U.S. Department of Defense Awards $18.4 Million to Ucore for Scaling Rare Earth Separation Technology
The U.S. Department of Defense (DOD) has announced an additional $18.4 million in funding support to Ucore Rare Metals Inc., bolstering efforts to advance and commercialize its rare earth elements (REE) separation technology. This strategic investment highlights the DOD’s continued commitment to securing a domestic supply chain for critical materials essential to national security and advanced manufacturing.
Ucore’s innovative separation technology is designed to process rare earth elements—vital components in everything from defense systems, electric vehicles, renewable energy infrastructure, to consumer electronics. The latest funding will support the scale-up of Ucore’s RapidSX™ platform, which is positioned as a cost-effective and environmentally sustainable alternative to conventional solvent extraction methods.
This brings the total U.S. government investment in Ucore to over $30 million, emphasizing growing concerns about overreliance on foreign sources, particularly China, for rare earth supply. The DOD views Ucore’s progress as essential to building a resilient, U.S.-based rare earth supply chain that aligns with the broader goals of the Defense Production Act Title III program.
“This award is a vote of confidence in our technology and our team,” said Pat Ryan, Chairman and CEO of Ucore Rare Metals. “We’re committed to delivering a scalable, environmentally sound solution for rare earth separation that meets U.S. industrial and defense needs.”
The new funding will primarily support Ucore’s plans to construct and operate a commercial-scale Strategic Metals Complex (SMC) in Louisiana, which is expected to begin commissioning in 2025. Once operational, the facility will have the capacity to separate light and heavy rare earth oxides, filling a crucial gap in North America’s rare earth processing capabilities.
Rare earth elements are a group of 17 metals that are critical for the manufacture of high-performance magnets, used in defense aerospace, satellite systems, drones, electric motors, and more. The majority of global rare earth processing currently takes place in China, raising significant geopolitical and supply chain concerns for the U.S. and its allies.