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FISHERS, Indiana - ReElement Technologies Corporation, a portfolio company of American Resources Corporation (NASDAQ:AREC), announced Friday the launch of a new urban mining-to-magnet rare earth supply chain offering toll processing services for recycled rare earth magnets. The announcement comes as AREC’s stock shows strong momentum, with a 27% surge in the past week and an impressive 66% gain over the last six months, according to InvestingPro data.
The company will separate and purify recycled magnets into high-purity neodymium, neodymium-praseodymium, dysprosium, and terbium oxides at purities of 99.5% or greater for an average cost of $25 to $35 per kilogram, according to the press release.
ReElement reports achieving over 90% recovery rates and has established partnerships with domestic magnet producers to create what it describes as a fully circular, U.S.-based supply chain.
The company processes magnets from various sources including wind turbines, automotive rotors, power tools, hard disk drives, electric motors, and magnetic separators, as well as magnetic swarf from manufacturing operations.
"Our Indiana facilities are producing high-purity, separated, and refined Nd, NdPr, and Dy, which we’ve delivered to domestic partners at costs competitive with Chinese pricing," said Mark Jensen, CEO and Chairman of ReElement. With a market capitalization of $91.32 million and analysts forecasting significant revenue growth of over 300% for fiscal year 2025, the company appears positioned for expansion. InvestingPro analysis reveals 16 additional key insights about AREC’s financial health and growth prospects.
Beyond rare earth elements, ReElement is also recycling other critical minerals including terbium, gallium, germanium, gadolinium, samarium, cobalt, and yttrium.
The company utilizes a refining platform originally developed by Purdue University for pharmaceutical purification, which it has adapted for rare earth and critical mineral separation. According to the company, this technology uses fewer chemicals and generates less waste than traditional solvent extraction methods.
ReElement expects to announce additional tolling partnerships in the coming months involving other ore-based feedstocks, in addition to its existing antimony refining services.
The information in this article is based on a press release statement from ReElement Technologies Corporation. For comprehensive analysis and detailed insights into AREC’s financial metrics, valuation, and growth prospects, access the full Pro Research Report available exclusively on InvestingPro, covering over 1,400 US stocks with expert analysis and actionable intelligence.
In other recent news, American Resources Corporation has confirmed its compliance with Nasdaq listing standards after addressing a delayed quarterly filing. The company had received a notification regarding the late submission of its Form 10-Q for the quarter ended March 31, 2025, but had already filed the document, maintaining compliance. In a significant development, American Resources, through its subsidiary ReElement Technologies, has secured a $150 million Letter of Interest from the Export-Import Bank of the United States to expand its Marion Advanced Technology Center, enhancing its critical mineral refining capabilities. Additionally, ReElement Technologies has extended its antimony refining contract to ten years, which is expected to generate annual tolling revenues exceeding $29 million. This extension is part of a strategy to ensure a stable supply of antimony amid growing domestic demand. Furthermore, American Resources has finalized the sale of its subsidiary, American Infrastructure Corporation, to CGrowth Capital Inc., with shareholders receiving common and preferred shares as part of the transaction. These developments highlight American Resources’ ongoing efforts to strengthen its position in the critical mineral supply chain and infrastructure markets.
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