While rare earth elements are “essential ingredients for our modern lives,” up to 82% of rare earth elements are imported from other countries, notes Aaron Noble, Virginia Tech professor and head of the Department of Mining and Minerals Engineering and interim head of the Department of Materials Science and Engineering.
Why are these rare earth elements so critical to modern technologies?
Noble: Rare earth elements are among the world’s “critical minerals,” but they’re really a lot like cinnamon and nutmeg in a nice cake. They aren’t always the most well-known or highest-volume ingredients, but they are the ones that bring out all the interesting capabilities and flavor. By comparison, iron and aluminum are like the flour and the eggs, because by volume, they constitute most of our materials. Rare earth elements are produced in much smaller quantities, but they enable almost all of our technological capabilities.
What are the main barriers to scaling up domestic mining and processing of rare earth elements?
First, new mines are very difficult to open. In our current era, it may take 17 or more years to open a new mine, given the significant requirements for engineering, feasibility studies, permitting, financing, and other factors. Financially, this long timeline creates significant risk for investors, which is compounded given the characteristic high volatility in rare earth element prices.
How unusual is the Department of Defense agreement with MP Materials, and what does it mean for rare earth mineral production in the U.S.?
MP Materials is the only rare earth mine in the U.S. and one of just a few rare earth mines outside of China. Its primary product is neodymium-praseodymium oxide (NdPr), a key compound in permanent magnets, which are used in consumer electronics, electric motors, and various defense products. Over the last 10-15 years, the U.S. has made modest investments in mines through loan guarantees, support for research and development, and feasibility studies. But the policy intervention employed with MP Materials and direct investment is something we haven’t seen before in the U.S. mining sector. It will, however, provide the price stability the mine needs.
