ReElement Technologies, a part of American Resources (NASDAQ: AREC), has teamed up with the South African investment firm Novare to establish a $100 million refinery dedicated to critical and rare earth elements.

In this collaboration, ReElement will leverage its proprietary technology to manufacture high-purity lithium carbonate, rare earth oxides, and various critical minerals. Additionally, ReElement will lend its project management expertise, while Novare will supply capital and operational leadership. The facility’s development is anticipated to commence in the latter half of 2025.

This partnership marks a significant milestone in establishing Africa’s first refining facility for critical and rare earth elements, which are vital for modern commercial and defense technologies. ReElement highlighted this achievement in a news release dated February 5, 2025.

Ben Kincaid, the CEO of ReElement Technologies’ African unit, stated, “This partnership showcases our commitment to innovating within the critical minerals sector. Collaborating with Novare allows us to introduce cutting-edge refining technology to the region and helps nations harness their natural resources for industrial economic growth.”

Ola Leepile, CEO of Novare Group, noted that the partnership aligns perfectly with their goal of becoming a prominent investor by creating Sub-Saharan Africa’s first battery and critical minerals manufacturing facility.

ReElement has pioneered a chromatographic, multi-mineral, and multi-feedstock technology. According to the company, this innovative solution can effectively separate, purify, and refine rare earth and critical elements while being scalable, cost-efficient, and environmentally conscious.

Mark Jensen, CEO of American Resources Corporation and ReElement Technologies, believes this technology is one of only two foundational methods capable of separating and purifying complex mixtures of critical and rare earth elements on a large scale in the United States.