Aclara Resources Receives Environmental Approval for Rare-Earth Project in Chile

---

Written by Amir Richani for IIR News Intelligence (Sugar Land, Texas)

---

Summary

Chile is closer to its first commercial rare-earth project after Aclara received environmental approval for its Penco Module project, which could produce about 800 tonnes of rare-earth oxides per year.

---

Penco Module Rare-Earth Project

Chilean authorities have approved Aclara Resources' Environmental Impact Assessment (EIA) and Environmental Qualification Resolution (RCA), two years after submission, for its Penco Module rare-earth project in Chile's Biobio region. The approval allows Aclara to advance sectoral permits, complete basic and detailed engineering, and prepare for construction.

Penco Module will have a mine life of 12 years with a production of close to 800 tonnes of rare-earth oxides per year and amount to initial and sustaining capital expenditures of US$148 million, according to the 2021 Preliminary Economic Assessment (PEA).

Readers can view detailed project reports attributed to Penco Module.

The project would utilize Aclara's Circular Mineral Harvesting, which is designed to minimize water consumption and environmental impact through the recycling and circular economy principles.

The project has 20.68 million tonnes of measured and indicated resources grading 2,045 parts per million (ppm) of rare-earth elements and Yttrium (REYT) and 2,426 ppm of Total Rare Earth Oxides (TREO).

Chile does not currently have any commercial rare-earth production, underscoring the Penco Module's importance for Chile's mining future. Besides Aclara's project, IIR also is tracking the Neo Re rare-earth project in the Biobio region.

Besides its Chilean project, Aclara also owns the Carina project in the state of Goias in Brazil, and it is also developing a rare earths separation plant in the United States to connect its upstream mineral resources with downstream separation and alloy-making capabilities.

Rare Earths' Importance

Rare earths such as neodymium, praseodymium, dysprosium and terbium are used in high-performance permanent magnets for electric vehicles, wind turbines, electronics and defense applications.

In 2025, global rare-earth oxides equivalent production reached 390,000 tonnes, with China dominating production with volumes of 270,000 tonnes, according to the United States Geological Survey (USGS).

Meanwhile, China also represents more than 90% of the rare earth refining share and accounts for roughly 94% of magnet production, according to the International Energy Agency.

Chinese dominance in the rare earth market has raised concerns among other international players, like the United States, which has stepped up efforts to increase its influence in the rare-earth sector through key investments in Brazil as well as the construction of an end-to-end rare earth magnet supply chain in the United States with a magnet manufacturing capacity of 10,000 tonnes.

Key Takeaways

• Aclara receives environmental approval for its Penco Module rare-earth project in Chile.
• The asset could produce approximately 800 tonnes of rare-earth oxides per year.
• Chile does not currently have a commercial rare-earth operation.

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).