More Investments in Exploration Companies to Secure Rare Earths Supply Outside China, DY6 Metals CEO Says

DY6 Metals (ASX:DY6) CEO Lloyd Kaiser says there needs to be more investment in smaller exploration companies as a way to build a secure and stable supply chain for critical minerals essential to global decarbonisation and electrification goals.

“A lot of exploration companies that are exploring for rare earths and developing rare earths are in the smaller end of the market. We are seeing some bigger players emerging in this area, but it has always relied on the smaller players,” he said.

‘If the rest of the world, end-user markets and governments are interested in creating these supply chains, there needs to be more investment in this area to the right companies to make sure that there’s adequate supply to reach targets that everyone talks about in 2030.”

Kaiser explained that investment can be in the form of debt facilities from government export credit agencies linked to the sourcing of critical metals in their jurisdictions. “There are facilities available to do that. I think the area that you’ll find that is more interesting for explorers is direct equity investment, whether it’s at the project level or at the company level, to help support the development. I think there’s not enough of that going on.”

Watch the full interview with DY6 Metals CEO Lloyd Kaiser above.