Energy Fuels Achieves Rare Earth Magnet Production Breakthrough

POSCO Validates Energy Fuels’ NdPr Oxides for EV Magnet Use

Energy Fuels has achieved a major milestone in rare earth magnet production. The U.S.-based company confirmed its high-purity neodymium-praseodymium (NdPr) oxides passed all quality benchmarks for use in permanent magnets. These magnets are essential for electric vehicle (EV) and hybrid EV drive units.

South Korea’s POSCO, a global leader in traction motor cores, processed the NdPr oxides into finished magnets. The result: about 3 metric tonnes of magnets, enough to power 1,500 new vehicles. Energy Fuels supplied 1.2 metric tonnes of NdPr oxide earlier this year as part of a broader supply chain agreement between the two firms.

This validation supports the build-out of a rare earth supply chain independent of China. Energy Fuels’ oxide products met strict quality assurance standards for EV components sold in the U.S., EU, Japan, and Korea.

Rare Earth Magnet Production Builds U.S. Supply Chain

Energy Fuels produces its NdPr oxide at the White Mesa Mill in Utah—the only licensed uranium mill in the United States with capabilities to refine rare earths. The raw material, monazite sand concentrate, comes from mineral sands operations in Florida and Georgia.

The company is also advancing into heavy rare earths. In August, it achieved first production of high-purity dysprosium oxide, another key magnet material. Plans are underway to expand heavy rare earth oxide production by 2026, further strengthening its non-China “mine-to-magnet” supply chain.

This rare earth success story has already impacted the market. Energy Fuels’ stock surged 13% in New York and nearly 14% in Toronto following the announcement. The firm’s market cap now exceeds $3 billion in the U.S. and C$4.2 billion in Canada.

SuperMetalPrice Commentary:

Energy Fuels has taken a critical step toward reshoring the rare earth supply chain. With geopolitical tensions and demand for EVs rising, reliable sources of magnet materials like NdPr and Dy are vital. Commercial validation by POSCO not only de-risks Energy Fuels’ operations but also signals investor confidence in domestic rare earths. If the company scales its heavy rare earth output as planned, it could emerge as a cornerstone of Western magnet production. Stakeholders should watch for long-term offtake agreements and expansion of metallization capacity in North America.