Japan to Invest 100 M. Euros in French Rare Earth Project

Tokyo, March 18 (Jiji Press)--Japan's industry ministry has said that it will invest some 100 million euros in French rare earth refiner Caremag SAS through the Japan Organization for Metals and Energy Security, or JOGMEC.

JOGMEC and Japanese gas supplier Iwatani Corp. said Monday that they have agreed on a long-term supply contract for Japan with Caremag on heavy rare earths, which are used in electric vehicle motors and offshore wind power generators.

The government aims to ensure a stable supply of rare earths and diversify suppliers.

Heavy rare earth supplies from Caremag are expected to meet some 20 pct of Japan's future demand for the rare earths.

Caremag will build a rare earth plant in the Lacq industrial park in southwestern France.

Through a special purpose company, JOGMEC and Iwatani will invest up to 110 million euros in equity and debt in the French partner.

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