Consulting
Every deposit has a different mineralogy. Rare earths differ in value and vary in abundance. Our deep process knowledge and financial-analysis experience enables us to undertake both technical and financial due-diligence studies.
Challenges
It can be tough to process rare earth ores through to produce useful products. In the last decade, only ONE new mine/chemical plant devoted to rare earth elements (REE) has been established, while the industry compound average growth rate (CAGR) is a strong 5%, and the CAGR associated with renewable energy rare earths, Nd/Pr, is even higher at 8%. The Australian processor, Lynas, has developed the high-grade Mount Weld mine that makes a concentrate before moving it on to Malaysia where it’s treated and turned into the REEs that we use. A lot of investor cash is riding on the operation being successful—and it’s still ramping up.
These REEs are crucial to modern technology, helping power medical devices, defense systems, and clean energy. Many industries are highly dependent on REEs to produce high-strength magnets, catalyzers, computer and smartphone displays, and more. The growing market for green energy is focusing new attention on REs (Nd/Pr) for magnets to accompany vehicle electrification. The best electric motors now use RE magnets, as do wind turbines for electricity generation.
Rare earths are often found in complex geological settings, where they may be just part of a multitude of ore types. They are relatively easy to find, but are difficult to process from ore to REE intermediate or individual element. Only about 150,000 tpa of rare earth oxides (REO) are produced globally. All of the current rare earth processes are characterized by novel flowsheets and highly specific extraction and purification procedures—novel processes that are rarely easy to implement successfully.
Processing rare earth elements is also very expensive. Many projects stall due to lack of funding by financers or wary investors. Obtaining capital for this kind of development can be especially difficult for new entrants to the market.
To top it off, the processes used can produce unsafe chemical by-products and radioactive residues. So projects to extract and refine REEs require a high level of expertise in safe chemical processing and mediating environmental risk.
