Avalon Commissions Updated Economic Study for Nechalacho Rare Earths Project

Avalon Advanced Materials ( (TSE:AVL) ) has shared an announcement.

Avalon Advanced Materials has commissioned an updated Preliminary Economic Assessment for its Nechalacho rare earths and zirconium project in Canada’s Northwest Territories, aiming to modernize a 2013 feasibility study by integrating new processing technologies, refreshed cost assumptions, and current environmental and regulatory considerations. The work, led by engineering firm Wood Canada, is expected to be completed within six months and followed directly by a new Definitive Feasibility Study, positioning Nechalacho for construction readiness, project financing, and strategic partnerships at a time when governments and industry are seeking secure, allied supply chains for critical minerals. The move also signals Avalon’s execution on its recent financing commitments to advance core rare earth and lithium assets, and underscores Nechalacho’s potential strategic role as one of the few North American deposits with both light and heavy rare earths and high magnet-grade content, which could strengthen Western supply chains serving defense, clean energy, and advanced technology sectors.

The most recent analyst rating on (TSE:AVL) stock is a Hold with a C$0.09 price target. To see the full list of analyst forecasts on Avalon Advanced Materials stock, see the TSE:AVL Stock Forecast page.

Spark’s Take on TSE:AVL Stock

According to Spark, TipRanks’ AI Analyst, TSE:AVL is a Neutral.

The score is held back primarily by weak financial quality—persistent losses and negative cash flow outweigh strong revenue growth. Technicals are supportive with price above major moving averages, but overbought RSI reduces confidence. Valuation remains constrained by negative earnings and the absence of a dividend.

To see Spark’s full report on TSE:AVL stock, click here.

More about Avalon Advanced Materials

Avalon Advanced Materials is a Canadian critical minerals company focused on supplying materials essential for Canada’s future, with key projects in rare earth elements, zirconium, and lithium. Its flagship Nechalacho project in the Northwest Territories hosts light and heavy rare earth elements plus zirconium, tantalum, niobium, and yttrium used in communications, defense, clean technology and energy applications, while the company is also advancing vertical integration of the Ontario lithium supply chain through its Lake Superior Lithium midstream hydroxide processing facility in Thunder Bay to serve the growing North American EV battery market.

Average Trading Volume: 1,751,931

Technical Sentiment Signal: Buy

Current Market Cap: C$62.6M

For an in-depth examination of AVL stock, go to TipRanks’ Overview page.