Energy Fuels Inc., a US producer of rare earth element oxides, and Vulcan Elements, an American manufacturer of rare earth permanent magnets, have signed a Memorandum of Understanding (MOU) to advance a domestic supply chain for rare earth magnets independent of China.
These magnets are essential components in electric vehicle (EV) traction motors, as well as in defense systems, electronics, and industrial equipment.
Under the MOU, Energy Fuels will supply initial quantities of high-purity neodymium-praseodymium (NdPr) and dysprosium (Dy) oxides to Vulcan in Q4 2025. Vulcan will validate these oxides for rare earth magnet production, with the intent to establish long-term supply agreements.
NdPr and Dy are key inputs for high-performance permanent magnets that enable the efficiency and power density required in EV drivetrains.
All oxides supplied under this agreement will be sourced exclusively from US mines and processed at Energy Fuels’ White Mesa Mill in Utah, the only US facility currently capable of processing monazite mineral concentrates into separated rare earth oxides.
Monazite concentrates, sourced from The Chemours Company’s heavy mineral sand mines in Florida and Georgia, contain high concentrations of light, mid, and heavy rare earth elements, making them a sought-after feedstock.
“Together, Vulcan Elements and Energy Fuels are onshoring one of the most important supply chains for America’s future economy and security,” said John Maslin, CEO of Vulcan Elements. “Reliable access to NdPr and Dy will allow us to produce magnets essential for EVs and other critical technologies.”
Vulcan manufactures rare earth magnets at its facility in Durham, North Carolina, with applications across defense, industrial, and commercial markets. Energy Fuels has already produced high-purity NdPr oxide at commercial scale and is piloting heavy rare earth oxide production, with kilogram-scale Dy oxide samples expected in August 2025 and terbium oxide in Q4 2025.
Filed Under: Electric Motor, Technology News