Peak Resources to build UK’s first-ever rare earths refinery in North Yorkshire

Peak Resources will build the UK's first rare earths refinery after the Australia-listed mining company took out a £1.85-million ($2.63 million) lease on a production site in Redcar on the River Tees in North Yorkshire, England.

Construction of the site is expected to cost £160 million and will benefit from tax, customs and infrastructure planning benefits via the UK’s freeport system, Peak Resources said.

“This is a significant milestone for Peak [Resources] and our strategy to become one of the major integrated producers of neodymium-praseodymium (NdPr) oxide outside of China,” managing director Bardin Davis said.

Peak Resources currently operates the Ngulla Rare Earth project in Tanzania, East Africa, which is expected to produce 32,700 tonnes of 45% purity rare earth concentrate when fully up and running. The company said it will ship the concentrate from Tanzania to Teesside.

Demand for rare earths is rising, particularly for magnet rare earths, including neodymium, praseodymium, terbium and dysprosium, which are used in new energy vehicles (NEVs) and wind turbines.

Australian rare earth miner Lynas reported the average price of NdPr at $68.2 per kg in the first three months of 2021, compared with $35 per kg a year earlier.

The UK has become a key hub for rare earth magnet demand, due to the rapid expansion of its wind power capacity, with UK prime minister Boris Johnson pledging to power all UK homes using wind power by 2030.

What to read next
Chinese buyers are showing strong demand for barley and corn, with significant purchases from France, Australia, and Ukraine
This consultation, which is open until March 8, 2024, seeks to ensure that our methodologies continue to reflect the physical market under indexation, in compliance with the International Organization of Securities Commissions (IOSCO) principles for Price Reporting Agencies (PRAs). This includes all elements of our pricing process, our price specifications and publication frequency. Fastmarkets FOEX […]
China has released the first round of rare earth mining and smelting and separation quotas for 2024 in a joint announcement by the country's Ministry of Industry and Information Technology and the Ministry of Natural Resources on Tuesday February 6
After a consultation period which ended on Tuesday January 30, Fastmarkets has amended the chemical specifications and names of its MB-MNO-0001 manganese ore 44% Mn, cif Tianjin and MB-MNO-0005 manganese ore 44% Mn, fot Tianjin indices.
China Northern Rare Earth Group High Tech Co expects its net profit for 2023 to have decreased by 53.97-61%, the company announced on Monday January 29
The Chinese pulp sector faces supply disruptions and market uncertainty as Canadian mills consider closures amid falling prices