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BMW, Yamaha Motor back US unusual earths startup Phoenix Tailings

BMW and Yamaha Motor have purchased U.S.based unusual earths processing start-up Phoenix Tailings, the most recent move by manufacturers to increase production of the tactical metals outside of China.

Uncommon earths are a group of 17 metals used to make magnets that turn power into motion for electric cars, cellular phone and other electronics.

The existing requirement to fine-tune these minerals, referred to as solvent extraction, is an expensive and unclean process that slowly became undesirable in the United States after it was developed in the 1950s but one that Chinese competitors have invested the previous thirty years mastering.

Beijing has taken actions in current months to curb exports, a. move that has actually sustained a scramble throughout the West for replacement. technologies. Phoenix says its process can produce uncommon earths. from mined ore or recycled devices with little to no. emissions.

BMW and Yamaha's venture capital investment divisions are. amongst numerous investors - including venture capital funds. Visualizing Partners, MPower and Escape Speed - in Phoenix's. $ 43 million Series B funding round, which closed on Dec. 20,. Phoenix CEO Nick Myers informed Reuters in an interview.

Phoenix declined to disclose each financier's funding.

The business will utilize the funding to develop a $13 million. center in Exeter, New Hampshire, that can produce 200 metric. tons of unusual earths every year and must open by June 2025, Myers. said.

The remaining funding will be used for research, engineering. and service development.

The Massachusetts-based company, which has 33 staff members,. says it has signed supply contracts worth more than $100. million, although it decreased to state with whom. If the Exeter. center succeeds, Phoenix prepares to construct larger processing. centers elsewhere in the U.S.

. That might help the business achieve its objective of going public. within three to five years, Myers stated.

MP Products and Lynas Rare Earths are two. of the biggest non-Chinese rare earths miners and processors,. although both have actually struggled amid Chinese competition.

Myers stated he thinks Phoenix can be successful since it does. not operate a mine. The business is obtaining U.S. federal government. loans and grants.

Myers included that he believes Donald Trump, who will end up being. U.S. president on Jan. 20, will be a very strong benefit for. onshoring production and vital minerals companies.

Phoenix closed a $10 million Series A funding round in. August 2021.

(source: Reuters)