St George Mining Limited Secures Major Tax Break for Araxá Project
St George Mining Limited (ASX: SGQ) announced that the State of Minas Gerais has signed a preferential goods‑tax regime that will significantly reduce the development costs of its world‑class Araxá Project in Brazil. The agreement, signed by Governor Romeu Zema, the State Economic Development Department (SEDE) and Invest Minas, exempts any equipment and other materials acquired for the Araxá Project—including those for the pilot plant and the full‑scale industrial plant—from the state goods tax, which can reach up to 18 %.
The tax relief is expected to lower the capital intensity of the project, accelerating the path to production of niobium and rare‑earth resources. Executive Chairman John Prineas confirmed that the support aligns with the company’s long‑term strategy and strengthens its position in the critical‑materials sector.
In a related development, St George Mining’s Australian operations continue to focus on gold and nickel exploration at its Western Australia and Northern Territory properties. The company’s market cap remains at AUD 365.69 million, with a current share price of AUD 0.099 (as of 12 February 2026). Its 52‑week range spans AUD 0.015 to AUD 0.18, and the price‑to‑earnings ratio is –14.73, reflecting the company’s exploration‑stage earnings profile.
The tax break is part of a broader trend of state‑level incentives aimed at attracting investment in critical minerals, underscoring the strategic importance of St George Mining’s Araxá Project in Brazil’s mineral‑resource landscape.
