Royalty Management Holding Corp (NASDAQ:RMCO) has entered into a major funding agreement with ReElement Technologies Corporation to support the development of new technologies and patents for processing, refining, and separating rare earth and other critical elements.
Under the agreement, Royalty Management will provide capital to ReElement to develop novel refining methods that aim to produce high-purity elements at lower costs, offering an alternative to traditional sources.
Royalty Management will receive an ongoing royalty of 0.5% on all gross sales of elements refined using the newly developed patents.
“We are excited about partnering with ReElement Technologies to provide the capital to them to continue their advancement and development of various new technologies around the refining and separation space,” said Thomas Sauve, CEO of Royalty Management. “The importance of these technologies and the cost-competitive nature of the process will continue to change the dynamic of how refined elements are produced.”
ReElement Technologies currently produces rare earth elements and other critical minerals for commercial, energy, and defense applications. The US-based company is a key player in efforts to expand domestic refining capacity, reducing reliance on imports from China.
The new funding has already enabled ReElement to file five additional patent applications for innovative refining technologies. Royalty Management said it plans to work with ReElement to deploy these methods at mining sites globally, aiming to lower costs and environmental impact.
This latest agreement follows a September 2024 deal in which Royalty Management funded ReElement’s research on purifying platinum group metals (PGMs) from both mined and recycled feedstocks. That program also involves royalties from products sold using the newly developed technologies.
In a separate initiative, Royalty Management is funding research at Advanced Magnet Lab (AML), which has developed more efficient permanent magnets for specialty and defense applications. Royalty Management will receive royalties on all sales of products using the new AML technologies.
Royalty Management, which acquires and develops high-value assets across resource-driven and emerging technology industries, said such strategic funding of intellectual property is central to its business model and portfolio expansion plans.