Rare earths mined in Africa to be refined in the U.S. to meet rising demand from civilian and defense sectors.
British mining company Pensana and U.S.-based American Resources Corporation have announced a strategic collaboration aimed at enhancing the resilience and independence of Western rare earth supply chains. The partnership is designed to help meet the rapidly growing demand for critical minerals from both civilian and military industries in the United States and allied nations, the companies said in a joint press release (PDF).
Under the agreement, Pensana will supply up to 20,000 metric tons per year of mixed rare earth carbonate from its Longonjo mine in Angola. The material will be refined in the U.S. using advanced processing technology developed by ReElement Technologies, a subsidiary of American Resources. ReElement’s method, originally derived from a pharmaceutical process developed by Purdue, is positioned as a more environmentally sustainable alternative to conventional solvent extraction. The initial supply term is set for a period of five years.
This announcement comes just days after Pensana signed a similar offtake agreement to deliver another 20,000 tons of rare earth carbonate to a trading firm affiliated with the Toyota Group (we reported).
ReElement, for its part, also recently revealed a new funding partnership. Novare Holdings, a South African investment company, has committed a multimillion-dollar investment to support the expansion of ReElement’s refinery in Indiana. The two firms are also jointly planning the development of Africa’s first integrated critical minerals refinery.
Photo: franky242 via Canva
