REalloys Inc. (NASDAQ: ALOY) announced the successful demonstration of a patent-pending hydrofluoric-acid-free fluorination process for producing metallization-grade rare earth fluorides from rare earth oxides. This innovation expands the company's proprietary rare earth metallization technology platform while supporting the development of a scalable North American rare earth supply chain.
Independent laboratory testing confirmed the production of fluoride with a final oxygen content of just 0.34 wt%, a level consistent with rare earth fluoride feedstock used in industrial rare earth metal production. Metallization-grade rare earth fluoride feedstocks typically require oxygen levels below 1 wt%. These results demonstrate that rare earth fluorides suitable for rare earth metal production can be produced without hydrofluoric acid, one of the most hazardous chemicals traditionally used in rare earth processing.
Hydrofluoric acid is widely considered one of the most hazardous and difficult chemicals used in industrial metallurgy and remains a standard reagent in conventional rare earth fluorination processes widely used in China and other rare earth processing centers. Its extreme toxicity and corrosiveness require specialized containment systems, highly controlled handling procedures, and extensive environmental and regulatory compliance measures. These measures significantly increase operating costs, create substantial safety and environmental risks, and make fluorination using hydrofluoric acid complex and difficult to scale for rare earth processing facilities operating under Western environmental and safety standards.
In addition to improving safety, the company believes that the HF-free process has the potential to reduce operating costs, simplify plant infrastructure, lower environmental and regulatory burdens associated with hydrofluoric acid handling, and support more resilient rare earth processing supply chains. REalloys has filed patent applications covering aspects of the HF-free fluorination chemistry and process design used to produce metallization-grade rare earth fluorides, forming part of the company's broader portfolio of rare earth metallization technologies.
Rare earth fluorides are a critical intermediate used in the production of rare earth metals, including dysprosium, terbium, and neodymium, that are essential for high-performance permanent magnets used in F-35 fighter aircraft, missile systems, radar platforms, aerospace systems, electric vehicles, robotics, and advanced computing infrastructure. Lipi Sternheim, Chief Executive Officer of REalloys, stated that this breakthrough can significantly reduce the environmental burden, safety risks, and costs traditionally associated with this critical step of rare earth processing while helping enable cleaner rare earth metal production in the United States as an alternative to the environmentally intensive processing methods that dominate rare earth production in China.
China currently dominates key midstream rare earth processing steps, including fluorination and metallization required to produce heavy rare earth metals used in high-performance magnets for missile guidance, radar systems, and other defense technologies. By eliminating the need for hydrofluoric acid in this critical step, REalloys' HF-free fluorination process could help enable scalable rare earth metal production in North America and strengthen domestic supply chains for critical defense materials. The company's broader strategy involves creating a coordinated system that processes and converts heavy rare-earth materials from allied and domestic sources into high-purity products for defense, clean-energy, and high-performance industrial applications.
