Chilean Cobalt Company (Otkbk: He tries) provided an update on the ongoing progress of the NeoRe Rare Earth Project in southern Chile, where exploration, engineering and licensing activities are now evolving into a clearly defined development path for the project’s first modular extraction plant (MEP-1).
Chile Cobalt, through project operator NeoRe Spa, is implementing an integrated development program designed to move NeoRe from area-scale exploration to structured modular development, with a focus on resource definition, process engineering and regulatory readiness.
Drilling continues in the Target 7 area and in the recently accessed Las Corrientes area, which is now a key area for the planned MEP-1 development. Recent work has been carried out at Las Corrientes over the past three weeks to help define the initial resource base for the first modular development. At Target 7, drilling confirmed continued rare earth mineralization within the developing MEP-1 horizon, with intercepts returning up to 322 ppm TREO. Nearly 622 meters have been drilled across 90 holes since the beginning of the year so far.
Conceptual engineering for the MEP-1 project has now been completed, creating a specific modular plant designed for phased development and scalability throughout the region. Engineering has progressed to detailed technical studies, including topography, hydrology, hydrogeology and geotechnical works, while supplier engagement has commenced regarding key processing equipment. Initial operational expenditure estimates have also been completed at a conceptual level, supporting the ongoing flow schedule and economic evaluation. In parallel, NeoRe has begun the patenting process for its rare earth processing technology focused on ionic clay enrichment.
Licensing activities are also progressing, with an environmental pre-feasibility study and suitability consultation granted, and a framework agreement agreed to support the submission of an exploitation permit to Sernagumin. These steps aim to simplify the regulatory path for MEP-1 in line with Chilean requirements, best practices and international environmental, social and governance (ESG) standards.
NeoRe’s wider land position across the Bio Bio and Ñuble areas has been optimized into a focused development framework, with priority given to proven housing and additional targets in the southern area of the area. The portfolio now includes 6 confirmed mining tenements (~1,800 ha), 12 tenements requiring further work (~3,600 ha), 42 tenements planned for near-term exploration (~12,500 ha), and 6 derelict tenements (~1,800 ha), reflecting a structured approach to development at a district level.
In parallel with the technical and regulatory progress, Chilean Cobalt and NeoRe are actively working with potential processing partners, counterparties and end-market users as part of a broader strategy to support downstream integration and enhance alignment with global renewable energy supply chain requirements, as well as to position the project for strategic financing. These discussions focus on supporting commercial pathways for future production of MEP-1 and subsequent modular expansion across the region.
Building on this progress, Chilean Cobalt and NeoRe are implementing an accelerated development strategy for MEP-1, with NeoRe targeting first production in the first half of 2027, subject to ongoing technical, permitting, construction and financing milestones. This timeline is supported by parallel execution across drilling, engineering, regulatory and procurement workstreams, as well as the phased development of modular production units across the region.
“We are seeing NeoRe move to a clearly defined development program,” said Duncan T. Blount, Chairman and CEO of Chile Cobalt. “As the MEP-1 project’s engineering progresses, drilling expands across key areas, and frameworks are allowed to advance, NeoRe is increasingly defined by execution and development readiness. We also believe NeoRe’s focus on heavy ground elements strategically positions the project within emerging U.S. and allied supply chains, and is strategic for defense and advanced technologies.”
NeoRe CEO Arturo Albornoz added, “The integration between drilling, engineering and licensing provides a clear path to development. Combined with our modular approach and technology development, NeoRe’s focus on heavy earth elements supports an advantageous strategic position within global rare earth supply chains and our accelerated path to first production in 2027.”
Chile Cobalt is a US-based exploration and development company for important minerals focused on the La Cobalterra and El Cofre copper and cobalt projects in the historic San Juan region of northern Chile, one of the few primary cobalt regions in the world.
