As part of the Raw Materials Fund, KfW is investing up to EUR 50 million on behalf of the federal government in the Nolans project of the Australian company Arafura Rare Earths Ltd. in the Northern Territory (Australia). This will strengthen the secure and diversified supply of critical rare earth elements to Germany and Europe and reduce dependencies. This investment marks the second project to be financed under the Raw Materials Fund. The fund is part of the Germany Fund, which makes it easier for private and municipal companies to invest on a large scale in Germany.

KfW serves as the central point of contact for the fund and provides the financing. However, the decision on whether to invest in a project rests with the federal government. In this way, KfW supports projects in the mining, processing, and recycling of critical raw materials, strengthens the resilience of value chains, and mobilizes private capital—as in the case of the Nolans project and its first successful investment in Vulcan Energy Resources in the Upper Rhine Graben.

Raw Materials Fund

The Germany Fund: Private Investment for Germany's Future