Rare Earth Prices Surge: Pr-Nd and Gadolinium Products See Significant Increases Amid Strong Demand

[SMM Rare Earth Flash] US critical minerals producer Energy Fuels (NYSE American: UUUU) recently announced that it has signed a definitive agreement with private equity firm Ara Partners to acquire Vacuumschmelze (VAC), a century-old German magnetic material enterprise, for approximately $1.9 billion. The transaction is expected to close in early 2027. VAC’s existing Sumter plant in South Carolina, US, has a permanent magnet capacity of 2,000 mt per year, expandable to 12,000 mt per year. The acquisition combines VAC’s downstream magnetic material manufacturing with Energy Fuels’ upstream rare earth mining and separation assets, as well as the metal capacity from the planned acquisition of Australian Strategic Materials (ASM), creating the first rare earth platform in the West that spans the entire supply chain from mining to finished magnets. VAC will retain its German headquarters and brand.

[SMM Rare Earth Express] US critical minerals developer Energy Fuels announced that it has received a conditional commitment for $725 million in senior secured debt from the US Department of Defense’s Office of Strategic Capital. The 20-year loan will be used to expand rare earth processing capacity at its White Mesa Mill in Utah and to build a rare earth metals and alloys production facility. The company plans to acquire Australian Strategic Materials (ASM) to complete its supply chain from mining to metal. Phase 1 of the White Mesa Mill processes 10,000 mt of monazite concentrates annually, producing 1,000 mt of Pr-Nd oxide. After the Phase 2 expansion, annual Pr-Nd capacity will rise to over 6,000 mt, with additional terbium (66 mt/year) and dysprosium (240 mt/year) capacity. The loan is subject to further due diligence and final documentation before disbursement.