The U.S. Department of Defense has granted Ucore Rare Metals Inc. $18.4 million to fast-track the development of its RapidSX(TM) rare-earth separation technology, marking a significant step towards reshoring rare-earth element production essential for national defense and high-tech applications. With China controlling about 80% of the global rare-earth refining market, this project is a strategic move to diversify supply chains and lessen reliance on foreign sources.
Supported by a $15 million incentive from Louisiana, the Louisiana Strategic Metals Complex (SMC) is projected to produce 2,000 tonnes of rare-earth oxides annually by late 2024, scaling up to 7,500 tonnes by 2027. The RapidSX(TM) technology stands out for its efficiency, enabling the quick delivery of heavy rare-earth elements and requiring less space than conventional methods, thereby challenging China's market dominance and bolstering U.S. supply chain resilience.
Located strategically at England Airpark near Gulf Coast ports, the SMC is set to transform geopolitical dynamics by strengthening critical defense supply chains. It will aid in manufacturing key components for F35 engines and precision-guided weapons, among other defense needs. The project also promises substantial economic advantages for central Louisiana, with the creation of 100 direct jobs and approximately 300 indirect positions.
This initiative, supported by federal, state, and military entities, presents a distinctive investment opportunity and reflects the U.S. government's dedication to ensuring a reliable and sustainable supply of critical minerals, pivotal for national security and technological progress.
