A startup claims to have the weapon to end China’s monopoly on rare earths: hard drives

In the technological era and Energy transition to renewables and the electric car In which we are, the Rare earth They have become the most valuable currency. This set of elements has become essential for many industries, but there is a problem: China dominates both mining and, above all, Rare Earth Metals Productionand he does not hesitate to use them as a throwing weapon in the Technological and Commercial War in which we are.

While west Decide which are the next steps In the search for the gold of the 21st century, there are already those who work to obtain rare earth elements from wherever it is thanks to recycling. And that hard drive that has been in the drawer for years is a treasure.

‘Chrysistunity’. “Rare earth” is the name with which we call a group of 17 minerals that are used to manufacture components of electric car batteries, precision medical instruments, speakers or elements of wind turbines, among many other applications in virtually all sectors. Taking them out of the earth is not as much problem as their refining, since it is a process that does not get along with Western pollution restrictions.

That is why we were delegating this task to China and, now, the Asian giant dominates practically 90% of production. So important are that the country usually uses the export of rare earth metals when it receives a new western commercial blow and even in the Ukraine War we have seen Trump condition US support to the supply of rare earth. But before each crisis, there is an opportunity.

Old hard drives. In the absence of being able to produce them, why not get those elements through recycling? With the plastic we do not do it very well, but with other elements, and in the case of rare earths, it is something that can work. That is precisely what the company has proposed Hypromaga startup founded by personnel from the Metallurgy and Materials School of the University of Birmingham that, as we read in Financial Timeshas focused on the recycling of hard drives.

These components once dominated our PCs and, although they remain of great value as external discs and, above all, as components for NAS systems, they have gradually been separated by much faster SSDs and that have been lowering price. And these hard drives have some components that are manufactured thanks to rare earth elements, such as magnets that allow their operation.

Maginito to acquire pioneering
Maginito to acquire pioneering

Recycling. Gavin MUDD is the director of the Critical Mineral Intelligence Center of the United Kingdom and comments that the country imports between 5,000 and 10,000 tons of rare earth magnets every year in the form of finished products and components, but only 1% of that figure Recycle. He affirms that it is not an isolated case and that it is an amount similar to that of other industrialized nations. “We need to consider future domestic production, and that leads us to consider recycling,” he says.

And that is where Hypromag technology comes into play. They claim that their technique allows them to extract the magnets that contain rare earths, which weigh between 10% and 15% of the hard disk itself, and obtain the elements sought. To do this, they have a great drum that they fill with even a ton of waste at the same time and, after closing the hermetic doors, introduce pure hydrogen inside.

Then, hydrogen unstals enter the fissures of the magnets, causing them to break and separate them from the surrounding material. After this process, which lasts between four and eight hours, a powder composed mainly of the ingredients of the magnet – the neodymium – falls to the bottom of the container, while other elements such as steel, nickel and aluminum are separated and also can also be recycle. Subsequently, they grind the sifted material and an alloy occurs that can become a magnet again.

Different approaches. There is another company that is in garlic and that has also spoken with Financial Times with a tone of competition that, in the end, is the one that can advance the industry of rare earth recycling. This company is called Material Cyclic And he affirms that his method is better than that of “magnet to magnet” because he allowed to crumble each component of the elements instead of separating magnets, on the one hand, iron and steel on the other.

Ahmad Ghahreman is the executive director of this company and affirms that its approach allows companies to use the rare lands as they want, not only as magnets. And he compared the two approaches with the recycling metaphor of a pizza: “When recycles pizza with our technology, raisins from flour pizza, salt, pepper and all other ingredients. With the other, pass from pizza to the dough. ”

INFO HPMS 1568x754
INFO HPMS 1568x754

An ambitious patch. Despite competitiveness in his words, Ghahreman considers that both methods are valid and “profitable.” In 2024 they produced 100 tons of rare earth oxides, but they hope to reach 600 tons for the end of this year. In addition, they have plans to open another plant in the United States with a capacity of 1,200 tons per year and have plans to open facilities in Canada and Europe in 2028.

Hypromag, on the other hand, hopes to produce between 25 and 30 tons per year in its first phase, but with extension plans to 350 tons thanks to a new plant in Germany and another 1,000 tons of annual alloys with a projected plant in Texas. They are less concrete plans, but the objective of both companies is the same.

Clue. Allan Walton, the founder of Hypromag, comments that this technology “is a way of extracting large amounts of rare earths and creating a domestic supply,” and the truth is that the recycling of rare earths is something that has been speaking for years, but It was always a challenge. And it is something that is being sought in various parts of the world.

For example, Spain opened a pilot center a few months ago That, with a different method based on the fusion of metals, he also hopes to separate the elements of electronic waste in the primal of the rare earths to be able to give them a second life. In the end, if producing is done uphill, you have to invest in recycling to stop depending on China when, currently, rare earth derivatives are used for … almost everything.

Iágenes | Hypromag, Cotec Holdings

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