Harena Rare Earths seeks U.S. support for Madagascar mining project

Harena Rare Earths is seeking expanded financial support from the United States to advance its $142 million Ampasindava rare earths project in Madagascar. The U.S. International Development Finance Corporation (DFC) has already committed $4.84 million to the project, marking its first mining investment in the country.

The initial funding is designated for technical, environmental, and regulatory preparatory work, including social studies, permitting, and the construction of a pilot processing facility to test mineral extraction from clays. This preliminary phase is intended to reduce risks before a final investment decision, which is expected in 2027.

The project is of strategic interest to Washington as the United States seeks to diversify its supply of rare earths, which are essential for electric vehicles, wind turbines, advanced electronics, and defense equipment. Currently, China maintains a dominant position in the global extraction and refining of these minerals. Harena aims to begin concentrate production by mid-2028.