Ucore Rare Metals Secures C$36.3 Million Government Funding for Ontario Rare Earth Processing Facility

Ucore Rare Metals Inc. (TSX.V: UCU) (OTCQX: UURAF) has received conditional approval for up to C$36.3 million in funding from the government of Canada to support the development of a dedicated rare earth processing facility in Kingston, Ontario. This investment positions Ucore at the center of a strategy to reduce Western dependence on offshore separation and refining, particularly from China, which controls an estimated 70% of global rare earth mining and up to 90% of processing capacity according to the International Energy Agency. The Canadian funding package includes up to C$26 million from Natural Resources Canada through its Critical Minerals Infrastructure Fund, along with as much as C$10 million from FedDev Ontario.

The capital will help establish a processing pathway for the rare earth elements samarium and gadolinium, which are essential to permanent magnet production and high-temperature defense applications. These elements are critical components in various technologies including electric vehicles, wind turbines, and military systems. The development of domestic processing capabilities addresses significant vulnerabilities in North American supply chains that have become increasingly apparent as geopolitical tensions highlight the risks of relying on a single source for critical materials.

Ucore's vision includes disrupting the People's Republic of China's control of the North American rare earth element supply chain through the near-term development of processing facilities. The company plans to develop a heavy and light rare-earth processing facility in Louisiana, with subsequent strategic metals complexes in Canada and Alaska. This Kingston facility represents a crucial step in creating an integrated North American rare earth supply chain that can compete with established Chinese infrastructure. For more information about the company's broader strategy, visit https://www.Ucore.com.

The importance of this development extends beyond corporate growth to national security and economic resilience. Rare earth elements are essential for modern technologies including renewable energy systems, consumer electronics, and defense applications. Western nations have recognized the strategic vulnerability created by dependence on Chinese processing, with the United States and European Union implementing policies to develop alternative supply chains. Canada's investment through the Critical Minerals Infrastructure Fund reflects this broader strategic priority, positioning the country as a key player in securing critical mineral resources for allied nations.

This funding announcement comes amid increasing global competition for critical minerals and growing recognition of their strategic importance. The successful development of the Kingston facility could establish Canada as a significant rare earth processing hub, creating jobs and technological expertise while reducing supply chain risks for North American manufacturers. The conditional nature of the funding indicates that specific milestones must be met, ensuring accountability in the deployment of public resources toward this strategic initiative. Additional information about related developments in the rare earth sector is available at https://ibn.fm/UURAF.