For decades, the global scramble for rare earths has been a story of dependency and scarcity — and Australia has had only one serious voice in that conversation. Now, VHM Limited, backed by Mineral Resources managing director Chris Ellison, is preparing to step onto the ASX in January 2023, carrying with it a Victorian deposit of 413,107 tonnes of rare earths oxides and the ambition to become a second pillar in Australia's critical minerals story. At a projected market capitalisation of $256 million, the listing is less a financial event than a signal — that the race to build sovereign supply
Chris Ellison-backed VHM set for ASX rare earths debut in 2023
A second serious player in Australian rare earths
Mark
So VHM is going public in January 2023. What's the actual asset here—what are they actually mining?
Mimi
They're developing the Goschen Project in Victoria. It's a rare earths and mineral sands deposit. They've identified over 413,000 tonnes of rare earths oxides in the ground, which they're calling globally significant.
Luke
That's a resource estimate, right? Not a reserve. And we don't know yet whether it's economically viable at scale—that's what the final investment decision in the second half of 2023 is supposed to answer.
Mimi
Fair point. They're still in the development phase. Production isn't expected until 2025 at the earliest.
Mark
Why does Chris Ellison backing this matter? He runs Mineral Resources, which is a major iron ore and lithium player.
Mimi
It's credibility. Ellison has a track record in mining development and capital deployment. His 10.3% stake signals he believes in the project enough to put his own money in.
Luke
Though we should note he's not the only backer. They raised $31.8 million in a pre-IPO round, so there are other investors who've already committed. And the IPO itself is only raising $20 million—plus up to $10 million more if oversubscribed.
Mark
That seems small for a $445 million project.
Mimi
It is. The IPO capital is meant to fund the final investment decision and early-stage work. The bulk of the $445 million would presumably come from debt financing, project finance, or further capital raises once they've proven the project is viable.
Luke
And that's a big assumption. We don't know yet whether they'll be able to secure that financing, or at what cost. The FID in late 2023 will tell us a lot more.
Mark
So what's the investment case here?
Mimi
Rare earths are critical minerals. There's geopolitical pressure to diversify supply away from China. An Australian producer with a substantial resource could fill that gap.
Luke
But Lynas already does that. So the question is whether there's room for a second player, and whether VHM can compete on cost and scale. We won't know that until they've done the FID and started building.
Der Puls
- Lynas Rare Earths has long stood alone as Australia's rare earths champion, but VHM's imminent ASX debut threatens to break that monopoly on the sector's narrative.
- With Chris Ellison — one of Australian mining's most influential figures — holding a 10.3% stake worth roughly $19.4 million, the IPO carries serious institutional weight behind it.
- The Goschen Project in Victoria demands $445 million to develop, making the $20 million IPO raise a first step in a long and capital-intensive journey rather than a finish line.
- A final investment decision is targeted for the second half of 2023, compressing the window between public listing and the moment VHM must prove its project is real and executable.
- Global pressure to reduce dependence on Chinese rare earths production gives VHM's timeline an urgency that extends well beyond the company's own balance sheet.
For decades, the global scramble for rare earths has been a story of dependency and scarcity — and Australia has had only one serious voice in that conversation. Now, VHM Limited, backed by Mineral Resources managing director Chris Ellison, is preparing to step onto the ASX in January 2023, carrying with it a Victorian deposit of 413,107 tonnes of rare earths oxides and the ambition to become a second pillar in Australia's critical minerals story. At a projected market capitalisation of $256 million, the listing is less a financial event than a signal — that the race to build sovereign supply chains for the materials powering the modern world is accelerating, and that Australia intends to be more than a bystander.
Lynas Rare Earths has long occupied the Australian rare earths stage largely alone — but that is about to change. VHM Limited, backed by Mineral Resources managing director Chris Ellison, is preparing to list on the ASX in January 2023 at $1.35 per share, targeting a market capitalisation of at least $256 million. Ellison holds a 10.3% stake in the company, valued at roughly $19.4 million at the offer price, with the option to increase his position during the float. VHM is seeking to raise $20 million through the IPO, with room for up to $10 million in additional subscriptions if demand is strong.
At the heart of the listing is the Goschen Project in Victoria, a deposit VHM describes as globally significant, containing 413,107 tonnes of total rare earths oxides. The company was incorporated in 2014 and has already raised $31.8 million in a pre-IPO round. Bringing Goschen to production is estimated to require $445 million — $360 million in capital expenditure and $85 million in ancillary costs — with IPO proceeds directed toward the final investment decision process and early development work.
VHM expects to reach that final investment decision on Goschen's first phase in the second half of 2023, with commercial production targeted for 2025. For investors watching Australia's materials sector, the company's arrival reflects growing confidence in rare earths demand and the urgency of building domestic supply chains. As nations race to reduce reliance on Chinese production, a second ASX-listed rare earths miner with a substantial resource base could meaningfully shift the conversation around Australia's role in critical minerals — provided VHM can execute on the ambitious timeline ahead.
Lynas Rare Earths has held the Australian rare earths stage largely alone. That's about to change. VHM Limited, a mineral sands and rare earths developer backed by Chris Ellison—the managing director of Mineral Resources Limited—is preparing to list on the ASX in January 2023, bringing a second serious player into the sector.
The company is targeting a market capitalisation of at least $256 million, with shares priced at $1.35 each under its prospectus. Ellison himself holds a 10.3% stake in the company, a position worth roughly $19.4 million at the offer price, and has the option to increase his holding during the IPO. VHM is aiming to raise $20 million through the float, with provisions for up to $10 million in additional subscriptions if demand warrants it.
The engine driving this listing is the Goschen Project, located in Victoria. The company has identified what it describes as a globally significant deposit of 413,107 tonnes of total rare earths oxides at the site. VHM was incorporated in 2014 and has already raised $31.8 million in a pre-IPO funding round earlier this year. As of October 1, the company held $11.1 million in cash and had incurred $6.6 million in operating expenses during the 2022 financial year.
The path forward is clearly mapped. VHM expects to reach a final investment decision on the first phase of Goschen in the second half of 2023, with commercial production targeted for 2025. The company estimates the project will require $445 million to bring to fruition—$360 million in capital expenditure and $85 million in ancillary costs. The IPO proceeds will be directed toward funding the final investment decision process and early development work.
For Australian investors watching the materials sector, VHM's arrival signals growing confidence in rare earths demand and domestic supply chains. The timing matters: as global competition for rare earths supply intensifies and countries seek to reduce dependence on Chinese production, a second ASX-listed rare earths miner with a substantial resource base could reshape the conversation around Australian mining's role in critical minerals. The real test will come in 2023 and beyond, when VHM must execute on its development timeline and prove that Goschen can deliver the production volumes the market expects.
Bemerkenswerte Zitate
VHM expects to reach a final investment decision on Goschen's first phase in the second half of 2023, with commercial production targeted for 2025.— VHM Limited prospectus
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