EDC supports Canada's critical minerals sector with $110 million financing for Torngat Metals

Financing will support pre-construction activities for the Strange Lake project 

OTTAWA, ON, June 17, 2025 /CNW/ - Today, Export Development Canada (EDC) is announcing a $110 million bridge financing to Torngat Metals to support the next phase of its Strange Lake rare earth project.

Anticipated to be one of the largest heavy rare earth deposits outside of China, the Strange Lake Project could play an important role in strengthening Canada's mining supply chain, while also creating jobs and enhancing Canada's global competitiveness. Once in operation, the project will employ approximately 450 workers, with a focus on Indigenous recruitment from Quebec and Labrador, fostering economic reconciliation and community-driven development. As part of the project, Torngat Metals aims to develop an open-pit mine site and concentration plant in Nunavik, along with a single-lane access road linking the site to Labrador and a separation plant.

EDC's financing will support pre-construction activities, including engineering and environmental studies. This marks the first time EDC has extended financing to an early-stage mining project, reflecting its commitment to support the responsible development of the critical minerals sector in Canada and to contribute to the Government of Canada's Critical Minerals Strategy.

The Canada Infrastructure Bank (CIB) is committed to provide a $55 million enabling infrastructure loan which will help upsize EDC's bridge loan facility to further advance the next stage of the project. With complementary financing capabilities, CIB and EDC are well-equipped to attract private sector investment and drive the growth of Canada's critical minerals infrastructure.

"This is a first-of-its-kind transaction for EDC, reflecting our commitment to taking strategic risk for sectors of strategic interest. The well-capitalized nature of the Strange Lake project allowed us to seize the opportunity to do something unprecedented—providing early-stage financing for critical mineral development," said Alison Nankivell, EDC's President and CEO. "Canada is in a nation-building moment and EDC is proud to support this project, which could have a transformative impact on Canada becoming a reliable and responsible source of rare earth minerals."

"Canada has the potential to bring a significant amount of critical minerals into production, supporting electrification, decarbonization, and national security," said The Honourable Maninder Sidhu, Minister of International Trade. "EDC's financing reinforces the Government of Canada's commitment to enabling sustainable and strategic growth for Canada's critical mineral development. The Strange Lake Project supports Canada's long-term vision for a secure and sustainable critical minerals industry, which is essential to the global energy transition."

 "We are pleased to partner with EDC to advance the Strange Lake project, a milestone in Canada's rare earth development," said Yves Leduc, Chief Executive Officer of Torngat Metals. "EDC's financing will allow us to move forward with essential pre-construction activities, contributing to the establishment of a responsible rare earth supply chain in Canada, which is vital for the global energy transition."

EDC has a long-standing history of supporting Canada's mining industry, helping businesses across the minerals and metals supply chain. This project has the potential to boost Canada's global competitiveness in the international rare earth market.

About EDC

Export Development Canada (EDC) is a financial Crown corporation dedicated to helping Canadian businesses make an impact at home and abroad. EDC has the financial products and knowledge Canadian companies need to confidently enter new markets, reduce financial risk and grow their business as they go from local to global. Together, EDC and Canadian companies are building a more prosperous, stronger and sustainable economy for all Canadians. For more information and to learn how we can help your company, call us at 1-800-229-0575 or visit www.edc.ca.

SOURCE Export Development Canada