Ionic Rare Earths Ltd (ASX:IXR, OTC:IXRRF) has formed a collaborative partnership with Ford Technologies Ltd, Less Common Metals Ltd (LCM) and the British Geological Survey (BGS) to create a UK rare earth supply chain from recycled magnets.
The partnerships were executed through the company’s 100%-owned UK subsidiary Ionic Technologies International Ltd.
Under the agreement with Ford and LCM, Ionic Technologies will use its recycling technology to produce high-purity, separated and traceable rare earths from end-of-life magnets and swarf, for supply to LCM for alloy production to be converted to neodymium (NdFeB) magnets for eventual use by Ford in its electric vehicle (EV) production.
Rare earth metal alloy production via electrolysis at LCM.
Meanwhile, the partnership with the BGS is for a feasibility study aimed at establishing a magnet recycling facility in the UK.
Both programs have been successful in obtaining UK Government grant funding amounting to £1 million each, including a direct cash injection of £750,000 under the Critical Materials for Magnets Competition, which is part of Innovate UK's CLIMATES program.
These initiatives are part of the UK Government’s broader strategy to fortify the critical mineral supply chain to support its transition to a net-zero economy.
Harnessing technology
The majority of Ford’s European Union production of EVs will come from its UK-based Halewood facility, which is planning to produce close to half a million units per annum by 2026.
To make this happen, it requires over 600 tonnes of magnet raw material per annum.
Ionic Technologies aims to fulfil this need by recycling spent NdFeB magnets, for which it has proven ability to produce high-purity rare earth oxides (REOs) at a rate of 10 tonnes per annum.
At 99.5% purity or higher, the REOs produced are suitable for use in high-specification magnets for EVs and other technologies pursuing net zero ambitions.
Feeding a need
“We are harnessing our technology to accelerate mining, refining and recycling of magnet and heavy rare earths critical for energy transition, advanced manufacturing, and defence,” IonicRE managing director Tim Harrison said.
“(The) CLIMATES funding that Ionic Technologies had been awarded by Innovate UK demonstrated IonicRE’s strategy to create a collaborative, western supply chain for rare earths with Ford Technologies and Less Common Metals in the UK and European Union.
“The other CLIMATES grant would see Ionic Technologies develop the business case and potential scale-up of a commercial magnet recycling facility in Belfast, in partnership with the British Geological Survey.”
These partnerships are a way for Ionic Technologies to commercialise the first magnet recycling facility in Belfast to feed the growing supply chain need for circular economy magnet REOs.
Investors have responded positively with shares opening 16% higher to A$0.029.