Rare earths from Kazakhstan’s major vanadium deposit could reach the US market
U.K.-based Ferro-Alloy Resources, which is developing the Balasausqandiq vanadium deposit in Kazakhstan’s Kyzylorda region, has entered into a non-binding memorandum of understanding with the U.S.-based Maglut Heavy Industries for the potential supply of mixed rare earth concentrate. The separation of metals from the ore will allow the company to generate additional revenue, the company said in a statement.
The author of the Finmentor.kz Telegram channel spotlighted an announcement published by Ferro-Alloy Resources on the Astana International Exchange (AIX). Maglut Heavy Industries Inc. specializes in separating rare earth metals.
The memorandum provides for potential supplies of mixed rare earth concentrate derived from ore extracted at the Balasausqandiq deposit. The company plans to extract the concentrate from residual leach solutions formed after vanadium extraction and leaching from the ore. This will allow the company to generate additional revenue without changing its production process.
Maglut tested a sample of ore from a Kazakhstani deposit. The company said that it is possible to separate 16 rare earth elements, including some of the most commercially significant, such as yttrium, neodymium, praseodymium, dysprosium and terbium. After two separation stages, the process achieved 99% purity, with an average overall separation recovery of about 91.4%.
These are laboratory test results, not the share of rare earth elements in the ore. Further testing, process optimization and an economic feasibility assessment are required to develop the process flowsheet in detail. Ferro-Alloy Resources and Maglut are in talks with U.S. strategic partners about raising funds for this stage of the work.
According to the memorandum, Ferro-Alloy Resources could potentially supply Maglut with up to 1,000 tons of mixed rare earth element concentrate annually as a byproduct of vanadium processing. The parties are also considering an interim project to supply up to 100 tons using existing production capacity, subject to confirmation of the project’s economic feasibility.
Ferro-Alloy Resources noted that, based on the grades recorded during drilling in 2012, the value of the yttrium contained in Orebody 1 alone was estimated at approximately $3.6 billion over the life of the deposit. This is equivalent to around $110 per ton of processed ore. The figure reflects the value of the raw material alone and does not account for extraction costs.
Maglut Heavy Industries is a U.S. company based in California, founded in 2025 by Curtis Wu and Azhar Yerzhanova to establish its own platform for processing and purifying high-purity rare earth elements for sale in the U.S.
Ferro-Alloy Resources is a British company developing the Balasausqandiq deposit in the Kyzylorda region. The company describes it as one of the world’s largest vanadium projects.
Vision Blue Resources Ltd., a private investment fund, is the largest shareholder of Ferro-Alloy Resources, owning a 22.5% stake. Andrey Kuznetsov, the company’s chief operating officer and a key executive overseeing the Kazakhstan project, holds 12.1% of the shares, while Nick Bridgen, chief executive officer, owns 10.7%. Private investors hold the remaining shares, which are publicly traded.
Previously, Ferro-Alloy Resources submitted applications for funding from U.S. government agencies.
