2025年稀土资源-市场动态和地缘政治如何推动多样的投资路径报告（英文版）-

2025

THERAREEARTHIMPERATIVE

Howmarketdynamics&geopoliticsdrive

diverseinvestment

pathways

2

CONTENT

EXECUTIVESUMMARY3

INTRODUCTION5

1.THEINTRINSICVALUE&PROPERTIES

OFREEs6

2.GLOBALREERESOURCES

&PROJECTPIPELINE10

3.BENEFICIATION&SEPARATIONPROCESSES16

4.GLOBALPRODUCTIONOFRAREEARTHS:

CONCENTRATION,DISPARITY,MARKET

VALUE&SUPPLY/DEMANDBALANCE18

5.REESUPPLYCHAIN,PRICING&EFFECTS

OFCHINESEDOMINANCE22

6.GLOBALREEOXIDESUPPLY/DEMAND

OUTLOOK24

7.ALTERNATIVEREESOURCING

&USAGEOPTIMIZATION26

8.INVESTMENTPATHWAYSINREEs28

CONCLUSION—NAVIGATINGTHE

EVOLVINGLANDSCAPEOFREES32

AMERHAGECHAHINE

Partner,Energy,Utilities&Resources(ENUR)Dubai

ILYAEPIKHIN

Principal,ENURDubai

PETERKAZNACHEEV

Principal,ENURDubai

TRUNGGHI

Partner,ENURSingapore

KISEKIHIRAKAWA

Consultant,GrowthDubai

ARTHURD.LITTLE

3

EXECUTIVESUMMARY

Thisreportdelvesintothecriticalroleofrareearth

elements(REEs)—the17indispensableminerals

underpinningmoderntechnology,fromsmartphones

andelectricvehicles(EVs)toadvancedmedical

equipmentanddefensesystems.Whilenotgeologicallyrare,theirextractionandprocessingarecomplex,

costly,and,crucially,highlyconcentrated.

Ouranalysisunderscoresaprofoundmarketimbalance:ChinaholdsaleadingpositionintheglobalREE

landscape,controllingapproximately70%ofmining

andastaggering80%-90%ofseparationandrefining

capacity,particularlyforhigh-valueheavyREEs(HREEs).ThishighdegreeofmarketconcentrationgivesChina

significantgeopoliticalleverageandcreatesprice

volatility.Whilethishasimplicationsfortheviability

ofnon-Chineseproducers,italsounderscoresthe

importanceofdiversifyingsupplysourcestoenhance

globalsupplychainresilience.Anotherkeychallengeisthe“balanceproblem,”wheretheco-productionofhigh-demandmagnetelements(neodymium,praseodymium,dysprosium,andterbium,whichaccountfor~90%of

marketvalue)leadstoanoversupplyoflessvaluableelementslikeceriumandlanthanumanddistorts

projecteconomics.ThegrowingdemandforREEsis

compoundingthisissue,especiallyformagnet-criticalelementslikeneodymium-praseodymium(NdPr),whichisprojectedforrobustgrowth(8.4%CAGRforNdPrby

2035),drivenbytheburgeoningEV,windturbine,and

roboticssectors.Thistrajectorypointstowardpotentialdeficits,particularlyfordysprosiumandterbium,unlessnew,diversifiedsupplyandprocessingcapacitiesare

rapidlydeveloped.

4

REPORT:THERAREEARTHIMPERATIVE

Strategicinvestmentisparamounttorespondtotheconditionsdescribedabove.Thisreportidentifiesthreekeypathways:

1.Diversifyingprimaryresourceextraction—

prioritizingprojectsingeopoliticallystableregions,withaparticularfocusonhigh-valueionadsorptionclay(IAC)deposits,whichpossessfavorableHREEcontentwithpotentiallyfasterdevelopment

timelinescomparedtotraditionalhard-rockmines.

2.Strengtheningglobalmidstreamcapacity—

investinginnewseparationandrefiningfacilities

throughouttheworld,whichwouldenhancethe

resilienceanddiversityofthesecriticalstagesin

theREEvaluechain.Companies,includingAustralia’sLynasRareEarthsandtheUS’sMPMaterials,are

notablepioneersinthiseffort.

3.Advancingthecirculareconomyandinnovation—promotingREErecyclingfromend-of-lifeproductsandindustrialwastestreams(e.g.,phosphogypsum)

andfurtheringR&Dtoidentifyusagereduction

strategies,suchasgrainboundarydiffusion(GBD)inmagnetmanufacturing,tomitigatedemand

pressures.

Navigatingthisevolvinglandscaperequiresconcertedactionfromgovernments,privateinvestors,and

industrystakeholders.Thisincludesfostering

nationalchampions,supportingtechnological

innovation,streamliningpermittingprocesses,andencouraginginternationalcollaborationtobuild

resilient,geographicallydiverse,andresponsibleREEvaluechains.Ultimately,securingastablesupplyofthesecriticalrareearthmaterialsisnotmerelyan

economicconsideration;itisastrategicnecessityfortechnologicaladvancementandasustainable21st-centuryfuture.

ARTHURD.LITTLE

5

INTRODUCTION

Youwakeuptothegentlebuzzofyour

smartphone.YouflickonyourLCD(liquidcrystaldisplay)orOLED(organiclight-emittingdiode)TVtocatchuponthelatestnews.Aquickcall

fromacolleagueonanothercontinenthelpsyoualigntheupcomingmeetingagenda.YoupopinyourAirPods,hopintoyourEV,and

drivetotheoffice.Later,youwillswingbythemedicalcenterforaphysical,whichincludesacomputerizedtomography(CT)scanwith

contrast.Thisisyourplanfortoday.Butthereisatwist:noneoftheseactivitieswouldbe

possiblewithoutthemagicofREEs,quietlypoweringthedevicesandtechnologiesthatsurroundus.

Theworld’smostpowerfulmagnetsarecraftedfromfourREEs:neodymium,praseodymium,

dysprosium,andterbium.Theseelements

makeyourphonevibrate,enhanceyoursoundexperience,andhelpconverttheelectrical

energyinyourEV’sbatteryintokineticenergytoturnthewheels.Withouteuropium,yttrium,andterbium,youcanforgetaboutthevibrantcolorsonyourTVdisplay.Andwithouterbium-dopedamplifiersinlong-distancecables,yourtranscontinentalvideochatcouldnotconnect.

DuringyourCTscan,gadoliniumstepsinas

thecontrastagent,givingdoctorsacrystal-

clearimageofyourbloodvessels,helpingthemspotpotentialconcerns.Andthatupcoming

minimallyinvasiveskinsurgery?Itismade

possiblebylasers;specifically,thulium-doped,yttrium-aluminumgarnetlasers,whichoperateatwavelengthsperfectforminimallyinvasiveprocedures.

REEsAREUNSUNGHEROES,QUIETLYSHAPINGOUR

HIGH-TECHLIVES

Thisisjustasnapshotofadayinthelifeofa

moderncitizen.Asyoucansee,REEsareunsungheroes,quietlyshapingourhigh-techlives.

Theincreasingubiquityofthesetechnologiessignalsagrowing,andoftenunderappreciated,demand,makingadeeperunderstandingof

theREEsectormorecriticalthaneverforbothstrategicplanningandinvestment.

Thisreportoffersauniquevalueproposition.

Wesynthesizeinformationfromdisparate

sources:geologicalsurveys,marketanalyses,

geopoliticalreports,andcompanyfilingsto

provideaholistic,investor-focusedintroductiontotheREEsector,whichcanserveasastartingpointforprivateandpublicsectordecision

makersalike.Ouraimisnotjusttoexplain

REEs,buttoidentifyactionableinvestment

opportunitiesinaworldincreasinglydependentonthesecriticalmaterials.Understanding

theforcesshapingtomorrow’sREElandscapeisparamountforstrategicinvestment

andsecuringatechnologicallyadvanced,sustainablefuture.

6

REPORT:THERAREEARTHIMPERATIVE

1.THEINTRINSICVALUE&PROPERTIESOFREEs

Thedomainofcriticalmaterialshasgarneredattentioninrecentyears,withREEsstanding

prominentlyattheforefrontofstrategic

discourse.Thisgroupof17chemicallysimilar

metallicelements,comprisedof15lanthanides,plusscandiumandyttrium,isnotmerely

anesotericentryontheperiodictable;it

constitutesindispensablecomponents

underpinningavastspectrumofmodern

technologies.REEs’uniquephysicochemical

properties,derivedlargelyfromtheirelectronicstructures,makethemcriticalinapplicationsrangingfromconsumerelectronicsand

medicaldevicestoadvanceddefensesystemsandthegrowinggreenenergysector.This

irreplaceability,coupledwithacomplexsupplychain,underscoreswhynowisanopportune

momenttoconsiderstrategicinvestmentsandinterventioninthisvitalsector.

Figure1.CrustalabundanceofREEs

(partspermillion,2024)

Nickel(28Ni)

90

Zinc(30Zn)

79

Copper(29Cu)

68

Cerium(58Ce)

61

Lanthanum(57La)

31

Cobalt(27Co)

30

Neodymium(60Nd)

mm27

Yttrium(39Y)

mm24

Scandium(21Sc)

16

Lead(82Pb)

10

Praseodymium(59Pr)

mm7

Thorium(90Th)

6

Samarium(62Sm)

mm5

Gadolinium(64Gd)

4

Dysprosium(66Dy)

4

Tin(50Sn)

2

Erbium(68Er)

2

Ytterbium(70Yb)

2

Europium(63Eu)

1

Holmium(67Ho)

I0.8

Terbium(65Tb)

0.7

Lutetium(71Lu)

0.4

Thulium(69Tm)

0.3

Silver(47Ag)

0.080

Gold(79Au)

0.0031

Promethium(61Pm)

10^(-18)Rareearths

Otherminerals

Source:ArthurD.Little;Chen,Pingetal.“GlobalRareEarthElementResources:AConciseReview.”AppliedGeochemistry,Vol.175,November2024

FUNDAMENTAL

GEOCHEMICAL&

PHYSICALPROPERTIES

Counterintuitively,manyREEsarerelatively

abundantintheEarth’scrust(seeFigure1),

withcerium,forexample,beingmoreplentifulthancopper.However,theirwidespreadlow

concentrationmakesitdifficulttoidentifyeconomicallyviabledeposits.Thisleadstocomplexandcostlyextractionprocesses,creatingpotentialvulnerabilitiesand

opportunitiesforminingcompaniesandbusinessesreliantonREEs.

ThestrategicvalueofREEsstemsdirectlyfromtheiruniqueandpotentmagneticandoptical

properties,whichareessentialforarangeof

advancedapplications.Thesepropertiesenabletheproductionofhigh-performancepermanentmagnetscrucialforconvertingelectricinto

kineticenergyandviceversainEVs,wind

turbines,andconsumerelectronics,aswellasspecializedlasers,lighting,displays,polishingcompounds,andcatalystsfortheoil&gasandautomotivesectors.

Thesedistinctivecharacteristicsarisefrom

thespecificatomicstructureofREEs(their4felectronorbitals).Fromapracticalstandpoint,thismeanstheycancreatethemostpowerfulandstablelocalizedmagneticmoments

andallowmagnetstooperateathighertemperaturesandunderpressure.

Geologically,thesimilarchemicalnatureof

REEs(includingtheircommon+3oxidationstateandcomparableionicradii)meanstheyoften

occurtogetherinmineraldeposits,thoughtheyarealsohighlyreactivemetals,particularlywithoxygenandmoisture,whichaddscomplexitytotheirprocessing.

ARTHURD.LITTLE

7

DISTINGUISHINGBETWEENLREEs,HREEs&SCANDIUM

Figure2showsdistinctionswithintheREEgroup

basedonatomicweightandproperties:

-Lightrareearthelements(LREEs).These

includeelementsfromlanthanum(57)to

gadolinium(64)andaremoreabundant

andlessexpensivethanHREEs,exceptfor

neodymiumandpraseodymium,whichare

pricierduetotheiruseinpermanentmagnets.LREEsarecharacterizedbyunpaired4f

electrons.

-HREEs.Thisgroupspansfromterbium(65)tolutetium(71)andincludesyttrium(39),duetoitssimilarproperties.HREEsusuallyhavepaired4felectrons,arelessabundantthanLREEs,andaremorevaluable,asdysprosiumandterbiumarecrucialforenhancing

NdFeBmagnets’performance.Theirscarcitymakesthemkeyforinvestmentinresourceexploration.

REEs’UNIQUE

PHYSICOCHEMICALPROPERTIESMAKETHEMCRITICALINAPPLICATIONS

-Scandium.Scandium(21)isdistinctfrom

LREEsandHREEs,withasmallerionicradius

anduniqueapplications,primarilyinhigh-

strengthaluminumalloysforaerospace.Itis

bestviewedasauniquememberofthebroaderREEfamily;itisrelatedmainlyduetoits

appearanceinthesamedeposits.

Figure2.How17REEsappearintheperiodictable

Period

7

90

92

93

91

101

95

100

97

98

99

96

94

Pu

102

U

Th

Cm

Pa

Am

Bk

Cf

Np

103

232

(238)

(237)

Lr

Fm

Es

Md

(231)

(242)

No

(254)

(243)

(247)

(256)

(247)

(257)

(254)

(249)

(253)

Nonmetals

Group

1

18

1

1

H

1.008

2

13

14

15

16

17

2

He

4.003

2

3

Li

6.941

4

Be

9.012

5

B

10.81

6

C

12.01

7

N

14.01

8

O16

9

F19

10

Ne

20.18

3

11

Na

22.99

12

Mg

24.31

3

4

5

6

7

8

9

10

11

12

13

Al

26.98

14

Si

28.09

15

P

30.97

16

S

32.07

17

Cl

35.45

18

Ar

39.95

4

19

K

39.10

20

Ca

40.08

21

Sc

44.96

22

Ti

47.88

23

V

50.94

24

Cr52

25

Mn

54.94

26

Fe

55.85

27

Co

58.47

28

Ni

58.69

29

Cu

63.55

30

Zn

65.39

31

Ga

69.72

32

Ge

72.59

33

As

74.92

34

Se

78.96

35

Br

79.9

36

Kr

83.8

5

37

Rb

85.47

38

Sr

87.62

39Y

88.91

40

Zr

91.22

41

Nb

92.91

42

Mo

95.94

43

Tc

(98)

44

Ru101.1

45

Rh

102.9

46

Pd

106.4

47

Ag

107.9

48

Cd112.4

49

In114.8

50

Sn118.7

51

Sb121.8

52

Te

127.6

53I

126.9

54

Xe131.3

6

55

Cs

132.9

56

Ba

137.3

57

La

138.9

72

Hf

178.5

73

Ta

180.9

74

W

183.9

75

Re

186.2

76

Os

190.2

77

Ir

192.2

78

Pt195.1

79

Au

197

80

Hg

200.5

81

Tl

204.4

82

Pb

207.2

83

Bi

209

84

Po

(210)

85

At

(210)

86

Rn

(222)

7

87

Fr

(223)

88

Ra

(226)

105

Db

(260)

106

Sg

(263)

107

Bh

(265)

108Hs

(263)

109Mt

(266)

110

Ds

(271)

111

Rq

(272)

112

Uub

(285)

113

Uut

(284)

114

Uuq

(289)

115

Uup

(288)

116

Uuh

(292)

118

Uuo0

Alkalimetals

AlkalineearthmetalsTransitionelements

Othermetals

Metalloids

Halogenes

NoblegasesLanthanidesActinides

117

Uus0

Rf

(257)

Ac

(227)

104

89

6

58

59

60

61

62

63

64

65

66

67

68

69

70

71

Ce

Pr

Nd

Pm

Sm

Eu

Gd

Tb

Dy

Ho

Er

Tm

Yb

Lu

140.1

140.9

144.2

(147)

150.4

152

157.3

158.9

162.5

164.9

167.3

168.9

173

175

Source:ArthurD.Little

8

REPORT:THERAREEARTHIMPERATIVE

APPLICATIONS

FORTHE17REEs

The17REEseachoccupyadistinctand

frequentlyirreplaceabletechnicalniche(see

Figure3).Thisspecializationiscriticalacross

numeroushigh-valuesectors,withspecificREEsunderpinningkeytechnologicaladvancements.

High-performancemagnets

-Neodymium(Nd)andpraseodymium(Pr),

oftenwithdysprosium(Dy)andterbium(Tb)toenhancehigh-temperaturestability,arethedrivingforcebehindNdFeB(neodymium-iron-boron)permanentmagnets.Thesemagnets

areattheheartofEVmotors,windturbine

generators,robotics,andamyriadofconsumerelectronics.

-Samarium(Sm)isessentialforsamarium-

cobalt(SmCo)magnets,whicharepreferredfordemandingaerospaceandnuclear-controlapplications.

Catalysis&industrialprocesses

-Cerium(Ce)andlanthanum(La)are

foundationaltohigh-volumechemical

markets.Ceriumservesasaworkhorsein

glass-polishingpowdersandthree-wayauto-exhaustcatalysts.Lanthanumisdominantinfluid-crackingcatalystsforpetroleumrefiningandinmischmetalalloys,usedinNiMH

(nickel-metal-hydride)batteries.

REEnaming

Interestingly,thenamesofeightREEstracetheiroriginstoScandinavia—particularlySweden.Elementssuchasscandiumand

thuliumreflecttheregion’sancientname,whileholmiumderivesfromtheLatinnameforStockholm.Fourothers—yttrium,

ytterbium,erbium,andterbium—areall

namedaftertheSwedishvillageofYtterby,

wheretheywerefirstdiscovered.Manyoftheseelementswereidentifiedinthemineralgadolinite,itselfnamedafter

FinnishchemistJohanGadolin,whose

workinYtterbyalsoinspiredthenamingofgadolinium.

Lighting,displays&optics

-Europium(Eu),terbium,andyttrium(Y),

coupledwithgallium(outsideofREEdomain),formthecrucialred-green-bluephosphortriadthatilluminatesfluorescentlamps,LEDs,andflat-paneldisplays.

-Erbium(Er),ytterbium(Yb),holmium(Ho),

andthulium(Tm)enablecriticalcomponentslikefiber-opticamplifiersandspecializedlasercrystals.

Medical&emergingtechnologies

-Gadolinium(Gd)ishighlyvaluedforitsuseinmagneticresonanceimaging(MRI)contrast

agentsandneutron-captureshields.

-Elementslikeerbium,ytterbium,holmium,thulium,andlutetiumalsoplayrolesin

emergingradiopharmaceuticals.

Advancedalloys

-Scandium(Sc),oftenconsideredanREEbyassociation,significantlyhardensaluminumalloysusedindemandingaerospace

applicationsandforsolid-oxidefuelcells.

Globalrareearthoxide(REO)mineoutput

issizable,atabout394kilotons(kt)in2024.

However,demandforspecificendusesismuchlower—closerto230kt.Thisdiscrepancy

isaresultofthesubstantial“sacrificial”

overproductionofceriumandlanthanum.

Furthermore,thisdemandisfarfromevenly

spread,withpermanentmagnetsandcatalystapplicationsdominating.Permanentmagnets,especiallyNdFeB,leadthepackat~42%oftotalconsumption,propelledbyEVs,windturbines,andahostofelectronicdevices.Catalysts

forautomotiveapplicationsandpetroleum

refiningcomenext,withacombinedshareofabout18%,drivenbylanthanum-andcerium-richformulationsforoilcrackingstabilityandautomotiveexhausttreatment.High-growthmarkets—high-performancepermanent

magnets,inparticular—settheagendaforbothsupplystrategiesandpricingacrosstheREEvaluechain.

ARTHURD.LITTLE

9

Figure3.REEweightcompositioninmajorapplicationsandvolumetricdemand,2023

Magnets

Batteryalloys

MetalalloysAutocatalysts

Petroleumrefining

Polishingcompounds

GlassadditivesPhosphorsCeramicsOther

(%ofkt)

2%2%4%

2%7%3%

17%

22%

70%

33%

55%

6%

26%

52%

2%3%

10%

5%

90%

90%

32%

3%

1%3%2%4%

65%

24%

66%

69%

9%

5%

5%

11%

6%

12%

53%

12%

39%4%

17%

2%

16%

19%

19%

LaCePrNdSmEuGdTbDyYOther

Weightshareofdemand

4%

7%

7%

11%

12%

6%

5%

5%

1%

42%

Source:ArthurD.Little,Chenetal.

10

REPORT:THERAREEARTHIMPERATIVE

2.GLOBALREERESOURCES&PROJECTPIPELINE

Thehigh-leveloverviewofwhatREEsare—

andwhytheymatter—setsthestagefortheupcominganalysisoftheirglobaldistributionandthenatureofprojectsfocusedontheir

development.Whilegeologicaloccurrences

ofREEresourcesarespreadworldwide,activeminingoperationsremainhighlyconcentratedinonlyafewcountries:China,theUS,Australia,andMyanmar,followedatadistancebyRussia,India,andBrazil.ThethreemajorREEdeposits—BayanOboinChina,MountainPassinthe

US,andMountWeldinAustralia—accountfor~55%ofcurrentglobalREEoutput(and40%

ofreserves),withBayanOboleadingbyfar,overseeing~40%ofglobalproductionand~30%ofglobalreserves.Thisconcentrationstemsfromtechnicalhurdles,economic

barriers,andgeopoliticalconsiderations

thatdifferbydeposittypeandjurisdiction,ultimatelydeterminingwhereandhowREEsadvancefromrocktomarket.

REERESOURCESBYGEOGRAPHY

GlobalREEmineresourcesaresignificant

(~303milliontons[Mt]REOfor2023)buthighlyconcentrated.Economicallyextractable

reservesareestimatedatalevelof91Mt,

andChinaaccountsforthelion’sshareofthem(44Mt).Morecritically,itcontrols~95+%of

globalREEseparationandrefiningcapacityandvirtually100%ofcommercialHREE

separation.Thisgivesthecountryimmenseleverageoverglobalsupplyandpricing.

OutsideChina,onlyafewcountriesholdor

approachdouble-digitfigures:Brazil’svast

alkaline-carbonatiteprovincesholdabout22Mt;Australia,India,Vietnam,andRussiacollectivelyaccountforanother20Mt.WhileREEdeposits

existglobally,withsignificantreservesin

China,Brazil,Vietnam,Russia,India,Australia,andtheUS,resumingorstartingproductionischallenging(seeFigure4).

Figure4.GlobaldistributionofREEreservesandadvancedprojectstatus,2023

Reserve:12Mt

Productioncapacity:2.6kt

Russia

US

Reserve:1.4Production

Canada

Reserve:N.A.

Productioncapacity:0

China

Reserve:44Mt

Productioncapacity:

120kt/yr

Mt

capacity:15kt/yr

Brazil

SoutheastAsia

Reserve:22Mt

Reserve:N.A.

Productioncapacity:1kt

India

Reserve:6.9Mt

Productioncapacity:6.2kt/yr

1.8kt

Productioncapacity:

Africa

Reserve:N.A.

Productioncapacity:1kt

Australia

Reserve:3.4Mt

Productioncapacity:

20kt/yr

>30Mt

Latestage(<5years)

Potentialdepositlocation

Operating

Exploration5-15years

0.5-1Mt

Source:ArthurD.Little;Chenetal.;Liu,Shuang-Liang,etal.“GlobalRareEarthElementsProjects:NewDevelopmentsandSupplyChains.”OreGeologyReviews,Vol.157,June2023

ARTHURD.LITTLE

11

ThegeopoliticalimperativetodiversifysupplychainsawayfromChinaisaprimarydriverforinvestmentinnewREEprojectsinpoliticallystablejurisdictions.

TYPESOFREEDEPOSITS

Insimpleterms,anREEdepositisalocationthatholdsenoughrareearthmineralstobemined

profitably.TherearefiveprimarytypesofREEdeposits(seeFigure5):

1.Carbonatitedeposits.Carbonatitedeposits,composedofmorethan50%carbonate

minerals,arethemainsourceofREE

production,mainlyhostingbastnäsiteand

monazite.KeylocationsincludethetopthreeglobalREEminingoperations:theBayanOboMiningDistrict(China),theMountainPassRareEarthMine(US),andMountWeld(Australia).

2.Alkalineigneousrockandalkalinegranite

deposits.Thesedeposits,associatedwith

peralkalinegranitesandsyenites,canbe

enrichedinHREEs.Examples,fromADL

analysis,includetheLovozeroMiningand

ProcessingPlant(Russia)andtheStrange

LakeRareEarthMiningReserve(Canada).Theycontributeabout1%tototalglobalproductionbutrepresent21.5%ofresources,makingthempotentiallysignificantforfutureHREEsupply.

Resourceestimatesbycountry

Currentglobalresourcesandreserves

statisticsareevolvingrapidly,with

manynewdepositsbeingdiscovered

anddevelopedindifferentcountries,

notablyIACdepositsinAustralia,Brazil,Malaysia,andothergeographies.For

example,Malaysiaconcludedthatits

totalREOresourcesin2024werealreadyestimatedat18.87Mt,basedonareport

issuedthatyearbytheMalaysianMinistryofNaturalResourcesandEnvironmental

Sustainability.Theseshiftswill

dramaticallychangetheglobalpictureofrareearthresourcesandreserves

withinthenextcoupleofyears.

3.IACdeposits.FormedbyweatheringREE-

richrocks,thesedepositsaremainlyfoundinsouthernChinaandMyanmarandareessentialforHREEslikedysprosiumandterbium.Per

ADLanalysis,theycurrentlyaccountfor13%ofglobalproductionandapproximately21%ofresources.IACdepositsdeserveparticularattentionduetotheiruniquegeological

formation,enrichmentinHREEs,andsimplerextractionmethods(seesectiononIACs

below).

Figure5.REEprojectsandactiveminesbyREEdepositsbyvolume,2023

AllREEprojects

(basedon~303.4MtREOresources)

(MtREO)

162.6

Carbonatitetype

64.6

Alkaline/alkalinegranitetype

63.4

10.6

Hydrothermal/IOCGtypelonicclays

0.9

Placer

1.2

Other

303.4

Total

Source:ArthurD.Little,Chenetal.,Liuetal.

54%

21%

21%

4%

0%

0%

100%

Activemines

(basedon2024productionof394ktREO)

(ktREO)

339.3

86%

2.5

1%

limited

52.2

13%

min

min

394

100%

12

REPORT:THERAREEARTHIMPERATIVE

4.Ironoxidecoppergold(IOCG)and

hydrothermaldeposits.Thesedeposits

oftencontainREEsasbyproducts,withthe

OlympicDaminAustraliaasanotableexample.However,theyarenotprimarysourcesforREEproduction.

5.Placerdeposits(monazitesands).

Accumulationsofheavymineralsands

inbeachoralluvialenvironmentshave

historicallysourcedREEs;theycontributeminimallytocurrentproduction.

WhilecarbonatitesdominatethecurrentLREEsupply,IACsarepivotalforfutureHREEsupplyanddiversificationefforts.

TYPESOFREEMINERALS

REEdepositsaredefinedbytheirmineralhosts,whichreflectthegeochemicalandtectonic

conditionsoftheirformationanddictatebothprocessingroutesandthelighttoheavyREEmixrecovered.ThereareseveraltypesofREEminerals:

-Bastnäsite(afluorocarbonate)isthedominantmineralhostglobally,primarilyfoundin

carbonatitedepositslikeMountainPassandBayanObo,andaccountsfor70%-75%ofREEreserves.BastnäsiteispredominantlyrichinLREEs.

-Monazite(aphosphatemineral)isthe

nextmostsignificant,oftenextractedasabyproductofheavymineralsandsmining,

withnotabledepositsinAustralia,India,andBrazil;italsocontainsmainlyLREEsbutcanhavesignificantthoriumcontent,posing

processingchallenges.Monaziteaccountsforroughly10%ofreserves.

-Xenotime(anyttriumphosphate)isaprimarysourceofyttriumandHREEs,oftenfoundwithtinandtungstenores,withsignificantdepositsinMalaysiaandChina,contributingaround5%toreserves.

-IACs,predominantlyfoundinsouthernChinaandSoutheastAsia,areparticularlyimportantforHREEs.

-Othermineralslikeloparite(atitanate,

mainlyinRussia’sKolaPeninsula,LREE-rich)

andeudialyte(acomplexsilicate,inRussiaandGreenland,LREEandyttrium)contributelessthan5%collectively.

Theeconomicsofthemineralsdependonthemarketvalueoftheelementmixrecovered.Thevalueofthe“basket”ofREEsrecoverablefrom

aspecificmineraltypedependsonitschemicalcomposition,particularlytheproportionof

high-demandmagnetelements(neodymium,praseodymium,dysprosium,andterbium).

Forinstance,ion-adsorptionclays,whose

chemistryisenrichedinpremiumHREEs,cancommandasignificantlyhigherbasketvalueandconsequentlymakeprojectswithahigherproportionofneodymium,praseodymium,

dysprosium,andterbiumintheirbasketmoreeconomicallyattractive.

IACs:THEHOLYGRAILOF

THEMODERNRAREEARTHSSECTOR

IACsarecrucialtotheglobalREEsupplychainduetotheiruniquegeologicalformation,

enrichmentinHREEs,andsimplerextractionmethods.Unlikehard-rockdeposits,where

REEsarelockedincrystalstructures,IACs

occurwhenREEionsfromgraniticorvolcanicrocksareadsorbedontofine-grainedclayinhumidenvironments.Despitebeinglow-grade(0.05-0.5weight%REO),theirrelativeease

ofextractionusingmildchemicalsolutionsatambienttemperaturesmakesIACshighlyvaluableintheREEsector.

PricevariationisevidentevenwithinIACs,