Mkango Resources has expanded its European rare-earth recycling operations through the acquisition of German processor Remloy, adding alloy production capacity to its existing recycling and rare-earth development assets. Mkango acquired Remloy from Heraeus for €8 million, comprising €5 million paid at completion and a further €3 million due. The transaction adds a commissioned recycling facility in Bitterfeld, Germany, where Remloy processes end-of-life rare-earth magnets through a melting process.
Remloy Targets NdFeB Alloy Production
Remloy’s facility is designed to produce at least 500 tonnes per year of neodymium-iron-boron alloy powder for use in bonded and hot-deformed magnets. At completion of the acquisition, Remloy held approximately 345 tonnes of magnets, alloys and other feedstock. The inventory can support both Remloy’s operations and Mkango’s HyProMag recycling activities as the businesses develop commercial volumes.
Integrated Rare-Earth Recycling Chain
The acquisition expands Mkango’s activities across multiple stages of the rare-earth materials chain. HyProMag uses a short-loop recycling process to recover magnet material, while Remloy provides medium-loop alloy recycling. Mkango is also evaluating longer-loop separation and refining activities.
The company retains exposure to the Songwe Hill rare-earth project in Malawi and the proposed Pulawy separation facility in Poland. European manufacturers are seeking traceable magnet materials with reduced dependence on Chinese supply. Recycling also provides a route to market that can be developed without establishing a new mining operation and may involve fewer permitting requirements.
Financing and Development Requirements
Mkango reported $13.6 million in cash at the end of June, before the initial payment for the Remloy acquisition. The company now faces requirements to scale production, secure consistent feedstock, qualify products with customers and finance multiple development platforms across its rare-earth portfolio. A proposed US listing transaction involving Mkango’s mining and separation assets remains conditional on financing, regulatory approvals and other closing requirements.
