Ionic Rare Earths partners with EMR to create circular supply chain for rare earth magnets

Ionic Rare Earths (ASX: IXR) has signed an agreement with UK-based sustainable materials specialist EMR to create a “game-changing” circular supply chain for magnet rare earth oxides (REO).

The parties in the deal will seek to optimise Ionic Technologies’ liberation of magnets from complex end-of-life assets for commercial supply of magnets for recycling.

Ionic Technologies is a wholly-owned subsidiary of Ionic Rare Earths.

Recycling facility

Ionic regards the deal as a significant step forward in the development of its proposed commercial magnet recycling facility in Ireland, with supply agreements now locked in from customers in the UK, Europe and Asia.

Ionic Technologies’ patented ‘made-in-Belfast’ processes, which can separate magnet REOs — specifically neodymium, praseodymium, dysprosium and terbium — to grades of more than 99.5% purity, will underpin the facility.

A recent feasibility study showed the technology has strong commercial potential.

Future supply

Ionic Rare Earths managing director Tim Harrison said the EMR partnership would aim to secure future supply for the Belfast plant and much-needed materials to accelerate the global green transition.

“We look forward to working with EMR to secure a significant inflow of our feed source and maximising the UK opportunity for magnet rare earth oxides recycling,” he said.

“Both organisations have a mutual interest in developing viable capacity for end-of-life magnet material and seeking ways to integrate and promote shared value and I believe we will both benefit from this collaboration.”

Circular supply chain

EMR strategic partnerships manager Dr Charlotte Stamper said the agreement would bring the company closer to its goal of delivering a sustainable and cost-effective circular supply chain for rare earth magnets.

“The emergence of electric vehicles and wind power in recent years means greater demand for rare earth magnets and it is crucial these materials can be safely liberated and efficiently recycled right here in the UK,” she said.

“The signing of this agreement with Ionic will help us to capitalise on years of research and development to create a scaled-up new recycling supply chain.”

Magnet recovery

Ionic Technologies has developed rare earth element (REE) separation and refining technology and applied it to the recovery of individual magnet REEs from spent permanent magnets.

Magnet rare earths currently make up approximately 90% of the value of the global rare earth industry.

Industry research predicts that around 200,000 tonnes of neodymium-iron-boron magnets will be entering waste streams around the world by 2035, with less than 25% of that amount will recycled annually.

DNA Link deal

The EMR agreement follows a deal signed earlier this year between Ionic Rare Earths and South Korea’s DNA Link, which will see the companies collaborate on the recycling of rare earth permanent magnets and magnet REO supply in the world’s third-largest magnet market.

The deal includes the potential for collaboration with the South Korean government and other international entities to establish sovereign capability in rare earths supply.

DNA Link is targeting the start-up of a permanent magnet manufacturing facility in South Korea before year-end, with neodymium-iron-boron production capacity of 1,000tpa.