VAC and Torngat Metals Forge Strategic Partnership to Enhance Rare Earth Supply Chain
HANAU, GERMANY – Newsaktuell – 26 August 2025 – VACUUMSCHMELZE (VAC), a prominent global manufacturer of rare earth permanent magnets, has entered into a non-binding Memorandum of Understanding (MOU) with Torngat Metals, a Quebec-based company focusing on rare earth development. This agreement aims to establish an offtake arrangement that ensures Torngat Metals will provide VAC with a long-term supply of fully traceable and responsibly sourced separated rare earth oxides.
By aligning with VAC, Torngat Metals strengthens its role as a reliable participant in the permanent magnet supply chain. Once operational, the company’s Strange Lake project will be uniquely positioned to ensure a consistent supply of both light and heavy rare earth oxides necessary for permanent magnets.
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“As the only Western manufacturer of sintered rare earth permanent magnets, VAC is leading the way in establishing a diverse and robust supply chain for essential raw materials. The company is enhancing its global capabilities and moving upstream into strip casting and metal production, reinforcing each production stage. Ensuring dependable access to terbium (Tb) and dysprosium (Dy)—critical elements for high-performance magnets—is our final objective, achieved through our strategic alliance with Torngat. This commitment significantly enhances VAC’s strategic position while strengthening the industrial base. Additionally, it bolsters the national security of our allied nations by ensuring continuous availability of technology vital to our collective defense,” stated Erik Eschen, CEO of VAC.
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“This MOU underscores our advancements—not just in project development but in establishing the necessary partnerships to create a resilient and diversified supply chain for rare earth permanent magnets,” remarked Yves Leduc, CEO of Torngat Metals. “These essential minerals are crucial for advanced clean energy technologies, and we are excited to collaborate with VAC to be at the forefront of this transition.”
“The collaboration between Torngat Metals and VAC represents a significant move in Canada’s strategy to develop a secure and sustainable supply chain for rare earth elements. By promoting responsible development at Strange Lake and engaging in international partnerships with a global leader like VAC, Torngat is positioning Canada as a vital player in the permanent magnet supply chain and a powerhouse in energy and critical minerals. This agreement reflects our mutual commitment with Germany to decrease reliance on single-source supply chains and enhance the resilience of critical mineral access on a global scale,” stated Tim Hodgson, Canada’s Minister of Energy and Natural Resources.
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The issuer is solely responsible for the content of this announcement.
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About Vacuumschmelze
VACUUMSCHMELZE (VAC) is a leading global producer of advanced magnetic solutions, rare earth permanent magnets, and inductive components. With extensive expertise and a century of experience in material science and product development, VAC designs and manufactures mission-critical solutions for various sectors, including renewable energy, e-mobility, automotive, industrial automation, medical, and aerospace. VAC’s distinct capability to develop and produce from base elements to final products empowers us to deliver optimal form factors and performance, creating best-in-class efficient solutions with environmental considerations. For more information, visit 
www.vacuumschmelze.com. VAC is a portfolio company of Ara Partners, a global private equity firm focused on decarbonizing the industrial economy.
About Torngat Metals Ltd.
Torngat Metals is a Canadian private enterprise dedicated to developing the Strange Lake Rare Earth Project to responsibly provide rare earth elements essential for advanced technology and low-carbon solutions. With development initiatives in Quebec, Newfoundland, and Labrador, the firm aspires to become a globally recognized supplier of light rare earths and a leader in addressing the heavy rare earth supply challenges for dysprosium and terbium. By fostering strong partnerships with Indigenous communities and local stakeholders, and utilizing innovative methods to reduce environmental impacts, Torngat Metals is excited to play a crucial role in the global shift towards clean energy. Discover more at www.torngatmetals.com.
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