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USA Rare Earth shares rose nearly 7 per cent after the company announced the start-up of its hydrometallurgical demonstration facility in Wheat Ridge, Colorado.
{alcircleadd}The facility is expected to play a key role in the company’s efforts to build a rare earth supply chain outside China. First production of separated rare earth oxides is targeted for the third quarter of 2026.
According to the company, the plant will process material from multiple sources, including ore from its Round Top project in Texas, third-party rare earth feedstock and recycled magnet waste.
USA Rare Earth said the facility will focus on producing heavy rare earth oxides such as dysprosium, terbium and yttrium, materials widely used in magnets, electric vehicles and other advanced technologies.
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The company is developing a business that covers several stages of the supply chain, from mining and processing to the production of metals, alloys and magnets.
Material for future oxide production is expected to come from sources including Serra Verde in Brazil and the Round Top project, which is targeting commercial production later this decade.
The Wheat Ridge facility operates with automated systems and real-time monitoring technology. A team of engineers, scientists and technicians will use the site to test and improve processing methods before larger-scale production begins.
The company said information gathered from the facility will help support the feasibility study for the Round Top project, which is expected to be completed by the end of 2026 and published in early 2027.
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