Canadian climate technology developer Enervoxa is planning discussions with India's Vedanta, Hindalco Industries and state-run NALCO to establish a processing plant in the country. According to reports from Reuters, the company is targeting a commercial-scale plant costing $250-350 million that would extract rare earths from waste byproduct of aluminium production. The facility would be financed through a combination of strategic equity and project financing, with potential locations being considered in eastern India.
As reported by Reuters, Enervoxa has spent eight years developing its own process to recover rare earths from red mud, a byproduct of aluminium production known as red mud. The company is looking at potential locations in eastern India for the project. Recovering rare earth concentrates from bauxite residue represents a relatively new commercial application that has gained momentum amid growing geopolitical concerns over China's dominance of rare earth processing. Rare earth elements are essential to technologies spanning mobile phones, electric vehicle motors and defence applications such as cruise missiles.
According to the reports, India holds substantial rare earth reserves but lacks industrial-scale facilities capable of processing the minerals to high purity levels. The country is also the world's second-largest aluminium producer and its third-biggest consumer. Enervoxa plans to approach engineering companies, steel manufacturers and critical minerals processing companies to develop an integrated value chain for products recoverable from red mud, which also include iron oxide, coagulants, pigments and titanium-bearing materials.
As reported by Reuters, Enervoxa plans to seek Indian government assistance for the project. India's Jawaharlal Nehru Aluminium Research Development and Design Centre, along with other stakeholders under government think tank NITI Aayog, is conducting research into metal extraction and rare earth element enrichment from red mud. The company's project could involve either full processing of red mud within India or production of a rare earth concentrate for refining at a dedicated downstream facility. Enervoxa is currently focused on evaluating commercial opportunities with companies in India, North America, Southeast Asia and other alumina-producing regions.
