TDB-DST Sanctions Funding for Domestic Production of Rare Earth Magnets

This project is pivotal for e-mobility applications, aligning with national priorities to establish an integrated production module for Rare Earth (RE) magnets starting with oxides.

The Technology Development Board (TDB) under the Department of Science and Technology (DST) has sanctioned funding for M/s Midwest Advanced Materials Private Limited (MAM), Hyderabad, aiming to boost domestic production of essential materials and technologies. The announcement was made at the TDB Centre in New Delhi, underscoring the strategic importance of advancing the commercial manufacturing of Neodymium materials and Rare Earth Permanent Magnets.

This project is pivotal for e-mobility applications, aligning with national priorities to establish an integrated production module for Rare Earth (RE) magnets starting with oxides. Utilizing a modified Metal Extraction method that employs Molten Salt Electrolysis (MSE) technology, the initiative represents a critical stride towards sustainable technological advancement. This eco-friendly electrolysis process features proprietary cell designs, enhancing the sustainability of the production.

Neodymium (NdFeB) permanent magnets are essential components for electric vehicle propulsion systems and generators in renewable energy infrastructure. The substantial market expansion forecast for these magnets underscores the significance of indigenous production capabilities. The program aligns with global efforts to combat climate change and promote renewable energy sources, including solar and wind power.

A significant milestone in this initiative is the transfer of advanced technology from The Nonferrous Materials Technology Development Centre (NFTDC), an esteemed R&D institution under the Ministry of Mines, Government of India, to Midwest Advanced Materials Ltd. NFTDC's expertise in advanced materials, particularly Rare Earths, and proficiency in process development and equipment design, coupled with MAM's strengths in mining, powder metallurgy, e-mobility, and project financing, form the foundation of this TRL-9 demonstration plant.

With an initial production target of 500 tons per year (TPY) of magnets and plans to scale up to 5000 TPA by 2030, this initiative marks a transformative stride towards achieving self-reliance in critical technological domains. Dr. K. Bala Subramanian, Director of NFTDC, emphasized the project's trailblazing nature and its potential to produce 500 tons of magnets from 150–170 tons of oxide annually, representing a significant milestone for India. This scientific breakthrough spans the entire range from motors and finished magnets to rare earth oxides, impacting high-tech industries including smartphones, wind turbines, medical imaging devices, and electronic mobility.

The project benefits from lower capital investment (CapEx) due to local plant and machinery design, and the supply of raw materials by India Rare Earth Engineers Limited (IREL) makes it financially feasible in terms of operating expenses. MAM aims to achieve a production target of 5,000 TPA annually by 2030, enhancing the project's long-term profitability and value proposition. NFTDC will continue to support MAM's efforts in rare earths and other vital materials as a knowledge and technological partner.

Sh. Rajesh Kumar Pathak, Secretary of TDB, highlighted the project's significance, stating that it marks India's advancement in domestically manufacturing high-performance magnets. This initiative addresses national imperatives and contributes to the global transition towards sustainable technologies in critical materials for e-mobility and clean energy.