"I challenge anyone to find a better fully permitted, fully costed NdPr-focused project outside China," Arafura's Gavin Lockyer said in a statement released to the ASX in relation to the company's 54% increase in reserves to 29.5 million tonnes at Nolans in the Northern Territory.

"It meets all the criteria to be a long term, sustainable supplier of critical minerals into clean energy technologies."

Based on feasibility work completed just over 12 months ago, Arafura needs to find about A$1.1 billion to develop Nolans.

Average annual earnings were put at around $400 million (on an EBITDA basis).

Arafura started the current quarter with about $23 million cash.

Shares in Arafura were up 6% to 6.7c in morning trade, capitalising the company at $71 million.

The stock was trading at around 5c 12 months ago, and has a 52-week high of 14c.