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Highlights
- Ionic Rare Earths and Viridis JV sign MoU with Brazil's first rare earth magnet lab, Lab Fab.
- Five-year MoU to drive magnet production and recycling capabilities in Brazil.
- Aim to build a self-sustaining, circular supply chain for rare earth magnets.
Ionic Rare Earths Ltd (ASX:IXR) and its joint venture partner, Viridis Mining and Minerals Ltd, recently entered into a strategic memorandum of understanding (MoU) with SENAI FIEMG Innovation and Technology Centre in Brazil. SENAI’s Lab Fab, South America’s first dedicated rare earth magnet laboratory, will collaborate with the joint venture (Viridion JV) to develop and produce rare earth magnets, further expanding the rare earth sector in Minas Gerais, Brazil. This five-year MoU positions Viridion JV to become a pioneer in Brazilian production of refined rare earth oxides (REO) through new resources or recycling of spent magnets from Ionic Rare Earths' UK-based subsidiary, Ionic Technologies.
This agreement underscores the importance of recycling in developing sustainable rare earth element (REE) supply chains, particularly within emerging markets like Brazil. According to Ionic Rare Earths’ managing director, the partnership will help scale up neodymium-iron-boron (NdFeB) magnet production at Lab Fab. The JV is working towards producing 100 tonnes per year by the end of 2026, with a focus on utilizing recycled materials to meet demand while advancing a local supply chain.
The Viridion JV has already planned scoping studies, set to begin next January, for establishing REO refinery and recycling facilities. Additionally, several potential locations are being evaluated for pilot plants near Viridis’ operations in Poços de Caldas, Minas Gerais. These plants aim to support the JV’s ambition to become a key supplier of REOs, reducing dependency on traditional REE sources by prioritizing recycled materials.
In collaboration with Lab Fab, the JV also plans to recycle waste generated during magnet production, contributing to a closed-loop supply chain. The development of a fully insulated and secure NdFeB supply in Brazil could boost advanced manufacturing capabilities and bolster the REE industry’s resilience against global supply chain disruptions.
Beyond Brazil, Ionic Rare Earths is also progressing in the UK and European markets, leveraging its Belfast-based technology to recover and recycle NdFeB permanent magnets. The company currently produces high-purity rare earth products, including neodymium oxide, didymium oxide, dysprosium oxide, and terbium oxide. This MoU demonstrates the increasing demand for sustainable, traceable rare earth products across global markets.
With a focus on establishing circular economies, Ionic Rare Earths is now exploring opportunities for similar ventures across South America, North America, and Asia. As the company expands, it aims to build a scalable, secure supply chain that supports the next generation of REE-based manufacturing across regions.
