Clear Street Boosts Critical Metals Target to $20 on Saudi Rare Earth Venture

In a significant vote of confidence for a nascent rare earths player, Clear Street has lifted its price target for Critical Metals Corp. (NASDAQ: CRML) from $14 to $20, maintaining a Buy rating. The adjustment follows the company's announcement of a strategic 50/50 joint venture with the Saudi Arabian industrial conglomerate Tariq Abdel Hadi Abdullah Al-Qahtani & Brothers.

The partnership, formalized via a non-binding agreement on January 15, centers on developing a rare earth element (REE) processing facility. This plant is slated to process approximately 25% of the output from Critical Metals' flagship Tanbreez project in Greenland. The remaining 75% of production is pre-sold to markets in the U.S. and Europe, with a specific focus on supplying the American defense industrial base.

"This isn't just a financing deal; it's a geopolitical maneuver," said David Chen, a mining sector analyst at Veritas Capital. "By anchoring the project with Saudi capital and a dedicated processing hub, Critical Metals is building a tangible, China-alternative supply chain node for critical minerals. The $120 million loan under consideration from the U.S. Export-Import Bank further underscores the strategic importance Washington places on this project."

The Tanbreez mine, located in southern Greenland, has become a focal point in the West's efforts to secure independent access to rare earths—elements crucial for advanced weapons, electric vehicles, and consumer electronics. The first phase of the project is projected to yield roughly 100,000 metric tons of rare earth concentrate annually.

The deal arrives amid heightened diplomatic activity concerning Greenland's mineral resources, involving Danish, Greenlandic, and U.S. officials. For Saudi Arabia, the venture aligns with its Vision 2030 goals to diversify its economy beyond oil and invest in future-facing industries.

Market Voices:

• Eleanor Vance, Portfolio Manager at Summit Strategic Minerals Fund: "Clear Street's revised target reflects the de-risking of the Tanbreez project. A guaranteed offtake agreement and a deep-pocketed JV partner materially improve the path to production. This is a blueprint for how Western critical mineral projects need to be structured to attract capital."
• Marcus Thorne, Editor at 'The Resource Scramble' Newsletter: "Let's not get carried away. This is a *non-binding* agreement with a relatively unknown Saudi entity. We've seen countless 'China-breaking' ventures fizzle out after the press release hype dies down. The real test is securing that Ex-Im loan and breaking ground. Until then, this is just speculative noise."
• Dr. Amara Singh, Geopolitical Risk Consultant: "The U.S.-Saudi-Greenland nexus here is fascinating. It serves mutual interests: the U.S. gets a friend-shored supply chain, Saudi Arabia gains a strategic industrial asset, and Greenland secures investment. However, it further entangles mineral politics with an already complex U.S.-Saudi relationship."
• Jake Rinaldi, Independent Retail Investor: "Finally! A small-cap stock with a real plan and big partners. This is exactly the kind of project that gets bought out by a major like Lockheed or BAE in a few years. The $20 target might be conservative if they execute."

Critical Metals Corp., a subsidiary of European Lithium Limited, is based in the British Virgin Islands and conducts its exploration and development activities in Austria and Southern Greenland.