Geomega to Recycle Rare Earths from USA Rare Earth’s Anticipated Neo Magnet Production in the United States - Seite 2

“We see this collaboration with Geomega as an example of the kind of cooperation called for by the U.S. and Canadian Governments, in the area of critical minerals and Rare Earths in particular,” continued Mr. Althaus. In January, the U.S. and Canada finalized a Joint Action Plan on Critical Minerals Cooperation. The Geomega-USA Rare Earth LOI follows on a collaborative agreement between USA Rare Earth and Australia’s Arafura Resources, involving processing work at USA Rare Earth’s Colorado Pilot Plant. In 2019, the U.S. and Australian Governments committed to encourage U.S-Australian critical mineral cooperation. 

“We are very excited to be working in collaboration with USA Rare Earth. We both share the same vision to bring rare earth magnet production back to North America while securing the critical rare earth elements using Geomega’s clean technology to process magnet waste.” said Kiril Mugerman, President & CEO of Geomega. “It is exciting to be part of USA Rare Earth mine-to-magnet strategy which we can participate in and support using our rare earth clean recycling technology. Establishing a partnership initiative such as this in North America will prevent any supply chain disruptions from China for these critical elements. Every rare earth magnet factory produces waste. By working together, Geomega and USA Rare Earth will ensure that the rare earths contained in this waste shall remain in North America and are then reused to make more rare earth magnets for the U.S. and Canadian markets that comply with the McCain National Defense Authorization Act. It will be a great opportunity to demonstrate to global magnet manufacturers that there are innovative solutions to obtain rare earths from trusted sources that don’t harm the environment and produce less greenhouse gases than the current outdated methods used in China. Geomega’s vision is for every magnet factory to use our technology in order to recycle their waste and not be dependant on foreign entities,” added Mr. Mugerman.

Geomega and USA Rare Earth will negotiate mutually acceptable commercial terms including the possibility of a license agreement to develop a recycling facility at the location of its permanent magnet factory. Until such time, this LOI remains non-binding.

Rare Earth Magnets
As indicated by USA Rare Earth in its April 7, 2020 press release, according to industry estimates, permanent magnets are a $21 billion-a-year (US dollars) global market split between high performance magnets (70%) and lower performance ferrite magnets (30%) used in applications such as chargers for electrical devices and other applications where weight and performance are less important and operating conditions are less extreme.