Mkango Resources Ltd. Launches Rare Earth Magnet Recycling Initiative and Strategic Merger
- Mkango Resources Ltd. launches a rare earth magnet recycling initiative using Hydrogen Processing of Magnet Scrap in Birmingham, UK.
- The company aims to produce 0.5 tonnes of recycled alloy powder monthly by July 2025, scaling to 100-350 tonnes by 2026.
- Mkango is merging with Crown PropTech Acquisitions to create Mkango Rare Earths Limited, enhancing its global rare earth market position.
Mkango Resources Ltd. Launches Innovative Rare Earth Magnet Recycling Initiative
Mkango Resources Ltd. takes a significant step forward in the rare earth industry with the commencement of commercial-scale production using its Hydrogen Processing of Magnet Scrap (HPMS) vessel at Tyseley Energy Park in Birmingham, UK. This initiative, which is executed in partnership with the University of Birmingham and commercial partner HyProMag Limited, is primarily funded by the UK's Driving the Electric Revolution initiative. The HPMS vessel is designed to produce high-grade recycled neodymium-iron-boron (NdFeB) alloy powder, a crucial component for advanced magnet applications. Mkango aims to achieve UK sales of approximately 0.5 tonnes per month by the end of July 2025, with an ambitious target to scale production to 100-350 tonnes annually by 2026.
The HPMS alloy powder boasts a rare-earth content exceeding 28%, representing a sustainable alternative to traditional NdFeB products, significantly reducing the CO2 footprint associated with their production. This innovative approach not only addresses the increasing demand for rare earth materials but also aligns with global sustainability goals. Following the setup of additional processing facilities and magnet manufacturing capabilities by the end of Q3 2025, HyProMag plans to produce value-added magnets at scale, enhancing its product offerings and positioning itself as a leader in the recycled magnet market.
As part of its strategy, Mkango Resources is actively participating in a pilot program at the University of Birmingham, providing NdFeB powder and finished magnet samples to potential customers. This initiative facilitates discussions on operational scaling in key markets, including the UK, Germany, and the US. Furthermore, HyProMag USA LLC is advancing similar recycling and manufacturing projects in the United States, underscoring Mkango's commitment to expanding its global footprint in the rare earth sector.
In addition to the Birmingham project, Mkango Resources is poised to merge with US-based Crown PropTech Acquisitions (CPTK) to establish a new entity named Mkango Rare Earths Limited (MKAR), which will be listed on Nasdaq. This merger aims to leverage Mkango's strategic assets, including the Songwe Hill project in Malawi and a separation plant in Poland, to create a comprehensive platform for rare earth element exploration and production. The integration of these resources is expected to enhance shareholder value and solidify the company's position in the increasingly competitive global rare earth supply chain.
Overall, Mkango Resources Ltd. is carving a path toward innovation and sustainability in the rare earth sector, with its pioneering recycling initiative at Tyseley Energy Park and strategic mergers setting the stage for substantial growth and increased market presence.