MP Materials achieves a key rare-earths milestone

Article Excerpt

China currently dominates rare-earth production due in part to higher labour costs and tighter environmental restrictions in the U.S. However, politicians and government officials in the U.S. (as well as Canada) are now trying to promote domestic production, and MP Materials continues to benefit from that effort. MP MATERIALS, $22.99, is still a buy. The company (New York symbol MP; TSINetwork Rating: Extra Risk) (www.mpmaterials.com; Shares o/s: 163.2 million; Market cap: $3.8 billion; No divids.) has commenced commercial production of neodymium-praseodymium (NdPr) metal and trial production of automotive-grade, sintered neodymium-iron-boron (NdFeB) magnets at its flagship Independence facility in Texas. NdFeB magnets—the world’s most powerful and efficient permanent magnets—are essential components in vehicles, drones, robotics, electronics, and aerospace and defence systems. Independence is now poised to produce 1,000 metric tons of finished NdFeB magnets per year, with a gradual production ramp-up beginning in late 2025. The facility will supply magnets to General Motors and other manufacturers, sourcing its raw materials from Mountain Pass, MP Materials’ mine and…