London-listed Altona Rare Earths has signed a nondisclosure agreement (NDA) with an international critical metals industry group for potential strategic investment in the Monte Muambe rare earths and gallium project, in Mozambique, marking a significant step forward.

Altona says representative ore samples have been sent to the potential partner for independent analysis, as part of a technical review of project data.

At the same time, continued progress on the Monte Muambe fluorspar project, combined with the recent expansion of its scope, has catalysed strong interest from established participants in the European fluorspar market, and in Mozambique.

Altona says it has now entered into an NDA and is expecting to enter into another NDA with European entities operating in the fluorspar sector shortly, expressing that these agreements create a framework to assess potential collaboration across extraction, offtake and staged project-level funding.

The company explains that constructive and fast-moving exchanges of information are underway under these NDAs, adding that it looks forward to updating the market as these discussions advance towards potential commercial agreements.

FAVOURABLE GEOPOLITICAL DYNAMICS

Meanwhile, the strategic importance of critical raw materials, and the vulnerability of global supply chains, have gained prominence over the past years, amid increasing exposure of manufacturers to geopolitical risks.

To address this situation, policies have been created, and updated, across Western jurisdictions, says Altona.

“What were previously regarded as theoretical risks have recently materialised in the form of trade wars revolving around US tariffs policies, as well as critical raw materials export bans by China, which have now translated into real-world impacts, with significant disruptions of industrial outputs and defence readiness,” the company explains.

"We are seeing a marked shift from high-level policy reflections on critical material risks to immediate and tangible impacts on critical high-technology and defence industries. This evolution is amplifying strategic interest in Monte Muambe, which is uniquely positioned with multiple critical raw materials in development.

"Our technical milestones – combined with a supportive geopolitical backdrop – are opening up compelling opportunities to partner with experienced players in the rare earths and fluorspar sectors. We are encouraged by the level of engagement from potential strategic investors and look forward to updating shareholders as these discussions evolve,” says CEO Cedric Simonet.