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Aclara Resources to Establish First U.S. Rare Earth Facility in Louisiana

Rendering of Aclara Resources' rare earth facility in Louisiana

News Summary

Aclara Resources Inc. is investing $277 million to build the first heavy rare earth separation facility in Calcasieu Parish, Louisiana. This facility will process essential rare earth metals for industries such as technology and defense, creating 140 local jobs. The project, supported by state grants and the Industrial Tax Exemption Program, emphasizes sustainable practices, including minimizing water waste and reforestation. With operations in South America planned to begin in 2027, this venture marks a significant advancement in the U.S. rare earth supply chain.

Calcasieu Parish, Louisiana – Aclara Resources to Build First U.S. Rare Earth Separation Facility

Aclara Resources Inc., a Canadian mining company based in Vancouver, is set to invest $277 million in a new facility for rare earth metal refining in Calcasieu Parish, Louisiana. This facility will mark the first heavy rare earth separation site in the United States and will be constructed at the Port of Vinton.

The facility will focus on processing rare earth metals, which are essential components for motors and electronics utilized in various sectors, including consumer goods, technology, and defense industries. Aclara plans to mine rare earth metal deposits primarily from regions in South America, which will then be transported to Louisiana for processing.

To execute the extraction process, Aclara will utilize hydrochloric acid to separate these metals from clay mineral deposits. The rare earth elements involved in this process include dysprosium, neodymium, praseodymium, and terbium. These elements are crucial for a wide range of applications that support modern technology. Specifically, they are used in producing high-powered magnets for wind turbine motors, vehicle alternators, heat-seeking missiles, high-temperature alloys for aircraft engines and nuclear reactors, and signal amplifiers in fiber optic cables.

The new facility is projected to create approximately 140 direct jobs for the local workforce, contributing significantly to the economy of Calcasieu Parish. The site will utilize an LED Certified Site designation, which reflects its prequalification for industrial development after passing essential environmental and engineering assessments.

Expounding on the decision to build in Louisiana, Aclara’s CEO noted several advantages, including the state’s access to key reagents, operational reliability, and the qualifications of its skilled workforce. In support of this project, the state of Louisiana is granting Aclara $3 million for infrastructure improvements and an additional grant to aid in job creation, which will cover up to 22% of the wages paid to employees.

Additionally, Aclara will benefit from the Industrial Tax Exemption Program, which will help ease property tax liabilities in Calcasieu Parish. Construction of the facility is scheduled to commence in 2026, with completion anticipated in 2027.

Aclara Resources emphasizes a commitment to sustainable mining practices, asserting that their operations will avoid the use of explosives, milling, or wastewater ponds. The company plans to recirculate 95% of the water utilized during mining processes, further underlining their focus on environmental responsibility. Following mining operations, Aclara intends to plant trees on the land after it has been cleared.

Mining activities are projected to begin in Chile by 2027, followed by operations in Brazil in 2028. This new facility not only marks a significant milestone for Aclara Resources but also represents a step forward for the U.S. in rare earth metal processing capabilities, a sector critical for numerous advanced technologies integral to modern life.

In conclusion, Aclara’s establishment of a heavy rare earth separation facility in Louisiana is a landmark investment that promises to boost local employment, support environmental sustainability, and elevate the United States’ position in the global rare earth supply chain.

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Aclara Resources to Establish First U.S. Rare Earth Facility in Louisiana

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