JL Mag invests $7m in Hastings

Chinese JL Mag Rare-Earth will own 9.8% of Hastings (ASX: HAS) as well as a seat on its board following a $7m investment in the company.

The investment proceeds will be used to advance the Yangibana rare earths project in WA toward production and supplements the $16m previously raised in April 2024.

Hastings has already completed the construction of the mine infrastructure for the Yangibana project. The company plans to complete the project debt funding and start construction of its beneficiation plant in Q4 2024.

The plant is expected to produce 37,000tpa of mixed rare earth concentrate with first production in H1 2026.

Hastings executive chairman Charles Lew says they are pleased to welcome JL Mag as a long-term, strategic investor.

“JL Mag’s position as the world’s number one producer of high-performance rare earths permanent magnets makes it a highly valued partner for Hastings as we move the Yangibana rare earths project forward into production,” he said.

“This year has seen significant cost reductions and improved economics at the Yangibana project.

“To be able to attract support from JL Mag is a strong vote of confidence in the management of Hastings and our long-term prospects.

“We will continue to advance the Yangibana project into beneficiation process plant construction and production and create long-term value for our shareholders.”