Meteoric Brazil rare earths project faces licensing setback in Minas Gerais

Meteoric Brazil

The Meteoric Brazil rare earths project hit a regulatory wall in Caldas, Minas Gerais. Congeapa rejected mining in the APA buffer zone. The decision blocks three of four stage-one deposits. Therefore, the Meteoric Brazil rare earths project must revise its plan. Meteoric is reviewing options after the buffer-zone ruling.

Brazilian law prohibits mining inside the Pedra Branca APA and its buffer. As a result, approvals expected this year now look challenging. The Meteoric Brazil rare earths project holds a vast Caldeira resource. Company data cite 1.5bn tonnes at 2,359ppm TREO. However, location risk now outweighs headline grade.

What the ruling means and potential paths forward

The council decision targets activity within the protected buffer. Meteoric began licensing in May 2024 for a preliminary license. Timelines assumed clearance by November this year. However, the buffer ruling disrupts those targets. Options include deposit sequencing, redesigned pits, or relocation of stage-one focus. Legal appeal and stakeholder engagement also remain possible.

The Metalnomist Commentary

This decision underscores Brazilian permitting sensitivity near APAs. Expect higher ESG scrutiny, phased plans, and tighter mine design. Investors should watch alternate staging, community dialogue, and any legal remedies.