Viridis Mining grows rare earths stature with expanded Brazilian mine rights
- Doug Bright
- 2 hours ago
- 4 min read
Critical minerals explorer Viridis Mining and Minerals (ASX: VMM) is accelerating the development of its Colossus rare earths project in Brazil, with a strategic landholding expansion.
The news comes hot on the heels of the company’s recently announced milestone of a 200.6 million-tonne maiden ore reserve, with a 740 parts per million magnet rare earth oxide (MREO) grade, which will support a 40-year mine life.
Bolstered by a recent $11.5 million placement, the company’s unmatched ionic clay economics position it to ride a recent wave of critical minerals demand. The company’s share price has already quadrupled in the past three months. It closed at $1.25 a share yesterday.
Viridis’ latest expansion in the municipality of Poços de Caldas, in Brazil’s Minas Gerais state, has secured an additional 2503.6 hectares of prospective ground, bringing the company’s total landholding to 23,468ha in the world-class ionic adsorption clay rare earths district.
The expansion strengthens Viridis’ position to supply critical minerals vital for renewable energy technologies, from electric vehicle magnets to wind turbine components. The new tenements, which mostly lie next to existing licences, enhance the project’s scale and operational flexibility.
The Northern Concessions area, the heart of the Colossus production hub, has expanded by 46 per cent and incorporates new land with proven high-grade mineralisation.
Drilling results along the new boundaries include intercepts such as 52 metres at 2926ppm total rare earth oxides (TREO), with 4239ppm MREO over 8m, confirming strong continuity into the new areas and pointing to the potential for significant resource growth.
The expansion allows Viridis to optimise its mine plan within the supportive jurisdiction of Poços de Caldas, streamlining development timelines and paving the way for resource growth through targeted drilling.
About 7 kilometres northeast of the Northern Concessions, the Tamoyo district has been expanded by 144 per cent, securing control over a high-value area within the Poços de Caldas alkaline complex.
With an inferred resource of 18 million tonnes at 770ppm MREO - the highest-grade deposit in the Colossus portfolio - the Tamoyo district’s potential is underscored by drill results such as 25m at 3465ppm TREO.
The expansion positions Tamoyo as a key contributor to early production, enhancing the project’s economic profile.
This acquisition marks a pivotal milestone for Viridis as we secure substantial additional ground directly adjacent to our existing licences in Poços de Caldas.
Viridis Mining and Minerals Managing Director Rafael Moreno
Morena said the company’s long-standing relationship with the Poços de Caldas municipality was central to its success, given its “strong track record of supporting mining projects and deep understanding of the sector”.
“Their continued support provides us with a de-risked pathway to approvals and development. Having already delineated nearly half a billion tonnes of resource from only a fraction of the Colossus landholding, this expansion significantly elevates the project’s scale and long-term potential,” he said.
Meanwhile, the emerging Western district, on the complex’s western flank, shows promise with early drilling results such as 13m at 7632ppm TREO, including 4m at 2322ppm TREO, signalling untapped potential for future resource definition.
The 852 ha Western district mining right is already at the ‘requested’ stage in the approvals process. It provides a compelling platform to further expand Colossus westward within a supportive jurisdiction.
Viridis’ strategic vision extends beyond mining and extraction. Through its Viridion joint venture with leading global rare earth and heavy earth supplier Ionic Rare Earths, the company is building South America’s first pilot-scale facility for refining and recycling high-purity rare earth oxides.
The Centre for Rare Earths Innovation, Technology and Recycling, being built in Poços de Caldas, is set to open next year.
By siting its operations outside environmental preservation areas, Viridis has minimised the regulatory hurdles for Colossus and ensured a clear path to production.
The project’s economics are also improving almost daily as rare earth prices surge. Even in softer commodity markets, the operation’s shallow open-pit design should keep costs razor-thin and profitable.
The project’s momentum is also being fuelled by exceptional local and national support. A 2024 memorandum of understanding with Poços de Caldas, which secured infrastructure and licensing assistance, was complemented by a land use certificate in January this year. The municipality also donated industrial land, unanimously approved by the city council, reflecting the community’s strong backing.
Two of Brazil’s premier development banks handpicked Viridis and its Viridion JV, via a joint support plan, having recognised the mammoth role Colossus could play in building a domestic rare earths supply chain.
Strategic partnerships with Brazilian asset managers ORE Investments and Régia Capital also bolster the project’s financial foundation.
The acquisition of the new ground, structured with a US$3 million (A$4.6 million) payment over three years from 2026 and 5 million shares under escrow, helps align vendor and Viridiss’ shareholders’ interests.
Viridis’s focus on environmental permitting, a mixed rare earth carbonate plant and a definitive feasibility study underscore its commitment to sustainable growth.
The company’s Colossus project, which spans more than 235 square kilometres, represents a potentially transformative endeavour with the potential to reshape the global rare earth landscape.
Backed by Poços de Caldas’s support and the nation’s strategic vision, Viridis looks set to deliver a sustainable, world-class asset that could drive economic prosperity and innovation for generations.
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