Texas Magnet Recycling
HyProMag USA fast-tracks Texas hub for sustainable NdFeB magnet production
Anonymous
Key Points
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HyProMag USA targets a total payable capacity of about 678 metric tonnes of recycled NdFeB material and ultimately 1,526 tonnes of magnetic products as part of the phased Texas Hub expansion.
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HyProMag’s Hydrogen Processing of Magnet Scrap (HPMS) is designed to deliver significantly lower energy use and emissions than conventional magnet recycling, reflecting a short-loop recycling approach.
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Julian Treger emphasizes HyProMag’s core advantage as the ability to recover rare earth magnets already contained in waste and return them to the magnet supply chain.
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The plan includes a commitment to early works capital to support commissioning of the HPMS, with the integrated HPMS expected to begin adding U.S.-sourced magnet-bearing feedstock by Q2 2028.
HyProMag USA is fast-tracking magnet production at its Dallas–Fort Worth facility, aiming to start initial NdFeB rare earth magnet output in the first half of 2027 — well ahead of its broader Texas Hub timeline, according to The Globe and Mail. The move marks the first domestic rare earth magnet finishing operation in the United States for parent company Mkango Resources.
The early-start strategy uses up to 20 tonnes of finished magnet blocks shipped from HyProMag's existing facilities in the UK and Germany. Those blocks will be shaped and finished in Texas for US customers, with European deliveries continuing unaffected, Barchart reported.
Why Texas Gets Magnets Before the Full Hub Is Built
The phased approach lets HyProMag serve US customers years before its full recycling plant is ready. By finishing magnets domestically first, the company can meet specific product specs and run qualification programs with buyers right now. This de-risks the bigger, more capital-intensive downstream manufacturing step, according to Yahoo Finance.
CEO Julian Treger points to a clear competitive edge. His company can recover rare earth magnets already sitting in waste and send them straight back into the supply chain. That "short-loop" recycling cuts out many of the costly steps used in conventional magnet production.
Full Texas Hub Targets 1,526 Tonnes of Magnetic Products
The complete Ironhead facility is far larger than the early finishing operation. HyProMag USA targets a total payable capacity of about 678 metric tonnes of recycled NdFeB material. The finished output goal rises to 1,526 tonnes of magnetic products once the hub is fully running, CA MarketScreener reported.
The key technology behind that scale is called Hydrogen Processing of Magnet Scrap, or HPMS. It breaks down used magnets using hydrogen gas instead of harsh chemicals. The result is significantly lower energy use and fewer emissions than conventional recycling. The integrated HPMS section is on track to commission by Q2 2028, adding US-sourced feedstock from sources like scrapped EV motors and MRI machines.
Early Works Capital Committed to Hit 2028 HPMS Deadline
Mkango has committed early works capital to support commissioning of the HPMS unit. That spending is designed to keep the Q2 2028 target on schedule. The company is also locking in local feedstock deals now, targeting magnet-bearing waste from electric vehicles, wind turbines, and medical imaging equipment, according to UK MarketScreener.
The integrated hub keeps European supply chains intact while building a parallel US operation. HyProMag's UK and Germany plants will supply the initial 20 tonnes of magnet blocks. Once the Texas HPMS unit is running, the US facility shifts to domestic scrap — closing the loop entirely on American soil.
North American Rare Earth Supply Chain Gets a New Player
Demand for rare earth magnets is climbing fast. They are critical components in AI data center hardware, electric vehicles, wind turbines, and advanced electronics. The US currently relies heavily on imports, mostly from China. HyProMag's Texas Hub is designed to chip away at that dependency by turning domestic waste into finished magnets, Barchart noted.
Mkango Resources trades on both the AIM exchange in London and the TSX Venture Exchange in Canada. Its subsidiary CoTec Holdings also holds a stake in the company. The 2027 production start, if hit, would make HyProMag USA one of the first commercial rare earth magnet recyclers operating entirely within the United States.
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