Cadence Minerals PLC on Friday announced that its investee Hastings Technology Metals Ltd has executed a $210 million contract for work on the Yangibana rare earths project.

The London-based investor, which finances ‘undervalued’ assets in the mineral resource sector, owns 2.5 million shares - approximately 1.9% of share capital - in Hastings, a Perth-based rare earths producer. It acquired the shares by selling its 30% stake in several mineral concessions which made up part of Yangibana, which is located in Western Australia’s Gascoyne region.

Cadence shares were down 5.2% at 7.77 pence on Friday afternoon in London.

Cadence said Hastings has executed an engineering, procurement and construction contract, agreed in May with GR Engineering Services Ltd, for delivery of the Yangibana beneficiation plant and associated infrastructure.

The contract was valued at a fixed price of $210 million, including a fixed price component of $180 million for the beneficiation plant and $30 million for the plant and TSF earthworks.

Hastings Executive Chair Charles Lew said the contract marked ‘another important milestone in our development plan for bringing this world-class project into production,’ adding: ‘The fixed price contract and strong credentials of GR Engineering gives us a high level of confidence in the delivery of this critical infrastructure ahead of first rare earth concentrate production in [the second quarter of] 2025.’

GRES, Cadence added, continues to work with Hastings on engineering and procurement until mobilisation to the site in the fourth quarter. Hastings expects construction to finish in the first quarter of 2025.

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