ASX-listed Ionic Rare Earths (IonicRE) has announced the successful separation and first production of high-purity terbium oxide (Tb₄O₇) at its wholly-owned subsidiary Belfast plant, marking a positive step forward for its collaboration with automaker Ford and UK-based specialist alloy manufacturer Less Common Metals.

The company says the production of the maiden terbium samples is a first in the magnet recycling industry, indicating IonicRE’s ability to develop a Western supply chain for this key magnet rare earth oxide (REO).

The achievement follows IonicRE’s successful magnet REO production from its demonstration plant in 2023, along with the progress made in its wind turbine magnet recycling programme earlier this month.

About 2.8 kg of high-purity Tb₄O₇ has been produced so far. IonicRE’s demonstration plant is expected to begin separated magnet REO production on a continuous basis before the end of the month.

“This is another significant milestone for IonicRE . . . as we look to build a secure and sustainable Western supply chain for the wind power, and other key clean energy, industries,” Ionic Rare Earths executive chairperson Brett Lynch says.

He states that the capability to produce these elements to high purity from waste materials generated in the rare earth permanent magnet supply chain, represents a win for the industry and an opportunity to disrupt how Western markets access heavy REOs, especially dysprosium and terbium, of which more than 98% of global supply originates from Chinese producers.

“Given the global demand for secure and traceable heavy REOs, at high purity, we are pleased to demonstrate our capability to separate and purify terbium and dysprosium with our technology. Dysprosium and terbium remain in consistently high demand, as we are witnessing first hand from the reverse enquiry from the supply chain looking at alternative supply of these elements,” Lynch says.

Heavy REOs are used to produce high specification permanent magnets, where Lynch said the demand for dysprosium and terbium was already outstripping supply from traditional sources. He adds that this is expected to increase significantly by 2030.

“The recycling capability for these elements, in addition to the . . . progress at IonicRE’s Makuutu rare earths project in Uganda, [prove our] resilience to supply chains as part of a new economy in these strategic raw materials for global decarbonisation,” Lynch says.