Highlights

• Victory Metals produces 94% pure Mixed Rare Earth Oxide (MREO) from its North Stanmore project in Western Australia.
• Technical achievement demonstrates a high-grade, low-impurity rare earth concentrate with a strong heavy rare earth composition.
• The company claims a breakthrough, but commercial viability remains speculative without pilot-scale production and offtake commitments.

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Victory Metals (opens in a new tab) (ASX:VTM) is sounding the klaxon over its latest metallurgical achievement: a Mixed Rare Earth Oxide (MREO) product boasting 94% Total Rare Earth Oxides (TREO) from its clay-hosted North Stanmore project (opens in a new tab) in Western Australia. The company calls it “the highest-grade heavy rare earth enriched MREO produced in Australia” from a clay system. It's a big claim, and the ASX release, laced with strategic superlatives, reads like a prelude to offtake negotiations.

What’s Real: A Solid Technical Step Forward

Let’s start with what holds up. Producing a MREO concentrate from a 104 kg composite sample (derived from 453 AC drill holes with an average grade of 525 ppm TREO) at 94% purity is technically significant. It's the culmination of hydrometallurgical flowsheet development—low-temperature leaching, impurity removal, precipitation, and calcination—all done domestically at ALS labs. The product is notably clean: low thorium (24 ppm), virtually no uranium, and minimal deleterious elements.

Also credible: the project is enriched in heavy rare earths (HREO/TREO ratio of 0.24), with meaningful levels of Dy (2.49%) and Tb (0.46%), elements critical to permanent magnets. The flowsheet skips traditional cracking and concentration stages, potentially cutting capital costs and environmental impact.

What’s Speculative: Strategic Grandstanding

Some context. Sources in the U.S. government and major banks have shared with Rare Earth Exchanges that Uncle Sam is on a mission to find heavy rare earth element product.

Victory’s suggestion that it is now “at the most advanced downstream point prior to metallisation” is a bit of a stretch. Producing a MREO is indeed a key milestone, but it is still one step removed from the real choke point: separation into individual oxides, which typically requires solvent extraction facilities—none of which exist in Australia at scale.

Also speculative is the assertion that this result will “reshape global rare earth ethical supply chains.”

That’s marketing, not metallurgy. There is no evidence yet of commercial offtake, pilot-scale repeatability, or financing for scale-up. Until a partner or end-user commits, the high-grade MREO is still just a lab sample.

Verdict: Technically Strong, Commercially Premature

Victory Metals deserves credit for advancing Australia’s clay-hosted rare earth game beyond the lab bench. But talk of supply chain reshaping is premature without demonstration-scale output and buyer commitments. Keep your eye on follow-up studies, scalability trials, and—most critically—offtake announcements.

Source: “Breakthrough for Victory with MREO Produced at North Stanmore (opens in a new tab),” Victory Metals ASX Release, July 29,