American Resources' (AREC) minority holding ReElement Technologies formed a joint venture with POSCO International to build rare earth and permanent magnet production facilities in the US, the company said Friday.
The $200 million partnership plans to establish a domestic supply chain covering feedstock sourcing, material refining, and magnet manufacturing, the company said.
The operation intends to produce 3,000 metric tons of separated rare earth oxides annually by 2028 before expanding capacity to 6,000 metric tons by 2030, American Resources said.
Final site selection for the refining and manufacturing complex is currently underway, it added.
Shares of the company were up 7.5% in Friday's premarket activity.