Mont Royal receives conditional CMIF funding extension

Executive Summary

• Mont Royal Resources’ subsidiary, Commerce Resources, has received an extension of conditional approval for up to $2,606,977 from Natural Resources Canada’s Critical Minerals Infrastructure Fund (CMIF) to fund revised road access studies for the Ashram Rare Earths & Fluorspar Project in Quebec.
• The funding is subject to the completion of due diligence and the execution of a formal agreement, and is critical for advancing baseline, prefeasibility, and feasibility studies for the project.
• The revised logistics strategy involves a 300-kilometer road from the Ashram project to Schefferville, followed by rail transport to Sept-Iles and potential sea/road transport to Saguenay for processing, aiming to reduce capital expenditures and technical risks associated with northern port concepts.

Key Details

• Funding Amount: Conditional funding of up to $2,606,977 (approx. $2.6 million).
• Source: Natural Resources Canada’s (NRCan) Critical Minerals Infrastructure Fund (CMIF).
• Status: Extended conditional approval (originally announced Feb. 6, 2025); subject to completion of due diligence and execution of a formal agreement.
• Purpose of Funds: To progress access road studies for the revised southern road access strategy, including engineering, environmental, and key stakeholder consultation packages.
• Logistics Strategy Details:
  • Road: Delivery of mixed rare earth concentrates (MREC) by road 300 km from Ashram to Schefferville.
  • Rail: Transportation from Schefferville to Sept-Iles.
  • Sea/Road: Transport from Sept-Iles to the port of Saguenay for potential hydrometallurgical processing under a recently announced MOU.
• Strategic Benefits:
  • Reduces capital expenditures (capex) and technical risk.
  • Avoids ice-bound port concepts to the north.
  • Provides enhanced access to the Nunavik region, supporting multiple projects and indigenous groups.
  • Facilitates progression of baseline, prefeasibility, and feasibility studies.
• Project Context: Ashram is a 100%-owned rare earths and fluorspar deposit in Nunavik, Quebec, described as the highest-quality deposit of its type in Canada.

Notable Quotes

• Nicholas Holthouse, Managing Director: "I would like to thank NRCan for extending their conditional funding and for their strong support for Mont Royal's revised southern road access strategy... This funding would be critical in supporting the progression of our road studies, which would be crucial to the development of the Ashram REE [rare earth element] and fluorspar project."
• Tim Hodgson, Minister of Energy and Natural Resources: "Projects like Ashram help meet that moment by connecting Canadians and goods to new markets, strengthening our economic security, deepening partnerships with indigenous communities in Nunavik, and reinforcing Canada's position as a first-tier mining nation."
• Claude Guay, Parliamentary Secretary: "This support is helping advance the early planning and engineering work that communities and project partners need to move responsible development forward in Quebec."