Aclara opens rare earth separation pilot plant

Executive Summary

• Aclara Resources has inaugurated its rare earth separation pilot plant at Virginia Tech to validate proprietary separation technology and generate operational data for a planned $277M industrial-scale facility in Louisiana.
• The pilot plant is designed to process high-purity mixed rare earth carbonates sourced from Aclara's Brazilian and Chilean ionic clay deposits, with first commercial-grade light rare earth oxides targeted for May 2026 and heavy rare earth oxides for August 2026.
• The project is backed by $5M in DFC financing, $46.4M in Louisiana state incentives, and strategic partnerships with Argonne National Laboratory, Virginia Tech, L3 Process Development, and Grupo CAP, targeting commercial operations at the Louisiana site by mid-2028.

Key Details

• Pilot Plant Location & Status: Commissioned and operational at Virginia Tech (Blacksburg, Va.); fully staffed for continuous 24/7 operations since April.
• Technology & Feedstock: Validates Aclara's proprietary rare earth separation technology using high-purity mixed rare earth carbonates with high heavy rare earth concentrations from the Carina (Brazil) and Penco (Chile) ionic clay deposits.
• Production Timeline: First separated light rare earth oxides (NdPr) expected in May 2026; heavy rare earth oxides (Dy and Tb) expected in August 2026.
• AI & Digital Twin: Operational data is being used to develop an AI-driven digital twin of the separation process in collaboration with Argonne National Laboratory to optimize efficiency and accelerate future ramp-up.
• Louisiana Commercial Facility:
• Location: Port of Vinton, Louisiana.
• Capital Investment: Approximately $277 million USD.
• State Incentives: $46.4 million in tax incentives and grants from the State of Louisiana.
• Engineering Partner: Hatch Ltd. retained to advance engineering and coordinate integration with upstream mining operations.
• Target Operations Start: Mid-2028 (subject to financing and project development milestones).
• Target Products: High-purity dysprosium, terbium, neodymium, and praseodymium oxides for permanent magnets and advanced technologies.
• Financing & Strategic Partnerships:
• Secured $5 million in project development financing from the U.S. International Development Finance Corporation (DFC) for the Brazil feasibility study.
• Joint venture with Grupo CAP advancing alloy-making capabilities to convert refined oxides into permanent magnet alloys.
• Collaboration with L3 Process Development for integrated flow sheet validation and engineering.
• Strategic Objective: Establish a vertically integrated, Western-hemisphere rare earth supply chain to reduce dependence on Chinese-restricted heavy and light rare earths, supporting U.S. energy security and manufacturing competitiveness.

Notable Quotes

• Eduardo Hochschild, Chairman: "Demonstrating that Aclara possesses the technology to separate rare earths -- including Chinese-restricted heavy rare earths -- in the United States represents a major milestone... positioning Aclara as a key player in reducing Western dependence on restricted global supply chains."
• Christopher Saldana, Deputy Assistant Secretary, U.S. DOE: "Developing domestic capabilities for critical minerals processing strengthens U.S. energy security and manufacturing competitiveness. Industry, national laboratories, universities and government collaboration is key to building and scaling resilient supply chains for these strategic materials."
• David Hester, Managing Director, DFC: "DFC is pleased that our project development financing is providing vital capital to accelerate the development of Aclara's supply chain in South America. We are thrilled to support such an impactful project that aligns with our priority of building more diverse, resilient critical mineral supply chains..."
• Claus Daniel, Associate Laboratory Director, Argonne National Laboratory: "Argonne is proud to support this initiative through the development of advanced digital tools and artificial intelligence models that will help optimize rare earth separation processes. The data generated at this pilot plant will contribute to the development of a digital twin capable of improving operational efficiency and accelerating the ramp-up of future industrial facilities."
• Tommee Larochelle, Managing Partner, L3 Process Development: "This facility goes beyond traditional piloting -- it is a true demonstration of an integrated rare earth separation flow sheet, validating the full process and enabling the production of commercial-grade materials. In an industry where development timelines often span several years, this project redefines what is possible."