Medallion Commences US Site Selection and Logistics Study for Rare-Earth Processing Facility

VANCOUVER, British Columbia, Jan. 08, 2020 (GLOBE NEWSWIRE) -- Medallion Resources Ltd. (TSX-V: MDL; OTCPK: MLLOF; Frankfurt: MRDN) (“Medallion” or the “Company”), pursuing smart production of magnet metals, has engaged international engineering group Stantec to evaluate sites in the United States for its rare-earth element (REE) extraction plant using feedstock sourced from the Southeast United States.

Medallion, after many years of testwork and development, has recently completed the design of a proprietary hydrometallurgical process to extract a REE concentrate from by-product monazite sand in a clean, safe, and automated fashion. The plant’s output is rich in Neodymium and Praseodymium (or “NdPr”), the critical input to the rare-earth permanent magnets that power the lightweight and powerful motors required in electric vehicles (EVs), defense applications, and numerous clean technologies.

“Based on recent announcements from the US Department of Defense on funding programs for rare-earth separation and magnet stockpiling as well as automakers’ desires for non-Chinese sources of NdPr we’re taking this important step toward production,” said Don Lay, President & CEO. “The military requirement for NdPr is highly strategic and looks to only add to the looming NdPr shortages forecast by industry analysts given EV market growth.”

The proposed US-based REE plant has a small footprint and capital costs that are a fraction of the traditional REE mining and processing facilities. This provides a quick pathway to production of rare-earth products for domestic markets. Medallion’s highly automated plant location will be a modern chemical processing setting with top-tier environmental standards and employ highly trained technicians. The evaluation also covers both upstream and downstream logistics options related to the transport of monazite feedstock, reagents, produced concentrates and waste material.

Key Magnet Metals -- Neodymium and Praseodymium (NdPr)

NdPr is in limited supply globally and is the critical material input to produce ultra-strong, high-strength Neodymium-Iron-Boron (NdFeB) permanent magnets. NdFeB magnets are today used extensively in the auto industry to power the small electric motors now contained in seats, mirrors, wipers, steering, air conditioning, water pumps, etc. Currently, the automotive sector represents approximately 50% of total NdPr usage globally and NdPr represents the majority of the REE market by value globally (Total REE market: approximately $4B).