TechMet, which was founded by Brian Menell, has invested more than $450m to date in mineral and related projects across the world. Its backers also include the US International Development Finance Corporation, a government agency. TechMet is now valued at more than $1bn.
It backs companies hunting for rare-earth minerals as well as metals including lithium, cobalt and nickel. It has invested in projects across the world and also invests in companies developing battery technology.
At the end of 2022, it had invested $48.5m in Brazilian Nickel Plc, $25.1m in Trinity Metals, and $138m in its US subsidiary.
The Qatar Investment Authority (QIA) is the country’s sovereign wealth fund, overseeing about $500bn of assets.
“QIA’s investment further highlights TechMet’s position as a leading global critical minerals investment company,” Mr Menell said.
“A major sovereign investor coming in alongside the US government accelerates our ability to scale and expand the portfolio and build significant value across critical minerals supply chains.”
Mr Menell said TechMet will also work closely with QIA on identifying additional future investment opportunities.
The most recent set of publicly available accounts for TechMet show that it made a $92.8m profit in 2022, down from $109.6m the year before. The company paid a $54.2m dividend in 2022. The profit generated in 2022 came as the group realised a $71m gain on an investment.
Mohammed Al-Sowaidi, chief investment officer of Americas at QIA said that critical minerals are essential for the global green transition.
“This investment builds on QIA’s theme of diversified energy transition and critical minerals investments,” he said.
The latest funding round brings to $105m the total that has been invested in TechMet by the US International Development Finance Corporation.
The European Union is trying to wean the region’s dependence on critical minerals away from countries including China.
“Lithium and rare earths are already replacing gas and oil at the heart of our economy,” European Union president Ursula von der Leyen said in 2022. “By 2030, our demand for those rare earth metals will increase fivefold.”
Companies from Canada and China are among those that have been hunting for commercial-scale lithium deposits in Ireland.
China became dominant in rare earths, a group of 17 minerals, by producing them at lower prices than the West, helped by government support, and often ignoring environmental concerns in a sector that can create toxic waste. In recent years, China has beefed up sustainability and closed polluting operations.
Under a new EU law that entered into force in May, the trading bloc has set ambitious 2030 targets for domestic production of critical minerals required for its green transition – 10pc of annual needs mined, 25pc recycled and 40pc processed domestically by the end of the decade.
The bloc has zeroed in on rare earths as one of the most important critical minerals due to their use in permanent magnets that power motors in electric vehicles and wind energy turbines.
EU demand is forecast to soar sixfold in the decade to 2030 and sevenfold by 2050.
