WEBVTT - Critical Metals CEO Tony Sage Talks Rare Earth Minerals, Greenland

0:00:02.520 --> 0:00:12.920
<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. But in terms of

0:00:13.000 --> 0:00:18.960
<v Speaker 1>cooperation with our resources, we know we have huge potential

0:00:19.400 --> 0:00:22.880
<v Speaker 1>and we have sit from the beginning. Let's have respectful

0:00:23.000 --> 0:00:27.000
<v Speaker 1>conversations and talk about how we can strengthen the partnership

0:00:27.360 --> 0:00:30.720
<v Speaker 1>also in terms of our mineral resources.

0:00:31.840 --> 0:00:35.040
<v Speaker 2>That was Greenland's Prime minister on partnering with the US.

0:00:35.159 --> 0:00:37.680
<v Speaker 2>Denmark's Prime minister is now flying to meet with him

0:00:37.680 --> 0:00:41.839
<v Speaker 2>today to discuss the territory's future, which the US has

0:00:41.880 --> 0:00:45.040
<v Speaker 2>a large interest in mining there. Joining US now Tony Stage,

0:00:45.080 --> 0:00:48.280
<v Speaker 2>CEO and executive chairman of Critical Medals, the company just

0:00:48.360 --> 0:00:50.680
<v Speaker 2>green with the start of construction for a storage and

0:00:50.720 --> 0:00:54.520
<v Speaker 2>pilot facility in Greenland for its and Critical Minerals project. Tony,

0:00:54.520 --> 0:00:56.360
<v Speaker 2>thank you so much for joining. What a week it's

0:00:56.360 --> 0:00:59.120
<v Speaker 2>been for everybody. But I think it's fair to say

0:00:59.160 --> 0:01:02.720
<v Speaker 2>that especially you have been attuned to the news, just

0:01:02.760 --> 0:01:04.880
<v Speaker 2>the back and forth in Greenland, whether the US would

0:01:04.880 --> 0:01:07.160
<v Speaker 2>take it by force now more of an agreement with

0:01:07.240 --> 0:01:09.959
<v Speaker 2>military basis and a keen interest in minerals. Does this

0:01:10.080 --> 0:01:13.240
<v Speaker 2>change anything for Critical Metals?

0:01:14.600 --> 0:01:15.119
<v Speaker 3>Not really.

0:01:15.240 --> 0:01:17.119
<v Speaker 4>On the ground, We're going one hundred miles an hour

0:01:17.240 --> 0:01:20.000
<v Speaker 4>doing what we can control. We can't control the politics

0:01:20.000 --> 0:01:23.120
<v Speaker 4>of the situation, but it certainly does affect us. I mean,

0:01:24.200 --> 0:01:27.959
<v Speaker 4>local people are very very concerned. And I've never been

0:01:28.000 --> 0:01:30.319
<v Speaker 4>operating in Greenland for twenty two years. I've never seen

0:01:30.360 --> 0:01:33.360
<v Speaker 4>a protest before, so they are very very concerned. It

0:01:33.400 --> 0:01:37.480
<v Speaker 4>does affect our staff in Greenland, it does affect the mentality.

0:01:38.400 --> 0:01:39.640
<v Speaker 3>For the uncertainty forband.

0:01:39.760 --> 0:01:42.320
<v Speaker 4>But for us as a company, we're going, like I said,

0:01:42.360 --> 0:01:45.600
<v Speaker 4>one hundred miles an hour. We're building pre construction, We're

0:01:45.640 --> 0:01:51.120
<v Speaker 4>doing our pilot plant, our office and obviously the labs

0:01:51.320 --> 0:01:54.280
<v Speaker 4>which is going to be very crucial in analyzing all

0:01:54.280 --> 0:01:55.000
<v Speaker 4>the materials.

0:01:55.120 --> 0:01:58.920
<v Speaker 5>Can you tell us what kind of agreements you've struck

0:01:59.000 --> 0:02:02.960
<v Speaker 5>for the rights to do this mining? I mean, for

0:02:03.080 --> 0:02:05.640
<v Speaker 5>how long have you got the rights? How do you

0:02:05.680 --> 0:02:08.440
<v Speaker 5>split it up in terms of what you get out

0:02:08.480 --> 0:02:12.280
<v Speaker 5>of the ground with the local economy. How does that

0:02:12.320 --> 0:02:12.919
<v Speaker 5>look Tony?

0:02:14.639 --> 0:02:16.760
<v Speaker 4>Yeah, Look at the moment, we've got a thirty year,

0:02:16.880 --> 0:02:23.080
<v Speaker 4>five hundred thousand ton perannum license to exploit the natural rearers.

0:02:23.840 --> 0:02:26.360
<v Speaker 4>The rearers that we're going to concentrate on is not

0:02:26.440 --> 0:02:29.800
<v Speaker 4>the lights. For the example, MP materials. We're going to

0:02:29.840 --> 0:02:33.919
<v Speaker 4>go for the heavies, and we've got four point seven

0:02:34.080 --> 0:02:37.600
<v Speaker 4>billion ton more body, which in effect would last one

0:02:37.600 --> 0:02:40.560
<v Speaker 4>thousand years, but we're only going to do a fraction

0:02:40.639 --> 0:02:42.840
<v Speaker 4>of that obviously at the beginning.

0:02:42.919 --> 0:02:45.000
<v Speaker 3>So we're going to concentrate on the heavies, which are.

0:02:44.919 --> 0:02:49.040
<v Speaker 4>The terbiums, the hathmiums, the galliums, and the.

0:02:50.040 --> 0:02:51.720
<v Speaker 3>Disperse me in that tantle them.

0:02:51.800 --> 0:02:54.480
<v Speaker 4>So those are the ones that the US government can

0:02:54.560 --> 0:03:00.120
<v Speaker 4>particularly interested in because it obviously fuels national defense. You

0:03:00.160 --> 0:03:02.480
<v Speaker 4>cannot build an F thirty five fighter, you can't build

0:03:02.480 --> 0:03:07.360
<v Speaker 4>a destroyer, nuclear power plants, et cetera, et cetera. So

0:03:07.400 --> 0:03:09.920
<v Speaker 4>they're the ones that we're going to particularly concentrate on.

0:03:09.960 --> 0:03:11.160
<v Speaker 3>In Greenland, Tony.

0:03:11.360 --> 0:03:14.600
<v Speaker 2>This has been an American government that's increasingly getting involved

0:03:14.680 --> 0:03:18.040
<v Speaker 2>in corporate America, in corporations, especially when it comes to

0:03:18.120 --> 0:03:21.080
<v Speaker 2>metals and taking steaks for your more recent projects. Have

0:03:21.160 --> 0:03:24.400
<v Speaker 2>you had conversations with this government about doing just that,

0:03:24.560 --> 0:03:27.480
<v Speaker 2>any financial commitments that they're hoping to achieve.

0:03:29.200 --> 0:03:32.560
<v Speaker 4>Yeah, Look, we've had a very very good discussion with Xcembank.

0:03:33.320 --> 0:03:35.560
<v Speaker 3>We've signed an loi with the XCEM Bank. It's a

0:03:35.600 --> 0:03:36.680
<v Speaker 3>fantastic deal for US.

0:03:36.680 --> 0:03:39.360
<v Speaker 4>It's one hundred and twenty million dollars over fourtyeen years

0:03:40.000 --> 0:03:42.720
<v Speaker 4>and only one point nine percent. Really, if you're take

0:03:42.760 --> 0:03:45.400
<v Speaker 4>into account inflation, it's a negative interest rate.

0:03:45.480 --> 0:03:48.280
<v Speaker 3>So that's been fantastic for US. We've applied for.

0:03:48.320 --> 0:03:53.080
<v Speaker 4>It under the old ADPA funding, so under the new

0:03:53.560 --> 0:03:54.960
<v Speaker 4>terminology it's Chips funding.

0:03:55.000 --> 0:03:55.880
<v Speaker 3>We've applied for that.

0:03:56.240 --> 0:04:01.440
<v Speaker 4>Hopefully we'll get a fair hearing on that, but we've done.

0:04:01.200 --> 0:04:03.760
<v Speaker 3>Some very very good financial maneuvering.

0:04:04.160 --> 0:04:06.920
<v Speaker 4>We've decided to do fifty percent of the product to

0:04:06.960 --> 0:04:10.320
<v Speaker 4>the US and fifty percent to the EU, so one

0:04:10.400 --> 0:04:13.080
<v Speaker 4>hundred percent of our off take is now being taken up,

0:04:13.560 --> 0:04:17.480
<v Speaker 4>which completely de risks the project. So it's fantastic for US.

0:04:17.520 --> 0:04:21.240
<v Speaker 4>We've got fantastic for the EU. The Romanian government is

0:04:21.279 --> 0:04:23.640
<v Speaker 4>heavily involved. Fifty percent is going to go to them,

0:04:24.000 --> 0:04:27.680
<v Speaker 4>and we've signed deals with UKRP in the States re alloys,

0:04:28.200 --> 0:04:33.880
<v Speaker 4>and we've followed MP materials to the to Saudi. They've

0:04:33.880 --> 0:04:38.480
<v Speaker 4>signed a deal with Trump and MBS a few months ago.

0:04:39.080 --> 0:04:42.280
<v Speaker 4>We followed that lead and we're building a processing plant

0:04:42.279 --> 0:04:44.960
<v Speaker 4>in Saudi, but all of the product from the Saudi

0:04:44.960 --> 0:04:46.760
<v Speaker 4>processing plant will go to the US.

0:04:47.480 --> 0:04:50.440
<v Speaker 5>So I was just going to ask where are these

0:04:51.640 --> 0:04:54.520
<v Speaker 5>minerals that you mine are going to be refined? Are

0:04:54.520 --> 0:04:58.440
<v Speaker 5>you saying that half will be refined in the US

0:04:58.600 --> 0:05:01.520
<v Speaker 5>or sort of at the be asked of US companies,

0:05:01.680 --> 0:05:04.640
<v Speaker 5>you know, because the refining question is one that sticks

0:05:04.640 --> 0:05:07.159
<v Speaker 5>in my mind. It's a really difficult process. So I

0:05:07.240 --> 0:05:10.400
<v Speaker 5>hear to refine these things maybe dirty and danger.

0:05:10.720 --> 0:05:12.839
<v Speaker 3>Yeah, very difficult.

0:05:12.920 --> 0:05:16.560
<v Speaker 5>So who does the refining of the stuff that you get? Okay?

0:05:16.600 --> 0:05:21.799
<v Speaker 4>So we've partnered with the remaining government with their nuclear department.

0:05:21.880 --> 0:05:25.480
<v Speaker 4>They've reprocessing nuclear rods that already in the plant. We're

0:05:25.480 --> 0:05:28.320
<v Speaker 4>going to build our plant next door. The technology is

0:05:28.360 --> 0:05:30.960
<v Speaker 4>there for us to do that. We're using the same

0:05:31.000 --> 0:05:35.839
<v Speaker 4>technology in Saudi Arabia, so that will be set the

0:05:36.200 --> 0:05:39.480
<v Speaker 4>two twenty five percent of the product that's coming directly

0:05:39.520 --> 0:05:40.560
<v Speaker 4>to the United States.

0:05:40.800 --> 0:05:42.560
<v Speaker 3>We're using the u core technology.

0:05:42.560 --> 0:05:45.480
<v Speaker 4>They've got a plant in Louisiana, and we're using the

0:05:45.960 --> 0:05:51.560
<v Speaker 4>re Allies technology which is based in Ohio. So that's

0:05:51.680 --> 0:05:54.680
<v Speaker 4>twenty five percent pure product going to the US for US.

0:05:55.040 --> 0:05:58.440
<v Speaker 3>But the Saudi twenty five percent we're going to refine

0:05:58.480 --> 0:05:59.720
<v Speaker 3>that is going to go to the US.

0:05:59.800 --> 0:06:04.480
<v Speaker 4>The product which are the tubiums, the hathmiums, the no bms, galliums,

0:06:04.480 --> 0:06:04.880
<v Speaker 4>et cetera.

0:06:05.680 --> 0:06:07.480
<v Speaker 2>And Tony, just to kind of riterate what we've been

0:06:07.480 --> 0:06:09.880
<v Speaker 2>saying this whole time, and you've been saying that these

0:06:09.920 --> 0:06:12.760
<v Speaker 2>minerals are highly important to the US, and Trump has

0:06:12.800 --> 0:06:15.839
<v Speaker 2>emphasized that with not just artic security as being part

0:06:15.880 --> 0:06:18.719
<v Speaker 2>of the framework he says exists for a Greenland deal

0:06:18.800 --> 0:06:22.400
<v Speaker 2>but also mineral rights included in that framework. Tony, can

0:06:22.400 --> 0:06:26.120
<v Speaker 2>you give us how this soberview of what wealth there

0:06:26.200 --> 0:06:28.440
<v Speaker 2>is in Greenland when it comes to minerals, but not

0:06:28.800 --> 0:06:31.640
<v Speaker 2>just that, but how difficult it is to get it

0:06:31.640 --> 0:06:32.320
<v Speaker 2>out of the ground.

0:06:33.839 --> 0:06:37.600
<v Speaker 4>Look in a lot of areas, Greenland, as President Trump said,

0:06:37.680 --> 0:06:40.520
<v Speaker 4>is under ice, under a lot of ice. We're very

0:06:40.560 --> 0:06:43.880
<v Speaker 4>lucky with our deposits. We're in the southern part of Greenland.

0:06:44.200 --> 0:06:47.120
<v Speaker 4>It's quite temperate. It only gets to minus five celsius.

0:06:47.920 --> 0:06:50.520
<v Speaker 4>It's cultor in New York and Chicago at some points,

0:06:51.200 --> 0:06:53.200
<v Speaker 4>and fifteen degrees in summer.

0:06:53.279 --> 0:06:54.960
<v Speaker 3>So very temperate climate.

0:06:55.400 --> 0:06:59.960
<v Speaker 4>But there are trillions, literally trillions of dollars of material

0:07:00.160 --> 0:07:03.160
<v Speaker 4>in Greenland other than rare earths. You've got one of

0:07:03.200 --> 0:07:06.480
<v Speaker 4>the biggest iron or deposits. You've got uranium. The oil

0:07:06.520 --> 0:07:10.320
<v Speaker 4>and gas potential is absolutely massive, so Greenland is a

0:07:10.360 --> 0:07:15.440
<v Speaker 4>treasure trove. Unfortunately, a lot of those minerals and oil

0:07:15.440 --> 0:07:19.280
<v Speaker 4>and gas aren't allowed to be exploited under the ruling

0:07:19.400 --> 0:07:23.200
<v Speaker 4>of the Denmark Control over Greenland, so you cannot draw

0:07:23.240 --> 0:07:27.000
<v Speaker 4>for oil and gas, you cannot mine uranium, for example.

0:07:27.400 --> 0:07:32.640
<v Speaker 4>So the potential for Greenland is fantastic. Unfortunately the current

0:07:32.760 --> 0:07:35.720
<v Speaker 4>laws don't let you exploit a lot of the material

0:07:36.400 --> 0:07:37.160
<v Speaker 4>that they do have.

0:07:38.400 --> 0:07:40.520
<v Speaker 5>Tony, great to get you on the program again, Thanks

0:07:40.560 --> 0:07:43.240
<v Speaker 5>so much for joining us. Tony Sage there of critical

0:07:43.520 --> 0:07:47.440
<v Speaker 5>metals talking about getting these rare earth minerals, heavy rare

0:07:47.960 --> 0:07:51.760
<v Speaker 5>minerals out of the ground, and it's an incredibly important endeavor,

0:07:52.240 --> 0:07:55.680
<v Speaker 5>as we have grown to realize over the past few

0:07:55.760 --> 0:07:58.880
<v Speaker 5>years for manufacturing of high tech goods.