USA Rare Earth (Nasdaq: USAR) announced on Nov. 9, 2026 that it has begun shipping Mixed Rare Earth Carbonate (MREC) from Brazil to US SIIE, LLC, a special purpose vehicle funded by the U.S. Government, under a 15-year, 100% take-or-pay offtake agreement. The company says it began receiving payments in November. Price floors, a government-backed buyer and physical cargoes together turn a non-China heavy rare earth supply chain from a policy aspiration into a commercial arrangement. The rest of today's news shows how much cost, financing and dependence on China still stand in the way.
USA Rare Earth: Shipping Under a Price Floor
USA Rare Earth said it commenced commercial-scale MREC shipments in October and made first sales in November, after completing Stage 1 of its optimization and expansion program at Serra Verde. MINING.COM reported that the company is expanding Serra Verde's operations in the state of Goiás in Brazil. The offtake agreement sets floor prices of $110/kg for each of neodymium and praseodymium, $575/kg for dysprosium and $2,050/kg for terbium. Above those floors, USA Rare Earth is paid 70% of the non-China market price in excess of the floor, less a fixed separation cost.
The company said recent non-China prices for dysprosium oxide and terbium oxide sit well above China prices, citing Argus and Benchmark Minerals Intelligence indices from late October. CEO Thras Moraitis said: "USA Rare Earth is the only scaled producer outside Asia of the vital heavy rare earths used in advanced permanent NdFeB magnets"
Stage 2 of the Serra Verde program is planned to be commissioned in Q3 2027, targeting a run-rate of about 6,400 tonnes per year of total rare earth oxide by year-end 2027. The company is also running a technoeconomic evaluation of a potential Phase II expansion that could double run-of-mine production from the same mineral deposit. MINING.COM added that the Brazilian federal government defined rare earths as a high-priority critical mineral in early November.
The company's own release flags a risk: the offtake counterparty could be insufficiently capitalized, including through failure to finalize definitive debt financing arrangements within the timeframes the agreement contemplates. MINING.COM reported that USA Rare Earth shares were up 10.8% to $8.78 apiece by mid-day Wednesday in New York, valuing the company at $3.1 billion.
Lithium Americas: Thacker Pass Budget Climbs
Lithium Americas (TSX, NYSE: LAC) raised the estimated cost of the first phase of its Thacker Pass lithium project in Nevada by 31% to $3.83 billion, citing rising labour, construction and logistics expenses, MINING.COM reported. The revised budget adds $895 million in capital costs and increases the funding requirement by about $995 million, the company said Wednesday. Higher labour installation rates for piping, steel and equipment accounted for $245 million of the increase, while tariffs and logistics added approximately $100 million.
Lithium Americas now expects to spend between $1.7 billion and $2 billion on Phase 1 in 2026, compared with a previous forecast of $1.3 billion to $1.6 billion. It expects to cover the extra funding through contributions to the joint venture and available reserves under a US Department of Energy loan. The company held about $1.3 billion in cash and restricted cash as of Sept. 30, including approximately $360 million at the Thacker Pass joint venture with General Motors.
Commercial production is still targeted for 2028, with Phase 1 designed to produce 40,000 tonnes of battery-grade lithium carbonate annually at full capacity. CEO Jonathan Evans said: "Phase 1 is advancing toward peak construction activity by year end 2026, with mechanical completion targeted for late 2027." Shares fell almost 8% to C$2.48 apiece in early Toronto trading, leaving a market capitalization of nearly C$544 million ($382 million).
Altius Minerals: Buying TNR Gold for Argentine Copper and Lithium Exposure
Altius Minerals (TSX: ALS) agreed to buy TNR Gold (TSXV: TNR) in a deal valued at C$122 million ($86 million). MINING.COM reported that the transaction boosts Altius' exposure to Argentine copper and lithium while spinning out an Alaska gold project. Each eligible TNR share would receive 0.0072 Altius shares and a quarter-share in a new company holding the Shotgun gold project. The package is estimated to be worth a 60% premium to TNR's Tuesday close.
TNR's effective interests include a 0.36% net smelter return royalty on Los Azules and 1.35% on Mariana, excluding portions held for another shareholder. The Mariana royalty carries a buyback provision: Ganfeng's subsidiary can purchase 0.9 percentage points of TNR's effective interest for $900,000, reducing it to 0.45%.
Los Azules is McEwen Copper's project in San Juan province. A 2025 feasibility study outlines average annual production of about 148,200 tonnes of copper cathode over 21 years, with cash costs of US$1.71 per lb. McEwen Copper secured a US$240-million loan in August. Full project financing and a final investment decision are targeted for mid-2027, with commercial production starting in 2030, subject to financing and approvals. Altius CEO Brian Dalton said Los Azules "offers the potential for decades of increased copper exposure within our portfolio."
Closing is expected around the first quarter of 2027. Shareholders controlling about 28% of TNR have signed support agreements, and a vote is expected in December.
