American Resources Corporation (NASDAQ:AREC) has announced its support for the US Senate’s proposed bill: Restoring Essential Energy and Security Holdings Onshore for Rare Earths (REEShore) Act of 2022, which would establish a strategic reserve of rare earth metal and rare earth metal products.
The company said the strategic reserve would build a one-year supply of rare earth elements to meet the domestic needs of the US in the event of a supply disruption.
“In the first half of 2022 we will be operating our Noblesville, Indiana rare earth processing facility that will be producing isolated critical and rare earth elements to a 99.5% or greater purity through the recycling of end-of-life permanent magnets and lithium-ion batteries,” American Resources CEO Mark Jensen said in a statement.
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“There is an estimated $3 billion of rare earth metals that go to landfills yearly in the United States, but there is currently limited domestic permanent magnet manufacturing. Our technology and processes help address our national sustainability and supply chain challenges by closing the loop on the life cycle of these metals,” Jensen added.
American Resources noted its American Rare Earth LLC subsidiary is finalizing the build of its rare earth and battery metals processing facility in Indiana, which is first focusing on the circular supply chain of these increasingly important raw materials.
It added that the facility will be used to isolate and purify rare earth elements from end-of-life rare earth permanent magnets as well as refine black mass acquired from the recycling of spent lithium-ion batteries.
The company said the end-of-life magnets are considered super-grade or highly concentrated feedstocks of the rare earth elements neodymium (Nd), praseodymium (Pr) and dysprosium (Dy), essential in high-efficiency motors required in electric vehicles as well as defense and technology applications.
American Resources has a growing portfolio of operations in the Central Appalachian basin of eastern Kentucky and southwest Virginia where premium quality metallurgical carbon and rare earth mineral deposits are concentrated.
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