Ionic Rare Earths Ltd (ASX:IXR, OTC:IXRRF) has entered into a Memorandum of Understanding (MoU) with UK-based metals and alloys manufacturer Less Common Metals Limited (LCM), to collaborate on building a Western supply chain for rare earth permanent magnet (REPM) production.
The MoU specifically focuses on expanding recycling opportunities from magnet manufacturing across the UK and US, engaging with related governments to support and expand the capacity for REPM recycling as an integral piece of the supply chain.
This agreement will also involve collaboration on the production of other alloys, including samarium-cobalt (SmCo) and scandium by leveraging Ionic Technologies’ recycling technology to supply high-purity oxides.
Advancing existing partnership
“We are delighted to progress the relationship further with Less Common Metals and work together on a much more expanded ambition to build resilience in new rare earth supply chains,” Ionic Rare Earths executive chair Brett Lynch said.
“LCM’s decades-long experience and its innovative approach make it a valuable partner and we look forward to progressing this partnership further as we build a Western rare earths supply chain from recycled magnets.
“This relationship provides a key unlock from our high purity magnet rare earth oxides (REOs) now to the metals and alloys that magnet manufacturing requires, and collectively we now have a much stronger position working together with a common goal.
“IonicRE and our partners are focused on taking the lead in developing a secure and traceable critical minerals supply chain in the UK and further abroad, powering our decarbonised and electrified future.”
In September 2023 IXR secured a collaboration with LCM and Ford Technologies through its UK-based subsidiary Ionic Technologies International Limited to develop a UK supply chain for converting recycled magnet rare earth oxides (MREO) into magnets.
Read: Ionic Rare Earths produces high-purity terbium oxide, adds value to Ford and LCM collabs
The company expects the first supply of recycled magnet REOs from Ionic Technologies to be delivered to LCM in July this year, as part of the collaboration with Ford.
Preparing for developments in US
“LCM is pleased to expand our relationship with Ionic Rare Earths and their recycling technology with a view to further developing the current UK supply chain and with an eye to future developments in North America,” Less Common Metals chair Grant Smith said.
“LCM has found IonicRE’s recycling technology very capable and with sufficient flexibility to assist LCM in the recycling of a wide range of materials and products including materials sourced from outside of the rare earth magnet field and we have been delighted with our progress to date.
“IonicRE’s capability in processing a wide range of materials is important to LCM, for during LCM’s 32-year history we have developed a wide-ranging customer base not only in the rare earth magnet industry but also in the super alloy and hydrogen storage industries, so it is important for LCM to be able to offer a recycling capability to our whole customer base.
“We look forward to working with IonicRE as we develop all our markets and expand our mutual capabilities.”
The two companies have emphasised the importance of promoting environmentally responsible, safe and sustainable practices in all aspects of their projects and operations, by committing to the highest industry standards in safety, environmental protection and sustainability, including IRMA or equivalent standards.
The agreement is valid for 12 months, during which the two companies expect to negotiate definitive agreements to replace the MoU.