The U.S. Department of Defense has awarded Ucore Rare Metals Inc. an $18.4 million grant to advance its RapidSX(TM) rare-earth separation technology at the Louisiana Strategic Metals Complex (SMC), signaling a strategic move to decrease dependence on China for critical minerals. China currently dominates approximately 80% of the global rare-earth refining market, a position the SMC project aims to challenge by producing 2,000 tonnes of rare-earth oxides annually by late 2024, with plans to expand to 7,500 tonnes by 2027.
Located at England Airpark near Gulf Coast ports, the SMC leverages Louisiana's $15 million incentive package and the efficient RapidSX(TM) process to produce heavy rare-earth elements quickly and from a smaller operational footprint. This initiative not only strengthens U.S. defense supply chains, essential for manufacturing F35 engines and precision-guided weapons, but also promises economic benefits by generating 100 direct jobs and nearly 300 ancillary roles in central Louisiana.
For investors, the project represents a unique convergence of federal, state, and military support for a domestic rare-earth venture, highlighting the growing importance of securing a resilient and independent supply chain for critical minerals. The SMC's strategic location and advanced technology position it as a key player in the global rare-earth market, offering a viable alternative to Chinese supply dominance.
