Terra Clean’s rare earths headline is real, but it is optionality, not revenue. The Government of Canada’s “active” tag is a data label, not a permit or endorsement. Terra’s news says Fraser Lakes B hosts REE oxides and that Ottawa lists Falcon Point, the parent project, as active, which the NRCan map confirms under “Falcon Point project, active at the resource estimate stage.” The company still discloses only a historical uranium resource of 6.96 million pounds at 0.03% U3O8, not a REE resource or study, as shown on Skyharbour’s project page. Terra’s own release ties the REE language to the Oct. 15, 2025 announcement and the NRCan REE facts page.
Follow The Gatekeepers
Start with what Ottawa actually controls. NRCan curates a map that lists Falcon Point as “active,” which flags project status, not mine approval or economics. The Impact Assessment Agency is not reviewing Fraser Lakes B, and Saskatchewan has not issued REE permits for it. Until Terra files a REE resource, metallurgy, and an economic study, the gatekeepers have nothing concrete to assess.
Processing capacity is improving in province, which is helpful but not decisive. In a February 15, 2024 news release, Minister Jonathan Wilkinson said, “Critical minerals like rare earth elements are integral parts of the electric vehicle value chain,” linking federal funding to separation capacity at the SRC facility. That quote signals federal willingness to back midstream assets, not a greenlight for any specific feed source. The same release lays out expected output of about 20 tonnes per year of dysprosium oxide and 5 tonnes per year of terbium oxide, enough material for nearly half a million EV motors if feedstock and economics show up.
Control over geology and disclosure still sits with Terra. The uranium heavy context has not changed. The reported resource remains uranium and thorium, with Fraser Lakes B at 6.96 million pounds U3O8 inferred at 0.03% per the partner’s project page. Terra has advanced drilling in 2025 and highlighted intervals at Fraser Lakes, but it has not published REE grades, recovery factors, or a flowsheet tied to this deposit. Without those, REE value is narrative.
Incentives push the REE spin now. Canada’s policy push and the SRC separation build create a receptive backdrop, and “active” on NRCan’s map reads well in headlines. Terra’s team leans into that. As the Oct. 15 release puts it, “we are sitting on an active REE deposit,” said Greg Cameron, CEO of Terra. That line primes attention, but it does not change the missing pieces, namely defined REE resources and economics.
Cash obligations add another filter on timing. Terra’s option from Skyharbour contemplates C$10.5 million in exploration spend and C$11.1 million in payments over the earn‑in, with C$6.5 million payable in shares, according to Skyharbour’s release outlining the agreement economics. Those obligations steer capital to uranium targeting first, because the company’s disclosed resource, geophysics, and assays are already uranium framed.
What would flip this from optionality to asset, fast? Three documents, in order. First, an NI 43‑101 compliant REE resource with grade distribution by element. Then, bench metallurgy showing recoveries for NdPr, Dy, Tb, and Y, plus deleterious elements. Finally, a scoping study that marries those recoveries to SRC toll terms or an owned flowsheet. Terra controls the first two, Saskatchewan and counterparties influence the third.
