Medallion Resources Ltd. ("Medallion" or the "Company"), today reported that the first phase of its advanced process test-work to extract rare-earth elements (REE) from monazite sand has yielded positive results.
"This phase has provided analysis of a potential new monazite feedstock supply and dissolution under different acids," said Don Lay, President and CEO of Medallion. "We're pleased with the feedstock make-up and have solidified our choice of acid format. We are now in a position to move forward with process optimization work."
Subsequent phases on the flow-sheet development, undertaken by the Saskatchewan Research Council, will lead to new mixed REE concentrate samples for delivery to REE refining groups -- a necessary step to qualify the concentrate for commercial use. The Company is pleased to note the continued and growing interest in its REE concentrate.
Current industry trends toward increased electric vehicle usage, renewable power generation, and energy efficiency are fueling demand for high-powered and lightweight rare-earth permanent magnets.
Medallion is well positioned to supply these highly valued, magnet-oriented rare earths (neodymium, praseodymium, terbium, and dysprosium) to the market. For example, the monazite-sand feedstock now being tested by the Company contains magnet-oriented rare earths that represent approximately 23.8% of its rare earth mass but an impressive 90.7% of its value.
Market research firm Adamas Intelligence estimated the value of global annual rare-earth oxide demand for the production of rare-earth permanent magnets totaled $1.44 billion in 2016. They forecast an increase of demand for these oxides to $6.07 billion by 2025, a compound annual growth rate of 17.4%. (Source: Adamas Intelligence, Rare Earth Market Outlook: Supply, Demand and Pricing from 2016 through 2025)