American Resources Launches Domestic Rare Earth Magnet Supply Chain through ReElement Mining Initiative

American Resources Corp. has launched ReElement Technologies, a subsidiary that will recycle and refine rare earth magnets into high-purity oxides at an average cost of $25 to $35 per kilogram. The company aims to offer a scalable, sustainable, and secure domestic supply chain for strategic materials, including rare earths, gallium, germanium, cobalt, and other critical minerals. ReElement will process magnets from various sources, including wind turbines, automotive parts, and waste, and plans to expand tolling partnerships with ore-based feedstocks.

American Resources Corp. has recently launched ReElement Technologies, a subsidiary dedicated to recycling and refining rare earth magnets into high-purity oxides. The company aims to establish a scalable, sustainable, and secure domestic supply chain for strategic materials, including rare earths, gallium, germanium, cobalt, and other critical minerals. This initiative comes at a critical time as global supply chains face disruptions, particularly in the production of rare earth magnets, which are essential for electric vehicles and electronics.

ReElement Technologies plans to process magnets from various sources, such as wind turbines, automotive parts, and waste. The company aims to achieve an average cost of $25 to $35 per kilogram for refining these materials. This cost structure is competitive and aligns with the need for affordable and reliable sources of critical minerals.

The launch of ReElement Technologies is part of a broader trend in the industry to reduce dependence on foreign suppliers, particularly China, which accounts for about 90% of global rare earth magnet output. The disruptions in the supply chain have prompted governments and companies to explore domestic production and stockpiling of these critical components.

Mahindra & Mahindra and Uno Minda, for instance, are exploring local production of rare earth magnets to reduce dependence on China. The Indian government is also considering building stockpiles and offering incentives to support domestic production [1].

ReElement Technologies' approach to recycling and refining magnets aligns with the principles of sustainable supply chain management. By focusing on the entire product life cycle, ReElement Technologies aims to reduce waste and optimize the use of resources. This strategy is crucial for achieving operational resilience, economic efficiency, and market confidence [2].

The company's plans to expand tolling partnerships with ore-based feedstocks further underscore its commitment to sustainability. By integrating ESG (Environmental, Social, Governance) principles into its operations, ReElement Technologies is positioned to contribute to a more sustainable and resilient supply chain.

In conclusion, ReElement Technologies represents a significant step forward in the recycling and refining of rare earth magnets. Its focus on sustainability, cost-effectiveness, and domestic production aligns with the broader trend of reducing dependence on foreign suppliers. As the demand for electric vehicles and electronics continues to grow, the establishment of a secure and sustainable domestic supply chain for critical materials will be crucial for the industry's long-term success.

References:
[1] https://auto.economictimes.indiatimes.com/news/auto-components/mahindra-uno-minda-explore-domestic-rare-earth-magnet-manufacturing/122365772
[2] https://inspenet.com/en/articulo/strategies-sustainable-smart-supply-chain/