Rare earth refinery in New Hampshire poses small challenge to China
In response to China’s dominance in the rare earths market, Phoenix Tailings, a company based in Woburn, is taking steps to guarantee a stable supply of these crucial metals for US defense contractors. The company has recently launched a new plant in Exeter, N.H., that is already producing rare earths at a rate of 200 tons per year, with the potential to ramp up production to 1,000 tons.
Nick Myers, the CEO of Phoenix Tailings, expressed confidence in the company’s ability to meet nearly half of the US military’s demand for rare earths. These metals are essential for the production of critical components, such as radars and jet engines. While Phoenix Tailings is currently selling its output to the auto industry, Myers did not confirm whether discussions with the Department of Defense are underway.
Rare earths, a group of 17 metals with unique chemical properties, are crucial in various high-tech applications, including electric cars, batteries, and chemical catalysts due to their magnetic properties. Despite their significance, the defense industry only accounts for a small fraction of rare earth consumption in the US. China’s dominance in rare earth production poses a threat to industries globally, especially with recent threats to limit sales to the US in response to tariffs.
The urgency to establish a domestic rare earth industry is growing, as many fear the potential impact of China’s restrictions on the supply chain. Phoenix Tailings has developed a water-based refining system that minimizes waste production, setting it apart from previous methods which resulted in environmentally harmful byproducts. The company’s current refining processes utilize domestic rare earth mining ore and recycled materials from old magnets, with plans to incorporate “tailings” from traditional mines in the future.
Phoenix Tailings envisions building larger refineries near mines all over the US, utilizing abundant and inexpensive tailings as a source of rare earths. By incorporating sustainable methods and innovative technologies, the company aims to disrupt China’s rare earth monopoly and secure a stable supply chain for critical industries. The Exeter plant’s success could pave the way for a resurgence of rare earth production in the US, marking a significant step towards reducing reliance on foreign sources.