The company has started commercial production of mixed rare earth concentrate (MREC) in Brazil Brazilian miner Serra Verde has started commercial production of MREC from Phase I of its Pela Ema deposit in Minaçu Serra Verde CEO Thras Moraitis said: “The start of commercial production is a critical milestone in our development and means we are now the only company outside Asia to produce at scale all four critical rare earths used in the production of permanent magnets “Our product can play a critical role in supporting the growth in production of electric vehicles [EV] and wind turbines that are vital to the energy transition As we ramp up to achieve nameplate capacity Serra Verde is also working to build downstream partnerships to support the development of long-term Serra Verde is expected to produce at least 5,000t per year of rare earth oxide Rare earth oxides are essential for manufacturing high-efficiency permanent magnets used in EV motors and wind turbine generators MREC samples from the Pela Ema deposit have already been accepted by major customers and offtake agreements for a substantial portion of the planned production are secured with established processing companies Don’t let policy changes catch you off guard Stay proactive with real-time data and expert analysis Serra Verde has initiated efforts to enhance Phase I capacity at Pela Ema through plant optimisation the company is evaluating the potential for a Phase II expansion which could potentially double the run-of-mine production before 2030 long-life ionic clay deposit rich in high-value heavy and light rare earth elements (REEs) which are crucial for the energy transition The company is also committed to being the most sustainable supplier of rare earth materials globally It aims to achieve this by leveraging the superior sustainability credentials of its operations and adhering to world-class operating standards Serra Verde claims that its mining techniques are low-risk and open-pit established processing technologies without hazardous chemicals leading to lower operating costs and reduced environmental impacts The company added that its operations are powered entirely by renewable energy sources The mining site is located in an established mining district with access to technical skills and developed road and port infrastructure which enhances the operation’s sustainability profile In June 2023, Serra Verde started Phase I commissioning of its Pela Ema deposit in Minaçú The company developed an integrated REE mining and processing operation in the country and secured a capital injection of $150m (730.47m reais) to advance the project Give your business an edge with our leading industry insights View all newsletters from across the GlobalData Media network Context provides news and analysis on three of the world’s most critical issues: The reforested tailings of an asbestos mine tower above the town of Minaçu * Brazil banned asbestos in 2017 but mining continues for export * The country's last mine can no longer sustain Minaçu's economy * Mining company and government urged to support local transition Jan 25 (Thomson Reuters Foundation) - In the Brazilian town of Minaçu But the white powder that covered the streets and roofs from 1967 through the late 1980s was far from harmless snowflakes The "snow" is a memory from when the town's chrysotile (white) asbestos mine lacked safety procedures to contain the powder and stop it spreading across the nearby urban area when the town of 28,500 in the central state of Goiás thrived and jobs were plentiful at Sama the company that extracts asbestos from Cana Brava a mine covering an area almost as large as Minaçu Asbestos is a fire-proof fiber used as a building material and in industrial products but is also well-known as a substance that can cause cancer About 107,000 people die each year from asbestos-related diseases the World Health Organization said in a 2014 paper adding that local levels of asbestos-linked deaths only decline decades after its use ends but a state law under dispute in the courts keeps the Cana Brava mine operational It is home to the last asbestos mine in Brazil - but the mineral no longer sustains the town a court decision could suspend the mining activity thanks to the development of a new rare earths mine in the region some residents believe Minaçu should reinvent itself and move on from asbestos who lives near Minaçu's massive hill of asbestos tailings Now his son works for Mineração Serra Verde which plans to provide elements for wind turbines but would not think twice before allowing his grandson to work at Sama when he grows up "There is no danger," he told the Thomson Reuters Foundation After Brazil's Supreme Court ended asbestos use inside the country in 2017 locals protested in T-shirts with the slogan an anthropology professor at Catalão Federal University when Goiás lawmakers passed a bill allowing continued asbestos mining for export purposes That law is now being disputed in court by Brazil's National Association of Labor Prosecutors Asbestos is interwoven with Minaçu's identity a river and even a government-run clinic are named after chrysotile asbestos - "amianto crisotila" in Portuguese Stones filled with asbestos fibers are used to mark key sites such as the town's entrance Its upscale neighborhood - called Sama Village - has asbestos roofing in every house Many refer to Sama - which is owned by building materials company Eternit - as the "mother of Minaçu" who is due to publish a book on the town in February Sama assists any workers who have had health issues due to proven asbestos exposure Eternit said in a statement issued to the Thomson Reuters Foundation in response to questions "There are no reliable statistics on the number of workers exposed to chrysotile fibers who developed lung diseases in Brazil as a large number of diagnoses proved to be wrong after carrying out a more accurate examination," Eternit added When the asbestos industry was strong in Minaçu You had priests and pastors defending asbestos during services," said Amaral it may be taboo to disparage Sama publicly - but thousands have quietly signed settlements with the company Sama had done more than 3,000 out-of-court deals where it agreed to make pay-outs or provide health insurance to former employees labor prosecutors claimed in an ongoing lawsuit filed in 2020 The company is also under fire in legal cases filed by individuals and non-profits as well as by both federal and labor prosecutors who asked for her real name not to be used because she fears repercussions from the local community sued for damages relating to the death of her father "Even with a medical report saying (the cancer) was caused by asbestos justice hasn't been done," she told the Thomson Reuters Foundation A Goiás labor court in November ordered Eternit to pay for regular medical exams for all former mine employees for the next 30 years and the medical fees of any worker who develops health issues "likely to be associated with exposure to asbestos" a Brazilian association of people exposed to asbestos has campaigned against asbestos since 1995 and has seen many of its members die from asbestos-related illnesses for me it's a loss as if it were someone in my family," said Giannasi Then they started to get sick from the cigarettes and accused Sama (saying) it was asbestos," said Minaçu councilman Wedney Divino de Miranda Eternit's asbestos exports grew 165% from the same period in 2020 Of the company's R$833 million ($151.08 million) in net revenue Sama is the world's third-largest chrysotile asbestos producer and has shipped it to more than 150 countries, the company website says Eternit's statement said those countries include the United States Brazilian asbestos endangers workers abroad who handle the mineral founder of the Asbestos Disease Awareness Organization don't understand that exposure and death continue today," she said Sama no longer generates enough tax revenue or jobs to meet Minaçu's needs Mayor Carlos Leréia told the Thomson Reuters Foundation he said Sama still has a role to play in the local economy but Minaçu must also develop other industries like tourism Leréia is wary of depending too much on Serra Verde as he believes it will stop generating jobs once the mine is operational the Serra Verde mine has created about 1,600 jobs its executive vice-president Luciano Borges said during an online presentation last September the mine will employ about 700 people from nearby towns including Minaçu Serra Verde declined a request for interview employs about 375 people directly and 60 more through contractors the Canadian town of Asbestos changed its name in 2020 to move away from the stigma and is now trying to diversify its economy The cost of transitioning to safer and more sustainable economic models should fall on those who profited from asbestos said Laurie Kazan-Allen of the International Ban Asbestos Secretariat the Goiás state authorities and the Brazilian government should help the town chart an alternative future Asked how long it plans to keep on exploiting asbestos Eternit said that would "depend on ongoing lawsuits" it is starting to rebrand as a producer of solar-power roof tiles saying it considers itself "a sustainable company" But the solar tiles are not made in Minaçu meaning they cannot directly replace asbestos employment there Kazan-Allen said Eternit should set aside money every year to rehabilitate Minaçu when the time comes Brazil extends coal use to 2040 under new 'just transition' law Green transition slowed by economic and social barriers, not technology Global aid deals to end coal urged to prioritise workers, transparency (Reporting by Fabio Teixeira @ffctt; Editing by Megan Rowling Please credit the Thomson Reuters Foundation that covers the lives of people around the world who struggle to live freely or fairly Our Standards: The Thomson Reuters Trust Principles. 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