ReElement Technologies' patented process produces high purity rare earth oxides from recycled permanent magnets, returning the elements back to magnet grade materials
The Company is currently scaling up its rare earth oxide refining capacity at its 425,000 square foot facility on its 42-acre Advanced Technology Campus located in Marion, Indiana
FISHERS, IN / ACCESSWIRE / March 4, 2024 / American Resources Corporation's (NASDAQ:AREC) ("American Resources" or the "Company") wholly owned subsidiary, ReElement Technologies Corporation ("ReElement"), a leading provider of high performance refining capacity of rare earth and critical battery elements, today announced that it has executed a sales and offtake agreement with USA Rare Earth LLC for the production and sale of ultra-pure rare earth elements using ReElement's patented purification and refining process, currently in production at its Noblesville, Indiana facility and being expanded at ReElement's Marion Advanced Technology Campus, located in Marion, Indiana. The sale of the purified elements to USA Rare Earth under the agreement commences in 2025 and expands to over 900 metric tons of high purity oxides (greater than 99.5% to 99.99% pure depending on the specific element being sold) annually by 2028, representing over $65 million in annual revenue (based on index and consensus pricing for the various rare earth elements) produced by ReElement. USA Rare Earth intends to utilize the high-purity oxides in the company's permanent magnet manufacturing facility currently being constructed in Stillwater, Oklahoma
Mark Jensen, Chief Executive Officer of ReElement Technologies commented, "As the leading domestic producer of ultra-high purity rare earth oxides, we couldn't be more excited to further our relationship with USA Rare Earth and their amazing team for the fully domestic production of permanent magnets from rare earth elements. As we look to inaugurate and expand our Marion Advanced Technology Campus and facility, signing offtakes with manufacturers of permanent magnets and battery materials enables us to rapidly progress the business model at ReElement and prepare for future growth and profitability. We look forward to being the key to completing the domestic supply chain for production of these products, by enabling virgin ores and end of life products to both be able to be recycled and refined all the way back to rare earth permanent magnets and lithium-ion batteries".
Tom Schneberger, Chief Executive Officer of USA Rare Earth commented, "We are thrilled to be working with an industry leader like ReElement to create a secure US-based supply of rare earth magnets in a more sustainable and efficient way. In conjunction with our other supply agreements, ReElement will enable us to ramp up production quicker and in a more environmentally friendly manner while we continue to build out our own mine in Texas."
ReElement utilizes its patented technology for the separation and purification phase of rare earth and battery material processing and refining that maximizes the surface area interface by using columns and resins, rather than toxic acids and solvents, in the hydrometallurgical process. Utilizing its technology it is able to eliminate a significant amount of capex, square footage, environmental impact and use of chemicals to create separation and purification of rare earth and critical minerals versus using the legacy methods of solvent-based extraction methods. The technology was designed over the years from commercially operating processes in the separation and purification of fructose and glucose in the sugar industry to commercial production of insulin in the drug industry.
ReElement Technologies is committed to leading the domestic supply chain for refined rare earth and battery elements in the electrified economy and national security needs. The Company has proven that its patented chromatographic separation and purification is a low cost, scalable, flexible and environmentally safe replacement to the existing environmentally and socially toxic alternatives used around the globe for critical and rare earth element separation and purification. As the Company executes and scales the production at its facilities, it will significantly reduce the United States' dependency on foreign nations for the supply of these critical raw materials while also creating a true circular life-cycle solution.
Learn more about ReElement Technologies' process and technology here - Video.
About ReElement Technologies Corporation
ReElement Technologies Corporation, a wholly owned subsidiary of American Resources Corporation (NASDAQ:AREC), is redefining how critical and rare earth elements are both sourced and processed while focusing on the recycling of end-of-life products such as rare earth permanent magnets and lithium-ion batteries, as well as coal-based waste streams and byproducts to create a low-cost and environmentally-safe, circular supply chain. ReElement has developed its innovative and scalable "Capture-Process-Purify" process chain in conjunction with its licensed intellectual property including 16 patents and technologies and sponsored research partnerships with three leading universities to support the domestic supply chain's growing demand for magnet and battery metals. For more information visit reelementtech.com or connect with the Company on Facebook, Twitter, and LinkedIn.
About USA Rare Earth, LLC
USA Rare Earth, LLC (USARE) is a US-based, vertically integrated magnet technology company. USARE is poised to become the leading domestic supplier of rare earth magnets and heavy rare earth elements required for the electric vehicle, green energy, consumer electronics, and defense industries, as well as tech metals needed for chipsets, semiconductors, and 5G.
USA Rare Earth, LLC owns a magnet production facility in Stillwater, Oklahoma and the Round Top Heavy Rare Earth and Critical Minerals deposit in Hudspeth County, West Texas. For more information about USA Rare Earth, visit usare.com.
About American Resources Corporation
American Resources Corporation (NASDAQ: AREC) is a next-generation, environmentally and socially responsible supplier of high-quality raw materials to the new infrastructure market. The Company is focused on the extraction and processing of metallurgical carbon, an essential ingredient used in steelmaking, critical and rare earth minerals for the electrification market, and reprocessed metal to be recycled. American Resources has a growing portfolio of operations located in the Central Appalachian basin of eastern Kentucky and southern West Virginia where premium quality metallurgical carbon and rare earth mineral deposits are concentrated.
American Resources has established a nimble, low-cost business model centered on growth, which provides a significant opportunity to scale its portfolio of assets to meet the growing global infrastructure and electrification markets while also continuing to acquire operations and significantly reduce their legacy industry risks. Its streamlined and efficient operations are able to maximize margins while reducing costs. For more information visit americanresourcescorp.com or connect with the Company on Facebook, Twitter, and LinkedIn.
Special Note Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks, uncertainties, and other important factors that could cause the Company's actual results, performance, or achievements or industry results to differ materially from any future results, performance, or achievements expressed or implied by these forward-looking statements. These statements are subject to a number of risks and uncertainties, many of which are beyond American Resources Corporation's control. The words "believes", "may", "will", "should", "would", "could", "continue", "seeks", "anticipates", "plans", "expects", "intends", "estimates", or similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Any forward-looking statements included in this press release are made only as of the date of this release. The Company does not undertake any obligation to update or supplement any forward-looking statements to reflect subsequent events or circumstances. The Company cannot assure you that the projected results or events will be achieved.
Investor Contact:
JTC Team, LLC
Jenene Thomas
833-475-8247
arec@jtcir.com
RedChip Companies Inc.
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Company Contact:
Mark LaVerghetta
Vice President of Corporate Finance and Communications
317-855-9926 ext. 0
investor@americanresourcescorp.com
SOURCE: American Resources Corporation
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