Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) has commenced expansion of its White Mesa Mill in Utah to enable commercial-scale production of heavy rare earth oxides, a move that could significantly reduce Western reliance on Chinese supply chains. The company announced the project will add capacity to produce terbium, dysprosium, samarium, europium and gadolinium oxides by the end of 2028, complementing the mill’s existing light rare earth oxide production.
The approximately $104 million expansion is expected to be funded through a combination of government support and company capital. Commercial production is tied to anticipated monazite feedstock from the Donald Project in Australia and other sources. Energy Fuels said the expanded facility is expected to supply a significant portion of the rare earth oxides needed by its pending acquisitions of Australian Strategic Materials Ltd. (ASX: ASM) and Vacuumschmelze GmbH, supporting an integrated mine-to-magnet platform capable of producing enough permanent magnets annually for millions of electric vehicles, humanoid robots and other advanced technologies.
The announcement underscores the growing urgency to diversify rare earth supply chains, as China dominates global processing of these critical minerals. The White Mesa Mill is the only fully licensed conventional uranium mill operating in the U.S., and its expansion into heavy rare earths positions Energy Fuels as a key player in the Western critical minerals ecosystem. The company said the expansion is expected to support production of rare earth metals, alloys and magnets for the automotive, robotics, data center, energy and defense sectors while strengthening North American and European supply chains.
Energy Fuels is a leading U.S. critical materials company specializing in uranium, rare earth elements, heavy mineral sands, vanadium, and the development of medical isotopes. The company has been the top U.S. producer of natural uranium concentrate and is developing three heavy mineral sands/rare earths projects: the Vara Mada Project in Madagascar, Bahia Project in Brazil, and Donald Project in Australia (through a joint venture with Astron Limited).
This expansion comes as governments in North America and Europe seek to secure domestic supplies of rare earths for defense and clean energy technologies. The White Mesa Mill’s ability to process heavy rare earths could prove pivotal in meeting demand for permanent magnets used in electric vehicles, wind turbines, and advanced military systems. For more information, the full press release is available at https://ibn.fm/S04FF.
