Wyoming's rare earth bonanza: A game-changer for US industry
The discovery of over 2 billion tonnes of rare earth elements in the American state of Wyoming could disrupt China's current dominance in this sector. American Rare Earths announced that only 25% of the exploration area has been surveyed so far, suggesting a much greater deposit potential.
The United States has the opportunity to reduce its reliance on the import of strategic minerals significantly. Currently, the country imports about 74% of the necessary raw materials, while its share in global industrial production is only 15%. In comparison, China controls 95% of the world’s rare earth element production and accounts for 31% of global industrial production.
American Rare Earths began drilling operations in March 2023, initially estimating resources at 1.2 million metric tonnes. However, the latest studies have shown a significantly greater potential od the deposit. The company's CEO, Don Schwartz, emphasises that resources increased by 64% during the drilling campaign, and resources in measured and indicated categories rose by as much as 128%.
Competitive discovery in Wyoming
In the same region, another company, Ramaco Resources, also made a significant discovery. In the vicinity of the town of Sheridan, deposits of rare earth elements were found, preliminarily valued at £29 billion. Randall Atkins, CEO of Ramaco Resources, explains that current drilling reached depths of only 100-200 metres, while the seams could reach as deep as 300 metres.
However, American Rare Earths questions the competitor’s estimates. Don Schwartz claims, "Our resources is on an order of magnitude larger than the Ramaco Resources number." However, he emphasises that the key factor will be the economic viability of extracting and processing the raw materials.
Strategic significance of the discovery
The discovered deposits contain a range of valuable elements, including neodymium, praseodymium, samarium, dysprosium, and terbium. These minerals are crucial for the production of modern technologies, being used in smartphones, hybrid cars, the aerospace industry, and in lighting production.
For the American economy, these discoveries could be groundbreaking, especially in the context of a mining ban introduced in December 2023. The success of the project could allow the United States to reduce its dependence on imports of strategic raw materials and strengthen its position in the global supply chain.
