Factbox: Companies forging a rare earths industry in the EU
27/06/2024 05:00
LONDON, June 27 (Reuters) - In the rare earths sector,
the EU will struggle to meet most of its ambitious goals in new
legislation designed to boost domestic output of critical
minerals and reduce dependence on China.
The EU's Critical Raw Materials Act (CRMA) targets that by
2030 the bloc will mine 10% of its requirements for strategic
minerals, process 40%, and meet 25% of demand from recycling.
Below are some key companies working on rare earths, with
production figures in metric tons per year.
Norwegian companies are included because even though the
country is not an EU member, it is part of the European Economic
Area.
Neodymium and praseodymium (referred to in the industry by
their joint elemental abbreviation, NdPr) are key rare earths
needed to make permanent magnets.
MINING
Leading Edge Materials LEM.V
It owns the Norra Karr project in Sweden, which analysts say
could supply most of the EU's needs for heavy rare earths with
average annual output of 5,340 tons of mixed rare earth oxides.
There has been opposition due to concerns it could pollute
drinking water, but the firm redesigned the mine and plans to
submit a new application for a lease early next year.
LKAB
Sweden's state-owned iron ore producer plans to extract rare
earths from waste material from an existing mine. It plans to
produce 2,000 tonnes a year of rare earth oxides, starting
between 2028 and 2030. An independent consultant says about 200
tonnes would be NdPr oxides.
The group also plans to develop the Per Geijer deposit,
which has up to 10 times more rare earths than existing mines,
but it could take 10-15 years before mining started, the company
said last year.
Finnish Minerals Group
This state-owned firm owns the Sokli project in Finland,
which is rich in light rare earths and could supply about 10% of
EU needs. It needs to go through environmental assessment and
permitting and the firm targets production by 2035.
Quantum Mineria
This private firm identified the Matamulas deposit in Spain,
about 225 km south of Madrid, which could produce up to 1,500
tons of NdPr oxides. A regional government rejected an
application for a mining permit in 2019 and the company is
hoping the decision will be reversed.
It is also seeking an exploration permit for another
possible project named Pl Neodymium southeast of Matamulas.
Rare Earths Norway
This private company said this month it has Europe's biggest
rare earth deposit, the Fen project in Norway, which aims to
produce 2,000 tons of NdPr by 2031.
PROCESSING/MAGNETS
Solvay SOLB.BR
The Belgian chemical group owns a 76-year-old plant in
France that produces 4,000 tons of rare earth oxides for auto
catalysts and electronics, but none of the NdPr needed for
making permanent magnets.
Solvay expects to launch output of NdPr in 2025 and aims to
produce enough processed rare earths for magnets to meet 20%-30%
of European demand, but this may not be achieved until after
2030.
Carester
This private French company founded five years ago includes
several employees who formerly worked on rare earths at Solvay.
The firm, which agreed in March to form a partnership with
Solvay, plans to start production in 2026 at a plant that will
produce over 1,000 tons of rare earth oxides mainly from
recycled magnets, but initially will also process mining
concentrates.
Neo Performance Materials NEO.TO
This Canadian-listed firm owns a processing plant in Estonia
with capacity of 3,000 tons of rare earth oxides, about a
quarter of which are NdPr.
The company is also building a permanent magnet plant in
Estonia, which is due to launch next year and ramp up to 2,000
tons capacity over the following two to three years and later
expand to 5,000 tons.
Vacuumschmelze (VAC)
One of the biggest magnet producers outside of China, this
German company would like to expand in Europe and is in
negotiations with potential customers including automakers to
secure long-term commitments.
GKN Powder Metallurgy
This private company is operating a pilot plant in Germany
for permanent magnets and is planning to build a factory in
Europe with production of 4,000 tons by 2030.
Mkango Resources MKA.V
This rare earths group is planning to build a separation
plant in Pulawy, Poland that will produce 2,000 tonnes of NdPr
oxides and 50 tons of heavy rare earths before 2030.
The company is also developing the HyProMag magnet recycling
plant in Germany, aiming to produce 500 tons of magnets by 2030.
Orano
French state-owned nuclear fuel specialist Orano is leading
the Magnolia Project, which launched in 2022 and aims to develop
a process for recycling and manufacturing permanent magnets for
EV motors with 25% recycled content.
A pilot line is due to be commissioned by the end of 2024,
but there is no timeline yet for commercial production.
Magneti Ljubljana
This private Slovenian company produces 30 tons of permanent
magnets for EVs and wind turbines. It aims to expand production
to over 2,000 tons. It plans to source raw material from U.S.
company Phoenix Tailings, which uses new technology to produce
rare earth metals from mine tailings.
MagREEsource
This French company, a spin-off from France's CNRS
scientific research institute, plans to open a plant soon to
manufacture permanent magnets from recycled materials, the first
stage of a larger factory that aims to go into production in
2027, ramping up to 1,000 tons of magnet output by 2030.
Heraeus Remloy
This private German company launched a plant last month to
recycle electronic devices into rare earth magnetic alloy
powders that can be used to make permanent magnets. The factory
plans to ramp up to full capacity of 600 tons a year within
three years. Capacity can be doubled if demand warrants it.
REEtec
This Norwegian company is building a commercial plant using
new technology for rare earths separation that is due to launch
production in 2025 with output of 720 tons of NdPr.
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INSIGHT-In race to regain rare earth glory, Europe falls short
on mineral goals NL8N3H37NI
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(Reporting by Eric Onstad; editing by Veronica Brown and
Claudia Parsons)
((mailto:eric.onstad@thomsonreuters.com; +44 20 7542 7093;
Twitter https://twitter.com/reutersEricO; Reuters Messaging:
rm://eric.onstad.thomsonreuters.com@reuters.net/))