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SUNRISE Energy Metals has approved development of its Syerston scandium mine and refinery in New South Wales, Bloomberg reported.
The Australian miner, led by billionaire Robert Friedland, is targeting first production in 2028. It plans initial output of 60 tons of scandium a year, with scope to eventually triple production.
Sunrise describes Syerston as one of the world’s largest and highest-grade mineable scandium deposits.
The project has secured up to $400m in long-term debt funding from the US Department of Defense, underscoring Washington’s efforts to establish critical mineral supply chains outside China.
Scandium is used in defence, advanced manufacturing, artificial intelligence infrastructure and wireless technologies. China currently dominates global supply.
Sunrise said Chinese critical mineral export controls imposed in 2025 had sharply reduced scandium availability in Western markets.
“Supply risks associated with Chinese scandium supply reinforces the strategic importance of developing diversified sources of primary scandium production,” it said.
The US and other major economies have stepped up efforts to secure alternative sources of critical minerals as China retains a dominant position across several global supply chains.
Syerston would provide a new source of primary scandium production in Australia at a time when Western governments are seeking to reduce their reliance on Chinese supply.