Ramaco Resources Secures Five-Year Permit for Brook Rare Earth Mine in Wyoming

Brook Rare Earth Mine Permitted for Continued Operations

Ramaco Resources (NASDAQ: METC, METCB) recently secured a second five-year mining permit for its Brook mine from Wyoming’s Department of Environmental Quality. This approval authorizes ongoing coal mining and reclamation over 4,548.8 permitted acres north of Sheridan. The Brook mine contains one of the largest unconventional deposits of rare earth elements (REEs) and critical minerals sourced from coal and carbonaceous ore in the United States.

The rare earths extracted at Brook are vital to an electrified economy, especially for producing heavy magnets used in electric vehicles (EVs). Currently, the Mountain Pass mine in California is the only active US source for magnetic REEs. Ramaco’s Brook mine will help reduce America’s dependence on imports, particularly from China, which dominates refining (91%), oxide separation (87%), and magnet production (94%).

Strategic Importance of the Brook Rare Earth Mine for US Critical Minerals

The opening of the Brook Mine Carbon Ore Rare Earth project marks the first new rare earth mine in the US in over 70 years and the first new coal mine in Wyoming in more than 50 years. This project is a crucial step toward strengthening domestic supply chains for defense, technology, and clean energy sectors. A preliminary economic assessment projects an adjusted EBITDA of $134 million by 2028, based on coal production of two million tons per year.

Wyoming Governor Mark Gordon has supported this development by approving a $6.1 million Energy Matching Fund grant. This grant will finance the construction of a pilot-scale processing facility at the Brook mine, with work set to begin later this year. The initiative exemplifies a strategic push to secure critical minerals essential to national security and technological innovation.

SuperMetalPrice Commentary:

Ramaco Resources’ permit renewal and the Brook mine’s advancement are pivotal in reshaping the US rare earth supply landscape. As China continues to dominate global refining and processing, domestic projects like Brook help diversify sources and enhance supply chain resilience. This rare earth operation will not only support EV production but also bolster defense and clean energy sectors, aligning with broader national security and sustainability goals. Investors and industry watchers should closely monitor the project’s development and its impact on global rare earth markets.