Rare earths developer Ionic Rare Earths [ASX:IXR] announced the launch of Ionic Technologies, its rebranded subsidiary based in Belfast, UK.
The subsidiary, acquired earlier in 2022, develops separation and refining technology, focusing on magnet rare earth extraction and magnet recycling.
IXR shares were flat on the news and are down 50% over the past six months.
Source: tradingview.com
IXR subsidiary’s new look
On Friday, IXR announced the rebrand of its 100%-owned subsidiary Seren Technologies, located in Belfast, UK.
Seren will now become Ionic Technologies.
According to IXR, the rebrand aligns with the company’s overarching corporate strategy to become a ‘fully integrated circular economy participant for critical magnet and heavy rare earths.’
IXR said Ionic Technologies is to be a ‘first mover of downstream magnet recycling’ separating 99.9% magnet REOs for the supply of electric vehicles (EVs), as well as for offshore wind and defence systems.
The new brand should enhance its strategies for chasing a position in the competitive market of critical magnet and heavy rare earths.
Magnet REO recycling currently makes up around 40% of the current EV and alternative energy supply chain, 99% of which occurs in China.
Ionic Technologies plan to recycle and refine magnet REOs using a ‘secure and traceable’ process which enables separated and high purity forms the world will need to achieve net zero targets.
The company’s pilot plant is undergoing commissioning, and test campaigns will continue for the rest of 2022.
The plant has also received a £1.72 million grant, which the company anticipates will fast-track its magnet recycling demonstration plant to H1 2023 and allow the company to ‘scale up’ technology.
Mr Tim Harrison, Ionic’s Managing Director, commented:
‘We are delighted to be able to now formally progress with the change of name to Ionic Technologies International Limited, and to commence building the brand from which we will commercialise a leading edge, patented technology to help deliver a viable alternative solution for the processing of waste agent and swarf to produce separated and refined REOs to be used in new permanent magnets.
‘The latest statistics from Wood Mackenzie and Adamas Intelligence suggest the magnet REO supply is sourced between 30-40% from recycled materials, with China dominating over 99% of the magnet recycling landscape. IonicRE through IonicTech aims to provide an alternative option, with a low cost, modular entry for recycled magnet REOs deployable close to sources of secondary material.
‘The circular economy of rare earths will become increasingly more important over years to come, with the current production of magnet rare earths in significant deficit to forecast demand, and with no new supply coming into production, and no new projects in construction today, the deficit is expected to further increase.’
Source: IXR
Ionic to shake-up recycled renewables
The company said that can foresee the commercialisation of its technology leading to new modular magnet recycling initiatives and partnerships. Especially with government support pushing development of domestic magnet REO supply chains and boosting local production as the world chases the adoption of EVs.
Energy and renewables research group Wood Mackenzie estimates material recycling will accelerate 9% up to 2026.
With its recycling technology and flagship Makuutu Rare Earth Project in Uganda expected to produce magnet and heavy rare earths for ‘decades,’ Ionic appears confident it has an edge on the renewable energy competition.
How to play battery tech
Ionic looks to rattle the odds when it comes to recycled and refined battery tech materials.
But there are many other key commodities in the running too.
We covered them in our recent battery tech metals report by our energy expert Selva Freigedo.
Selva argues that commodities of the electrified future — like lithium, copper, and nickel — are headed for a supply crunch as supply struggles to keep pace with demand.
So how do we play the battery tech theme?
Read Selva’s free research report for more insights.
Regards,
Kiryll Prakapenka
For Money Morning
