Energy Fuels Faces Delays in Rare Earth Projects but Sees Strong Market Interest in Terbium Production

[SMM Rare Earth News Flash] The preliminary economic assessment of Ramaco Resources' Brook rare earth project in Wyoming showed that at an 8% discount rate, the after-tax net present value was approximately $1.2 billion, with an internal rate of return of 38%, initial capital costs of $473 million, and a payback period of approximately 5 years. The mine had a designed life of 42 years and was expected to produce 1,000 mt of total rare earth oxides annually. The project is the first new rare earth-critical minerals mine built in the US in seventy years, and construction of mining and pilot facilities is currently underway. The Phase 1 SRC processing facility of REalloys is expected to commence operations by the end of 2026 or early 2027, with a designed annual capacity of 525 mt of Pr-Nd alloy, 25 mt of dysprosium metal, and 12 mt of terbium metal.

[SMM Rare Earth News Flash] Ramaco Resources and REalloys signed a non-binding memorandum of understanding to establish a strategic partnership aimed at building a domestic US rare earth and permanent magnet supply chain. Ramaco will supply REalloys with mixed rare earth carbonates and scandium oxide produced from its Brook project in Wyoming, while REalloys will utilize SRC facilities for separation and processing. REalloys may secure supply rights to up to 20% of Ramaco's future production of critical materials. The Brook mine is the first new rare earth mine built in the US in over 70 years, and mining and pilot-scale processing facilities are currently under construction.