Sojitz Begins Mineral Exploration and Development of Rare Earths Mines - Expanding Medium and Heavy Rare Earth Imports to Japan via JARE and Diversifying the Supply Chain in Partnership with Lynas -

Sojitz Corporation (“Sojitz”) and Australia’s major rare earths producer, Lynas Rare Earths Ltd (“Lynas”), have signed a Memorandum of Understanding (MoU) via Japan Australia Rare Earth (“JARE”)*¹ to begin discussions for mineral exploration and new development of rare earths mines. The companies have also agreed to expand the current product range and volume of medium and heavy rare earths supplied to Japan as part of a multi-pronged approach to diversify the supply chain for rare earth imports to Japan.

Rare earths, known as the “vitamins of modern industry,” can be alloyed with other metals to enhance properties such as magnetic force and durability, which makes rare earths essential raw materials in the production of cutting-edge technologies such as electric vehicles and industrial robots. Sojitz’s predecessor company, Nissho Iwai Corporation, first began handling rare earths in the 1960s. In 2011, Sojitz concluded an agreement to become the exclusive distribution company for the Japanese market importing Lynas’ light rare earth products sourced from Mt. Weld mine in Western Australia. Sojitz has since made multiple loan and equity investments in Lynas via JARE. In March 2023, JARE signed an agreement with Lynas to secure priority supply of up to 65% of Lynas’ output of dysprosium and terbium, two heavy rare earths used in the production of neodymium permanent magnets and other applications, and imports to Japan began in October 2025.

Based on a newly revised long-term supply contract with JARE, Lynas will supply 75% of its medium and heavy earths production to Japan. Four new elements*² will be added to the list of elements handled, including samarium (Sm), which will be imported to the Japanese market starting in Q1 FY2026.

Additionally, JARE and Lynas have signed the MOU to establish a steering committee for mineral exploration and new development of rare earth mines. Moving forward, the committee will not only explore the possible expansion of Mt. Weld, but also explore, assess, and develop new potential mines both in and outside Australia with the aim of increasing the stable supply of medium and heavy rare earths.

Sojitz will continue to diversify the supply chain for rare earths in order to ensure a stable supply of rare earth elements to Japan.

*1: JARE was jointly established by Sojitz and Japan Organization for Metals and Energy Security (JOGMEC).
*2: In addition to the current imports of dysprosium (Dy) and terbium (Tb), Sojitz will begin handling new elements including samarium (Sm), yttrium (Y), lutetium (Lu), and gadolinium (Gd).

[Related News]
October 30, 2025　Sojitz Begins Import of Heavy Rare Earths from Australia
March 7, 2023　Securing Supply of Heavy Rare Earths to Japan with Additional Investment to Lynas
September 20, 2022　JARE Supports Lynas’ Development with Additional Equity Investment

Contact: Sojitz Corporation Public Relations Dept.　hodo@sojitz.com