Viridis Mining Submits Installation Licence for Colossus Rare Earth Project

Viridis Hits Critical Permitting Milestone, Bringing Colossus Rare Earth Project One Step Closer to Construction

Viridis Mining and Minerals (ASX: VMM) has formally submitted its Installation Licence application for the Colossus Rare Earth Project in Brazil — a pivotal regulatory milestone that, once approved, will unlock the ability to commence construction and site development activities. The Viridis Mining and Minerals Colossus Rare Earth Project installation licence in Brazil marks the second of three steps in the Brazilian environmental licensing framework, following the approval of the Preliminary Licence in December 2025, and places the company firmly on a pre-execution trajectory with a Final Investment Decision targeted for the second half of 2026.

This is not a routine administrative update. For a project of Colossus's scale — hosting a 493 million tonne global Mineral Resource at 2,508ppm Total Rare Earth Oxide (TREO) — the Installation Licence is the regulatory gateway between planning and physical construction. With project financing, offtake, and EPCM contractor selection processes all simultaneously advancing, the convergence of these workstreams signals that Viridis is entering its most consequential phase as a company.

What the Installation Licence Submission Actually Means

Brazil's environmental licensing system for major projects follows a structured, three-stage process. Understanding where the Installation Licence fits is essential to appreciating why this submission matters.

Brazil's Three-Stage Environmental Licensing Pathway

The IL application was formally lodged with FEAM — the State Environmental Agency of Minas Gerais — and incorporates technical, environmental, and social studies compiled over multiple years. It represents a substantial body of work, not a single document submission.

Key components of the IL submission include:

• A comprehensive Environmental Control Plan (PCA) covering socio-environmental programmes across construction, operational, and closure phases
• Completion of all environmental studies required under the conditions of the Preliminary Licence approval
• Alignment with both state and federal environmental and compensation requirements
• Full integration of engineering outputs from the completed Definitive Feasibility Study (DFS), covering mining, processing, and infrastructure

The depth and multi-disciplinary nature of this submission reflects years of coordinated work across geological, engineering, environmental, and social teams — supported by leading external consultants.

"We are highly confident in the quality and completeness of the application, which reflects extensive technical work and collaboration across environmental, geological, engineering, and social disciplines… This disciplined and ESG-focused approach has already been demonstrated through the approval of the Preliminary Licence and continues to underpin our development strategy." — Rafael Moreno, Managing Director

The Colossus Project: Scale, Grade, and Strategic Location

The Colossus Rare Earth Project is located in Poços de Caldas, Minas Gerais, Brazil — a region with established mining and processing infrastructure and a mature regulatory environment. Critically, the Northern Concessions that form the core of the project are situated away from environmental protection areas and indigenous communities, a factor that materially reduces social and regulatory complexity.

Global Mineral Resource Summary (1,000ppm TREO Cut-Off Grade)

MREO = Magnet Rare Earth Oxides (includes Nd, Pr, Dy, Tb — the elements most critical to permanent magnet applications in electric vehicles and wind turbines).

Several features of this resource base deserve investor attention:

• 215Mt of Mineral Resource sits within the Northern Concessions specifically covered by the current licensing process
• A recent 46% expansion area adjoins the eastern boundary of the Northern Concessions
• High-value Dy-Tb oxide grades exceeding 500ppm have been identified in this expansion zone — grades that are particularly significant given dysprosium and terbium command premium pricing as heavy rare earth elements
• The contiguous nature of the tenements provides meaningful flexibility to optimise mine planning within approved areas as the project advances

The combination of project scale, Measured and Indicated resource confidence, and high-value heavy rare earth enrichment in the expansion zone positions Colossus as a resource of genuine global significance.

Understanding MREO: Why Magnet Rare Earths Are the Metric That Matters

What Is MREO?

MREO stands for Magnet Rare Earth Oxides, a subset of the broader rare earth oxide family that includes neodymium (Nd), praseodymium (Pr), dysprosium (Dy), and terbium (Tb). These four elements are the critical inputs to neodymium-iron-boron (NdFeB) permanent magnets — the high-performance magnets used in electric vehicle motors, wind turbine generators, and a range of advanced electronics and defence applications.

Why Does It Matter to Investors?

Not all rare earth projects are equal. A project with high total rare earth grades but low MREO content may produce materials with limited commercial demand. Furthermore, Colossus consistently delivers MREO grades of approximately 24% of total rare earth content, which compares favourably with many ionic clay rare earth deposits globally.

This means a meaningful proportion of what Viridis mines has direct applicability to the fastest-growing segments of rare earth demand — the clean energy and electrification supply chain.

Glossary of Key Terms

Parallel Workstreams: A Project in Active Pre-Execution Mode

What distinguishes Viridis's current position from a company simply waiting on regulatory outcomes is the breadth of simultaneous workstreams actively progressing across the critical path to production. The Viridis Mining and Minerals Colossus Rare Earth Project installation licence in Brazil does not sit in isolation — it is one component of a coordinated pre-execution programme.

Key Parallel Activities Currently Underway

1. Project financing discussions — advanced conversations with potential financiers to support project construction
2. Offtake negotiations — engagement with potential customers for Colossus rare earth products
3. Strategic partner discussions — exploration of partnership structures that could support development
4. EPCM contractor selection — a formal tender process underway to appoint the engineering, procurement, and construction management firm that will oversee project build
5. Long-lead item procurement — pre-ordering of equipment with extended manufacturing timelines to avoid construction delays once the IL is approved
6. MREC Demonstration Plant operations — the environmental licence for the Colossus Mixed Rare Earth Carbonate Demonstration Plant at the Company's Rare Earth Research and Processing Centre (CPTR) was granted in April 2026, enabling the first MREC production from Colossus clay in May 2026

The Demonstration Plant milestone is particularly notable. First MREC production from Colossus clay provides tangible, physical evidence of the project's processability and represents an important de-risking step for both potential offtake partners and project financiers.

Upcoming Catalysts and Timeline to FID

The path from Installation Licence submission to Final Investment Decision involves a sequence of milestones, each of which has the potential to be a material catalyst for the company.

Pre-FID Milestone Roadmap

The 2H 2026 FID target is the headline catalyst investors should be tracking. Achieving FID would represent a fundamental transformation of Viridis from a development-stage company to a construction-stage operation — a transition that typically attracts a substantially different class of institutional investor and project financing.

The Investment Thesis: Why Colossus Warrants Serious Attention

Viridis's investment case rests on a combination of project fundamentals, permitting progress, and the broader structural demand dynamics for rare earth elements used in permanent magnets.

Project-Level Strengths

• Scale: A 493Mt global Mineral Resource places Colossus among the larger ionic clay rare earth projects globally
• Grade: 2,508ppm TREO with 24% MREO content reflects a commercially meaningful rare earth profile
• Heavy rare earth upside: Dy-Tb grades exceeding 500ppm in the expansion zone represent high-value growth potential
• DFS completion: The project has been studied to a definitive level, reducing technical uncertainty for investors and financiers
• Location: Poços de Caldas is an established mining region with existing infrastructure, away from sensitive environmental and community areas

Execution-Level Progress

Three consecutive milestones have been delivered: PL approval (December 2025), Demonstration Plant licence (April 2026), and the Viridis Mining and Minerals Colossus Rare Earth Project installation licence in Brazil submitted in May 2026. In addition, first physical product — MREC — was produced from Colossus clay in May 2026, while EPCM selection, financing, and offtake processes are all running concurrently with permitting.

ESG and Stakeholder Considerations

Rafael Moreno's commentary explicitly highlighted responsible development, environmental stewardship, and community engagement as central pillars of the project's development philosophy. The IL submission itself incorporates a multi-year body of socio-environmental studies and an Environmental Control Plan spanning construction through to closure.

Consequently, this level of ESG preparation aligns with the expectations of international project financiers and institutional investors increasingly applying ESG screens to resource investments.

Why Investors Should Keep Viridis on Their Radar

Viridis is approaching an inflection point that few rare earth development companies reach. The combination of a large, well-defined Mineral Resource, a completed Definitive Feasibility Study, a three-stage permitting process now at its second stage, active financing and offtake discussions, and demonstrated product production capability through the MREC Demonstration Plant creates a compounding risk-reduction narrative that is difficult to replicate at this stage of project development.

The 2H 2026 FID target is a tangible and near-term event horizon. Between now and that milestone, investors have the opportunity to track a series of identifiable catalysts — IL approval, EPCM appointment, financing announcements, and offtake agreements — each of which carries the potential to materially re-rate the company's development status and market positioning.

Viridis Mining and Minerals has reached a defining stage in the development of the Colossus Rare Earth Project, with the Installation Licence submission representing the critical regulatory bridge between planning and construction. With a 493Mt Mineral Resource, first MREC product delivered, and a Final Investment Decision targeted for 2H 2026, Viridis is one of the most advanced rare earth developers in the Americas — and one of the most closely watched catalysts in the space over the remainder of 2026.

Want to Track Viridis's Journey From Permitting to Construction?

With the Installation Licence application now formally submitted and a Final Investment Decision targeted for the second half of 2026, Viridis Mining and Minerals (ASX: VMM) is entering one of the most consequential periods in the Colossus Rare Earth Project's development. Investors seeking to understand the full scope of the project's scale, permitting progress, and pre-execution workstreams can access the complete ASX announcement directly — click here to read the full details on the Colossus Rare Earth Project.