The U.S. and Canada can reduce their dependence on Chinese rare earth metals without discovering new deposits. The scientists at the University of Michigan and Ford’s research center have determined that the two countries’ already-established reserves amount to 35 million tons of rare earth oxides – almost 90 times more than the current annual global output.
Rare earth elements are a group of 17 metals, with neodymium, praseodymium, dysprosium, and terbium in the highest demand among them. They are used for production of powerful permanent magnets for electric vehicle motors, wind turbine generators, industrial robots, electronics, and a wide range of technologies.
Today, China accounts for about 70% of global rare earth production and holds a leading position in processing of raw materials and manufacturing of the finished products. Meanwhile, the demand for these metals is set to grow rapidly. As the International Energy Agency estimates, consumption of rare earth elements for magnet production would rise from 91,000 tons in 2024 to 123,000 tons by 2030 and to approximately 150,000 tons by 2040.
Today, the Mountain Pass deposit in California, the country’s only major operating rare earth mine, remains the primary source of rare earth metals in the United States. It accounts for the bulk of U.S. production and is considered one of the largest rare earth element deposits outside of China. However, the study shows that this is far from the only promising source of such raw materials in North America.
To assess further production growth potential, the researchers analyzed 28 deposits in exploration in the U.S. and Canada, and compared their characteristics with the largest projects in China, Australia, and Greenland. The analysis shows that many of these sites are comparable to the leading overseas deposits in terms of their reserves and ore quality and capable of delivering a significant production growth.
The researchers identified two main types of deposits. One type consists of solid rock formations whose development requires traditional mining technologies involving drilling, blasting, and ore processing. The other type consists of loose sandy deposits containing rare-earth minerals which are significantly easier and cheaper for extraction.
The authors believe that these sandy deposits along the U.S. Atlantic coast offer the fastest way to increase domestic production of rare earth elements. Many of these deposits are already under mining for titanium and zirconium, so rare earth metals can be extracted as byproducts without construction of new facilities.
However, this will not be enough for meeting a growing demand. According to the researchers’ estimates, the U.S. demand for rare earth elements could rise from the current level of approximately 65,000 tons to 95,000–122,000 tons per year by 2040. This will require launching of new large-scale mines.
The most promising sources of light rare earth elements, which include neodymium and praseodymium (the main components of magnets for electric vehicles and wind turbines) are the Bear Lodge deposit in the U.S. state of Wyoming, as well as the Wicheeda’s Canadian projects in British Columbia and Niobec’s projects in Quebec. According to the researchers’ assessment, these sites offer the most favorable combination of reserves, concentration of valuable elements, and a potential economic viability of extraction.
To ensure the supply of heavy rare earth elements, primarily dysprosium and terbium, allowing magnets to retain their properties at high temperatures, the researchers recommend focusing on the Canadian Strange Lake deposit on the border between Quebec and Labrador, as well as the Nechalacho deposit in the Northwest Territories.
The study pays special attention to the environmental aspects of mining. A lot of rare earth ores contain thorium, a naturally occurring radioactive element requiring special measures for waste storage. However, the study shows that thorium concentrations in most North American deposits are at levels that the mining industry already knows how to safely handle, thanks to the accumulated experience with operating the uranium facilities.
According to the researchers, the next step should be a detailed assessment of the most promising deposits, taking into account not only the volume of their reserves but also the potential for their processing, transportation, and integration into the available production chains. The authors emphasize that the presence of large resources alone do not guarantee independence from imports: the ability of the United States and Canada to establish a full production cycle, from ore mining to manufacturing of the finished magnets and other high-tech products will be of key importance.
