New Frontiers in Critical Mineral Security

KREE - Securing Critical Minerals & REE Supply Chains Into U.S. Industry Through Structured Off-Take Agreements

Securing Critical Minerals & REE Supply Chains Through Structured Off-Take Agreements

Demand for critical minerals and rare earth elements (REEs) continues to surge, driven by global technological advancements, electrification, and geopolitical supply chain realignments.

Specializing in strategic resource investments, we leverage structured off-take agreements to secure access to high-value mineral production from Mongolia and the broader Central Asian region—an area rich in underdeveloped deposits with significant global supply potential but lacking in access to financing and management required to develop mid-scale mining assets from exploration and early-stage.

Our investment strategy is designed to de-risk early-stage mining ventures by providing structured capital in the form of convertible debt, collateralized against in-situ resources. Upon project maturation and cash flow generation, these positions seamlessly transition into off-take agreements, ensuring long-term supply security at favorable pricing structures for key minerals.

At KREE we aim to capitalize on this demand by building a streamlined, systems driven network of mining assets and leveraging advanced technology to optimize the supply chain for technology and defense firms.

Delivering Strategic Value

Value creation and risk mitigation hand in hand

The demand for critical minerals in the technology industry has skyrocketed across the globe, driving a need for more transparent, efficient, and reliable supply chains.

KREE is positioned to revolutionize the way these materials are sourced, processed, and delivered by integrating mining operations with cutting-edge technology, ensuring ethical sourcing, cost incremental efficiency, and end-to-end visibility.

Project Selection & Due Diligence

Identifying and securing interests in high-potential critical mineral assets under development or requiring additional capital for expansion, ensuring feasibility, permitting progress, and operational readiness.

Operator & Logistics Risk Management

Partnering with vetted mining operators with on-the-ground expertise, access to processing facilities, and logistics providers to optimize extraction, refining, and export operations.

Market Access & Flexible Investment Structuring

Facilitating direct engagement with end-users, including industrial manufacturers, battery producers, and national reserves, to structure competitive off-take agreements aligned with long-term demand. Deploying capital as secured, convertible debt provides near-term financing for mine development while locking in strategic off-take positions.

Geopolitical & Regulatory Expertise

Team experienced in navigating evolving global trade policies, export controls, and social and environmental compliance to ensure seamless cross-border transactions.

Why Structured Off-Take Agreements Offer Superior Financing & Supply Chain De-Risking

Lower Capital Cost & Risk Mitigation

Equity or project finance structures expose investors to high upfront capital expenditures and operational risks. Off-take financing, structured as secured convertible debt, reduces capital costs by ensuring capital is deployed with a direct claim on future production, rather than requiring full mine ownership or equity investment at the riskiest stages. Debt can be deployed in tranches, based on development milestones, ensuring development risk mitigation and further spreading capital cost. This mechanism shields investors from early-stage exploration and development risks, while securing a preferred position once cash flows begin.

Flexibility & Response to Commodity Price Volatility

By structuring agreements around future production rather than fixed asset purchases, off-take agreements allow investors to lock in supply at negotiated pricing mechanisms that can incorporate floor pricing, revenue-sharing models, or indexed pricing to global benchmarks. Although not risk free, this approach can be used to protect against short-term commodity price swings while maintaining long-term upside potential as demand for critical minerals increases.

Favorable Tax Treatment

For example, Mongolia, a core jurisdiction for KREE, levies a 30% mineral rights transfer tax on the full value of indicated or measured resources.

Off-take agreements, structured as future rights to production rather than asset transfers, obviate these excessive tax burdens while still securing robust access to critical resources. As a debt instrument convertible into off-take rather than equity, this approach avoids triggering ownership-based capital gains taxation across jurisdictions.

Improved Exit Liquidity & Marketability

Off-take agreements create a highly marketable financial position, allowing investors to on-sell commitments to industrial buyers, or commodity traders seeking secure supply chains. Compared to direct mine ownership or long-term equity stakes, this structure allows for strategic exits with lower transaction friction and fewer regulatory hurdles.

MONGOLIA: Critical Minerals Potential on a Global Scale

Mongolia is a beacon of of democracy in north-Asia. The nation is famed for its mineral resources with over 3,000 known deposits and occurrences of 50 mineral commodities. With extensive deposits of coal, copper, fluorspar, gold, iron, tungsten, uranium, zinc, battery minerals and rare earth elements, Mongolia is an under-explored critical minerals powerhouse.

To date four large REE deposits have seen significant exploration in Mongolia, having identified deposits of over 14 million tonnes of various REEs, with USGS research dating back to 2009 indicating potential for up to 31 million tonnes of national reserves.

Recent geo-political development in critical mineral resulted in significant increases in “shopping activity” in Mongolia, although KREE's 30+ years of combined in-country experience gives us a significant edge in obtining access to the right supply chain at attractive pricing.

Stable, Democratic, Navigable

Mongolia experienced remarkable growth in its mining sector over the past two decades, spurred by high demand for the Mongolia offers a stable, democratic, and resource-rich environment for U.S. companies seeking mining and commodities investments. As a market open to foreign investment, it has successfully engaged with major international mining corporations on multi-billion dollar, fostering an improving regulatory and investment landscape. While Mongolia presents strong opportunities, successfully navigating its legal, logistical, and political frameworks requires deep local expertise. KREE’s extensive on-the-ground experience, spanning over 30 years, provides a critical economic moat, leveraging established networks and strategic insights to mitigate risks, streamline operations, and unlock value in a market that rewards well-informed investors.

Targeting ‘Missing Middle’ Development

Despite precocious economic growth Mongolia still lacks full access to expertise to identify, execute, and develop the full potential of its natural resources and critical infrastructure via international private markets. KREE bridges this gap through critical in-country relationships and operational expertise alongside robust international finance and brokerage connections. Developing this 'missing middle’ expertise and financing - a vital stage between discovery and development - unlocks substantial value for global critical mineral supply chains and investors.