Ionic Rare Earths (ASX: IXR) Advances Magnet Recycling and REE Projects
Operational Achievements
Ionic Rare Earths Limited (ASX: IXR) announced a peer-reviewed Life Cycle Analysis by Minviro, confirming up to a 61% reduction in CO₂ emissions from its magnet recycling process compared to existing supply chains. The company also launched the MagNetZero™ initiative, a collaborative platform aimed at controlling embedded carbon in magnet supply chains. Additionally, IonicRE signed a Memorandum of Understanding with South Korea’s DNA Link to collaborate on recycling efforts for the Korean magnet market.
Project Developments
The Makuutu Heavy Rare Earths Project in Uganda, where IonicRE holds a 60% stake, continues to progress with discussions among Mineral Security Partnership members and potential off-takers to expedite the development of the shovel-ready project. In Brazil, the joint venture with Viridis Mining and Minerals Limited is moving forward, with ongoing talks to secure sites for pilot plants near existing operations.
Financial Performance
In the half-year financial report for the six months ending December 2024, IonicRE reported a net loss of A$4.76 million, significantly lower than the previous period’s loss of A$15.16 million. The company attributed this improvement to reduced corporate and project-related costs.
Future Outlook
IonicRE aims to finalise permitting for its Belfast magnet recycling facility within the calendar year and expects to make a Final Investment Decision in 2025, with production commencing in early 2027. The company is also seeking a substantial capital grant from the UK Government’s Automotive Transformation Fund to support the development of its commercial REO manufacturing facility. Plans to expand globally into the USA, Europe, and Asia are underway, alongside continued advancements in the Makuutu project to meet the rising demand for heavy rare earth elements.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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