Energy Fuels announced that its 99.9‑percent‑pure dysprosium oxide, produced at the White Mesa Mill in Utah, has met the initial purity and quality‑assurance benchmarks required by a leading South Korean automotive manufacturer for permanent‑magnet production. The qualification confirms that the company’s heavy‑rare‑earth processing circuit can deliver a product that satisfies the stringent specifications of a major downstream customer in the electric‑vehicle sector.
Through September 2025, Energy Fuels produced approximately 29 kg of dysprosium oxide at pilot scale, and the company plans to begin pilot‑scale production of terbium oxide in the week of December 22, 2025. Commercial production of heavy‑rare‑earth oxides is targeted for Q4 2026, a timeline that aligns with the company’s broader strategy to bring its White Mesa Mill Phase 2 and the Donald Project online. In Europe, dysprosium oxide commands a price premium of roughly $850,000 per tonne, while terbium oxide is valued at about $3.6 million per tonne, reflecting the scarcity of these elements outside China.
The milestone positions Energy Fuels as the first U.S. producer to qualify both light (neodymium‑praseodymium) and heavy (dysprosium, terbium) rare‑earth oxides for permanent‑magnet applications. This dual capability strengthens the domestic supply chain for critical materials used in electric‑vehicle motors, wind turbines, and defense systems, and mitigates exposure to China’s export controls that were imposed on seven rare earths—including Dy, Tb, and Sm—in April 2025. By demonstrating that its processing infrastructure can meet the rigorous standards of a major automotive customer, Energy Fuels signals a shift toward a more resilient, U.S.-based critical‑minerals market.
Energy Fuels has been raising capital to fund its expansion, including a $700 million convertible senior notes offering in October 2025. The capital will support the White Mesa Mill Phase 2, the Donald Project in Australia, and the Toliara Project in Madagascar. While the company’s Q3 2025 results reflected a net loss of $16.7 million—largely driven by investment in infrastructure and working‑capital needs—the dysprosium qualification is expected to accelerate revenue growth in the rare‑earth segment and improve profitability as scale is achieved.
CEO Mark S. Chalmers emphasized that the dysprosium milestone validates the company’s claim of being the first U.S. producer to deliver both light and heavy rare‑earth oxides suitable for permanent‑magnet applications. He noted that the White Mesa Mill’s unique ability to process monazite for rare‑earth oxide production is a strategic advantage that will underpin the company’s long‑term growth in the critical‑minerals sector.
The announcement was well received by investors, reflecting confidence in Energy Fuels’ execution and the strategic importance of domestic rare‑earth production.
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