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625 times more profitable than iron ore! Brazil discovers one of the LARGEST rare earth reserves in the world and could generate billions in profits

Written by Rafaela Fabris
Published 15/12/2024 às 21:59
Updated 16/12/2024 às 10:38
625 times more profitable than iron ore! Brazil discovers one of the LARGEST rare earth reserves in the world and could generate billions in profits
Brazil could become one of the richest countries in the world after discovery of rare product

With the third largest reserve of rare earths on the planet, Brazil can lead the global market for sustainable technologies, move trillions and generate thousands of jobs in the coming years.

Imagine Brazil emerging as a global leader in a new economy. The recent discovery of one of the world’s largest reserves of rare earths has put the country in the spotlight on the international stage. These minerals, crucial for technologies such as electric vehicles and wind turbines, are as valuable as gold in some markets.

But what are rare earths? Despite their name, they are not exactly “rare”. These minerals are present in the Earth’s crust, but in concentrations that, in most cases, are not economically viable for extraction. In the case of Brazil, luck changed: the reserves have high concentrations of these elements, which can transform the national economy.

The potential of rare earth reserves in Brazil

Brazil is currently the third country with the largest reserves of rare earths in the world. Regions such as Araxá, Morro do Ferro and Poços de Caldas stand out as true “treasure chests”. These areas have vast concentrations of elements such as neodymium and cerium, essential for the production of batteries, high-power magnets and other technological components.

Compared to China, which dominates more than 80% of the global market, Brazil is still in the early stages of its exploration. However, this discovery offers the country a unique opportunity to compete in this market. Have you ever imagined what it would be like for Brazil to export not only iron ore, but also rare earths with extremely high added value?

How rare earths can transform the Brazilian economy

The economic impact of this discovery could be huge. Projects such as the “Boiler Project” in Poços de Caldas are already planning investments of R$1,5 billion, promising to create hundreds of direct jobs and thousands of indirect jobs.

Neodymium oxide is widely used in the manufacture of high-performance magnets, essential for electric vehicle motors, wind turbines and advanced electronic devices. Found in regions such as Araxá and Poços de Caldas in Brazil, it is expensive due to its high demand in the global technology market and the high cost of extraction and processing.
Neodymium oxide is widely used in the manufacture of high-performance magnets, essential for electric vehicle motors, wind turbines and advanced electronic devices. Found in regions such as Araxá and Poços de Caldas in Brazil, it is expensive due to its high demand in the global technology market and the high cost of extraction and processing.

The commercial value of rare earths is impressive. Neodymium oxide, for example, can fetch up to US$75.000 per ton, according to Minera MT. Compared to iron ore, which costs around US$120 per ton, the difference is astronomical. 625 times more profitable than iron ore. This could exponentially increase Brazil's GDP and put the country in a position of economic leadership.

Sustainable technologies and Brazil's role

In addition to boosting the economy, rare earths have another advantage: their application in sustainable technologies. They are essential for electric car engines and wind turbines, pillars of renewable energy.

With world increasingly focused on sustainability, Brazil can take on a leading role in supplying these essential materials. It is as if the country holds the key to the future of clean energy. The question is: will we be ready to seize this opportunity?

Challenges in exploring rare earth reserves

Of course, not everything is simple. To exploit these reserves, Brazil will need to invest heavily in infrastructure and cutting-edge technology. Extracting and processing rare earths requires advanced techniques that we have not yet fully mastered.

It is essential to ensure that exploration is sustainable. No one wants to turn an opportunity into an environmental disaster. To achieve this, the country needs a clear strategy that combines economic development and environmental preservation.

Geopolitical and economic opportunities

This discovery also offers geopolitical advantages. By diversifying its economy and investing in high-value-added products, Brazil can reduce its dependence on traditional commodities. This strengthens the country's position on the international stage and makes it less vulnerable to fluctuations in market prices.

Imagine Brazil competing on equal terms with China in the supply of rare earths. It seems like a dream, but with the right strategy, it can become a reality.

The discovery of rare earth reserves in Brazil It is a historic milestone that can change the course of the national economy. With strategic investments, a focus on sustainability and technological innovation, the country has everything it needs to become a global power in this sector.

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Ivan Soler
Ivan Soler
16/12/2024 09:46

It’s about time!… Or, as the old saying goes: “Better late than never”!…

Hamilton Mourão Junior
Hamilton Mourão Junior
16/12/2024 10:19

We hope that Brazil thinks big and develops technology to take advantage of rare earths and develop manufactured products that have greater added value, and can grow even more!
And do not sell (rare earths as a product (not manufactured, **** product)
Or even sell these lands to the Chinese in exchange for ****!

Hitler of olive tree
Hitler of olive tree
In reply to  Hamilton Mourão Junior
16/12/2024 11:25

The exploration of minerals, especially niobium, has never transformed people's lives for the better. The same will happen with rare earths.

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Rafaela Fabris

It discusses innovation, renewable energy, oil and gas. With over 1.200 articles published in CPG, it provides daily updates on opportunities in the Brazilian job market.

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