Lindian Resources signs $20 million deal to buy Stepnogorsk rare earth plant for Malawi concentrate

August 11, 2026 at 07:30 AM2 min

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Australian miner Lindian Resources has signed a definitive agreement to acquire the SARECO rare earth processing plant in Stepnogorsk, Kazakhstan, for up to $20 million in tenge. The plant, previously controlled by a Russian firm, will process rare earth concentrate from Malawi under Lindian’s Astana-based affiliate Silkway Metals. Kazakh partner RA Group could receive up to $22 million in stock and performance-linked payments.

Acquisition Terms

Lindian Resources purchased the SARECO complex through Silkway Metals, a company registered in Astana. The deal covers the hydrometallurgical plant, equipment, land, buildings, and two warehouses spanning 15,500 square meters, for up to $20 million in tenge equivalent, plus VAT. Ownership will transfer after contractual conditions are met and assets are registered. Lindian is acquiring the production assets, not a share in the SARECO legal entity itself.

Kazakh Partner’s Payout

RA Group Ltd., a Kazakh software firm with a paid-in capital of $300, stands to earn up to $22 million in Lindian shares and rights. Of that, $7 million is contingent on the plant meeting production targets after restart. The exchange filings do not detail RA Group’s specific role in the transaction. RA Group is registered at the Astana International Financial Centre, with Anel Ryspayeva listed as its sole owner and director.

Plant Ownership History

SARECO was established in 2010 by Kazatomprom and Sumitomo Corporation to produce rare earth carbonates for export to Japan, with a designed capacity of 1,500 tonnes per year. In 2018, Tau-Ken Samruk bought the plant from Kazatomprom, then sold it in 2019 to Russian LLC ATEC. By the end of 2024, ATEC remained the sole participant. Lindian’s purchase now shifts control from Russian to Australian hands, with the plant slated to process concentrate imported from Malawi.