Defense Metals Secures $250mn Funding Interest for Wicheeda Rare Earths Project

Defense Metals

Strategic Financing Boost for Canadian Rare Earth Development

Defense Metals has received a Letter of Interest from Export Development Canada (EDC) for up to $250mn in debt financing to advance its Wicheeda Rare Earth Element (REE) Project. The funding is contingent upon the completion of due diligence, marking a significant milestone for one of Canada’s most promising rare earth ventures.

Located in British Columbia, the Wicheeda REE Project covers 29,158 acres and is expected to operate for 15 years once in production. According to the 2025 pre-feasibility study, the project could yield an average of 31,900 tonnes per year of total rare earth oxide (TREO) in concentrate, translating to about 5,200 tonnes of TREO in mixed rare earth carbonate (MREC). This positions Wicheeda as a critical contributor to North America’s rare earth supply chain.

The project’s estimated capital cost stands at $2bn, with operating costs of $37.42 per kilogram of praseodymium-neodymium oxide in MREC. If developed, Wicheeda could provide a secure and sustainable supply of high-value REEs vital for electric vehicles, renewable energy systems, and defense applications.

Strengthening North America’s Rare Earth Supply Chain

The EDC’s potential financing underscores Canada’s commitment to building domestic capabilities in critical minerals. By supporting large-scale projects like Wicheeda, Canada can reduce reliance on overseas REE sources and reinforce supply security for industries vulnerable to geopolitical disruptions. Defense Metals’ progress also reflects a broader trend of aligning mining investment with strategic industrial policy in the face of growing global demand.

The Metalnomist Commentary

The $250mn funding interest from EDC could prove pivotal in moving Wicheeda toward production. With capital-intensive projects like this, early financial backing is essential to secure investor confidence and advance permitting. If realized, Wicheeda will strengthen North America’s independence in rare earth sourcing while tapping into rapidly expanding clean energy and technology markets.