Maginito will increase ownership in HyProMag from 42 percent to 100 percent.
Canadian mineral exploration and development company Mkango Resources Ltd. is accelerating its venture into the recycling of rare earth magnets. The subsidiary Maginito will gain full control of the British rare earth magnet recycling pioneer HyProMag for around 5,75 million euros in multiple tranches in a mixture of cash and shares tied to the company’s performance, according to a press release. Maginito will hold a 100 percent interest in HyProMag and a 90 percent interest in HyProMag GmbH, its German subsidiary.
HyProMag has licensed the patented technology HPMS (Hydrogen Processing of Magnet Scrap) developed in the Magnetic Materials Group at the University of Birmingham. This technology is the centerpiece of HyProMag. HPMS is a hydrogen-based process that is used to extract rare earth magnets from electrical products such as hard disk drives, smartphones, or loudspeakers. The extracted powder, which contains neodymium and other critical material, is an alloy that can be re-processed and is ultimately able to re-enter the supply chain of rare earth magnets, according to the company. The recycling of critical minerals is one pillar of a sustainable and resilient supply chain considering the criticality of these resources. Mkango is a longtime shareholder of HyProMag through its subsidiary Maginito and had only 2021 increased its stake in the company from formerly 21 percent to 42 percent.
Photo: iStock/Nikolay Chekalin