HyProMag USA's rare earth magnet recycling and manufacturing project in Dallas-Fort Worth, Texas, is set to begin in the second half of 2025. The project, managed by PegasusTSI Inc. and BBA USA Inc., aims to supply 10% of U.S. domestic demand for NdFeB magnets within five years of commissioning.
The project follows the completion of a Feasibility Study in November 2024, which indicated a net present value (NPV) of US$262 million based on current market prices and US$503 million based on forecast prices. The construction is expected to take 24 months. First revenue is targeted in H1 2027.
The facility targets an annual production of 750 metric tons of recycled sintered NdFeB magnets and 807 metric tons of associated NdFeB co-products. This totals 1,557 metric tons of NdFeB within five years of commissioning. The project anticipates creating 90-100 skilled magnet manufacturing jobs.
The detailed engineering design and value engineering phase will include the completion of sufficient engineering design works to support development of the AACE Class 2 capital cost estimate to update what was outlined in the Feasibility Study. This will also support the final site selection efforts which are to be completed in H1 2025 and allow the commencement of site permitting in line with the initial project schedule.
HyProMag USA is a joint venture between CoTec Holdings Corp. and HyProMag Limited. Julian Treger, CoTec CEO, noted the project's importance in reshoring U.S. manufacturing capability and reducing dependence on foreign magnets and rare earths. Will Dawes, Mkango CEO, highlighted its contribution to a more robust rare earth supply chain.