Ionic Rare Earths Ltd has completed a feasibility study for its rare earth oxide manufacturing facility in Belfast, UK, confirming the project’s strong financial and environmental viability. The company operates a demonstration plant in Northern Ireland, maintaining a continuous supply of rare earth oxide.
The study highlights an after-tax net present value (NPV) of $502 million, with an internal rate of return (IRR) of 43.6% and a capital payback period of just 2.4 years. Based on a throughput of 1,200 t/y, the facility is expected to produce 400 t/y of separated magnet rare earth oxides (REO) over a 20-year asset life, generating annual earnings of nearly $1.8 billion.
Managing Director Tim Harrison emphasized the project’s role in promoting magnet recycling, describing it as environmentally friendly, commercially viable, and a step toward reducing dependence on Chinese rare earth production. “This represents a low capital risk pathway to sovereign magnet REO production, offering strong financial returns through a sustainable, circular economy model,” Harrison stated.
With backing from the UK government, Ionic is now working on site permits and finalizing the front-end engineering design, with a final investment decision expected in the first half of 2025. Construction is slated to finish by late 2026, and the first commercial deliveries are targeted for early 2027.
The project is anticipated to create 70 jobs, including roles at a technical center focused on further research in rare earth separation and magnet recycling. Ionic also plans to use the feasibility study to advance agreements for feedstock and off-take contracts.
The company already has a partnership with Brazilian developer Viridis Mining and Minerals and is advancing its Makuutu heavy rare earths project in Uganda toward production.