USA Rare Earth Secures Up to $19.3M DOE Grant for $50.5M REE Pilot
USAR•USA Rare Earth won conditional DOE funding of up to $19.3 million to develop a pilot-scale rare earth element separation project enhancing domestic processing capacity. The $50.5 million project, including $31.2 million in non-government investment, aims to secure pre-commercial REE separations in the United States.
1. DOE Funding Award
USA Rare Earth has been selected to receive up to $19.3 million from the U.S. Department of Energy’s Critical Materials Innovation program, pending final negotiations. This award targets the development of a pilot-scale rare earth element separation facility designed to bolster domestic processing capabilities.
2. Project Scope and Financing
The total estimated cost of the separations project is $50.5 million, of which $31.2 million will come from non-government sources. Final project scope, budget allocations, and timelines will be established through definitive funding agreements with the DOE.
3. Strategic and Market Implications
The pilot-scale REE separation initiative addresses a critical bottleneck in the global rare earth supply chain and supports U.S. economic and national security objectives. Successful execution could position USA Rare Earth as a leading domestic supplier of separated rare earth materials for energy, defense, and advanced manufacturing sectors.
