TORONTO, Sept 23 (Askume) – Canada’s Saskatchewan province has vowed to compete with China in the processing and production of rare earth metals and become North America’s first commercial alternative source of the metals used in electric vehicles and wind turbines. make magnets.
The Saskatchewan Research Council Rare Earth Processing Facility expects the demand for these magnets to increase in the coming years due to demand from original equipment manufacturers, such as vehicle manufacturers.
Home to copper, potash and uranium mines, this Canadian province is known for its mining potential.
China controls 95% of the world’s production and supply of rare earth metals. The almost monopoly position allows the country to dictate prices through export controls and create uncertainty for end users.
Last year, China imposed export controls on some key metals such as germanium, gallium and antimony, forcing Western governments to look for alternatives.
The SRC rare earth processing facility has started commercial-scale production and is expected to achieve a monthly production target of 40 tonnes of rare earth metals by the end of this year. According to SRC, the plant will produce 400 tonnes of NdPr metal per year, enough to produce 500,000 electric vehicles. The factory has already established contacts with potential customers in South Korea, Japan and the United States.
Muhammad Imran, Vice President of SRC Rare Earth Elements, said, “Our focus is on remaining competitive in the Asian Metal Price Index.” Imran added, “We are constantly trying to optimize our facilities through the use of artificial intelligence applications, which will keep our processes efficient.”
The price of rare earth metals such as neodymium and praseodymium (NdPr), set by the Chinese government, fluctuates between $65,000 and $75,000 per tonne.
However, some miners demand higher prices for metals produced outside China , arguing that Chinese metal production has lower environmental, social and governance standards.
Despite this, the market will remain competitive and producers should be prepared to meet the reference points of the Asian Metal Index, Imran said.
“This is what the market tells you the price of rare earths is, and it would be great if somebody could get a better deal than that, but whether there is a premium or not, the market will remain competitive,” he said.
