and Social Development) has taken a significant step in developing strategic minerals in Brazil by approving financing of R$77.5 million for Viridis Mineração. The amount will be allocated to the implementation of an innovative research and processing center for rare earths in the city of Poços de Caldas, in Minas Gerais. The initiative, part of the BNDES Mais Inovação program, aims to solidify the country’s position in the production of these essential elements for the energy transition and decarbonization.
The project represents a milestone in the exploration of Brazilian mineral resources, focusing on cutting-edge technologies. The creation of a pilot plant is one of the center’s pillars, enabling the development of advanced techniques for processing ionic clays, a type of promising geological deposit found in the Poços de Caldas region. This innovative approach positions Brazil at the forefront of sustainable rare earth exploration, elements crucial for manufacturing clean and high-performance technologies.
Pioneering Ionic Clay Exploration
The future facility in Poços de Caldas will be the first stage of the ambitious Colossus Project by Viridis Mineração. The pilot plant will play a fundamental role in validating and testing the technologies that will subsequently be employed in the project’s definitive industrial unit. The wholly-owned subsidiary of Australia’s Viridis Mining and Minerals holds the exploration and mining rights for the Colossus IAC (Ionic Adsorption Clay) Project, which focuses on ionic clay deposits rich in valuable rare earths such as dysprosium, terbium, neodymium, and praseodymium.
Strengthening the Strategic Minerals Production Chain
Viridis Mineração’s project was carefully selected in a joint public call promoted by BNDES and Finep (Funding Agency for Studies and Projects) in 2025. The notice aimed to foster initiatives that would strengthen the production chain of strategic minerals, essential for driving the energy transition and global decarbonization efforts. This R$77.5 million financing, with a 16-year term and a cost indicated by the company at approximately 4.8%, demonstrates BNDES’s commitment to supporting high-impact projects.
Viridis Mineração highlighted that it has already secured a significant investment of US$154 million in its own resources for the development of the Colossus Project, underscoring the venture’s solidity and investment attraction potential. The company projects the start of construction for the industrial plant in the first quarter of 2027, with the expectation of commencing operations by the end of 2028.
The approval of BNDES financing for the rare earths center in Poços de Caldas represents a strategic advancement for Brazil. By investing in the research, development, and processing of strategic minerals, the country strengthens its position in the global supply chain for materials indispensable to clean technologies and future innovations. The Colossus Project, with its pioneering approach to ionic clays, signals a promising future for sustainable mineral exploration and Brazilian technological development.
