CENTENNIAL, Colo., Aug. 30, 2021 /PRNewswire/ -- NioCorp
Developments Ltd. ("NioCorp" or the
"Company") (TSX:NB) (OTCQX:NIOBF) joined with a group
of rare earth industry players to urge the U.S. Congress to approve
bipartisan legislation in order to provide tax incentives for U.S.
manufacturing of permanent rare earth magnets in the United States.
In a letter delivered to the Democrat and Republican
leaders in the U.S. House of Representatives, the industry
coalition urged support for HR 5033, cosponsored by Reps.
Eric Swalwell (CA-15) and
Guy Reschenthaler (PA-14), and urged
that its provisions be added to pending federal infrastructure
legislation. The bill would create a $20 per kilogram production tax credit for
magnets that are manufactured in the U.S., or $30 per kilogram for magnets that are both
manufactured in the United States
and for which all component rare earth material is produced and
recycled or reclaimed wholly within the
United States. To be eligible, the rare earth magnets may
not include any component rare earth magnet material produced in
non-allied foreign nations, such as China, Iran,
North Korea, and Russia.
Rare earth magnets are used in a variety of applications, such
as electric vehicles, wind power turbines, home appliances, factory
automation systems, computers, cellphones, and energy-saving
electric motors. The majority of all electric vehicles made
today contain a powertrain driven by rare earth magnets, and
virtually all modern automobiles use rare earth magnets in smaller
electric motors throughout the vehicle.
The Biden Administration recently issued an executive order
setting a goal that 50% of all new vehicles sold in 2030 will be
zero-emissions vehicles, including battery electric, plug-in hybrid
electric, or fuel cell electric vehicles, all of which rely on rare
earth magnets. The bipartisan infrastructure bill recently passed
by the U.S. Senate includes $5.75
billion to replace thousands of transit vehicles, including
buses, with zero-emission vehicles.
NioCorp is currently evaluating the potential for production
of rare earth elements ("REEs") as a byproduct of planned
production of the critical minerals niobium, scandium, and titanium
from the Elk Creek Project (the "Project"), subject to receipt of
necessary project funding. The Company's REE initiative was
launched in response to intense interest by governments and
industrial consumers around the world for additional sources of
rare earths beyond current suppliers.
Commercial rare earth products currently being examined for
potential production by NioCorp include neodymium-praseodymium
oxide ("NdPr"), dysprosium oxide ("Dy2O3"), and terbium oxide
("Tb4O7"). These are the primary REEs used to manufacture the
world's most powerful permanent magnets, known as
neodymium-iron-boron ("NdFeB") magnets.
Other legislative proposals in the U.S. Congress would provide a
variety of tax incentives for the mining of REEs and the production
of separated rare earth oxides, which NioCorp is considering.
"This bipartisan legislation would provide important tax
incentives for the production of permanent rare earth magnets,
which, if enacted, could provide powerful incentives for investment
across all areas of rare earth production in the U.S., from mining
to magnet manufacturing," said Mark A.
Smith, CEO of NioCorp. "We are pleased to support this
legislation and to work in this alliance to push this bill and
other legislative initiatives designed to promote greater
production of these and other critical minerals in the U.S."
@NioCorp $NB $NIOBF #ElkCreek #Niobium #Scandium #Nebraska
#rareearth #Swalwell #Reschenthaler #magnets
For More Information:
Contact Jim Sims, VP of External
Affairs, NioCorp Developments Ltd., 720-639-4650,
jim.sims@niocorp.com
About NioCorp
NioCorp is developing a superalloy materials project in
Southeast Nebraska that will
produce Niobium, Scandium, and Titanium. The Company also is
evaluating the potential to produce several rare earth byproducts
from the Project. Niobium is used to produce superalloys as
well as High Strength, Low Alloy ("HSLA") steel, which is a
lighter, stronger steel used in automotive, structural, and
pipeline applications. Scandium is a superalloy material that can
be combined with Aluminum to make alloys with increased strength
and improved corrosion resistance. Scandium is also a critical
component of advanced solid oxide fuel cells. Titanium is used in
various superalloys and is a key component of pigments used in
paper, paint and plastics and is also used for aerospace
applications, armor, and medical implants. Magnetic rare
earths, such as Neodymium, Praseodymium, Terbium, and Dysprosium
are critical to the making of Neodymium-Iron-Boron ("NdFeB")
magnets, which are used across a wide variety of defense and
civilian applications.
Forward-Looking Statements Disclaimers
Certain statements contained in this news release may constitute
forward-looking statements, including statements regarding the
success of the Company's effort to support federal tax incentives
for the production of rare earth products, the Company's
expectations that the Project will reach production stage if it is
able to secure project financing, and its ability to produce its
planned products commercially. Readers are cautioned that
such forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause a change in such
assumptions and the actual outcomes and estimates to be materially
different from those estimated or anticipated future results,
achievements or position expressed or implied by those
forward-looking statements. Risks, uncertainties and other factors
that could cause NioCorp's plans or prospects to change include
risks related to the Company's ability to operate as a going
concern; risks related to the Company's requirement of significant
additional capital; changes in demand for and price of commodities
(such as fuel and electricity) and currencies; changes in economic
valuations of the Project, such as Net Present Value calculations,
changes or disruptions in the securities markets; legislative,
political or economic developments; the need to obtain permits and
comply with laws and regulations and other regulatory requirements;
the possibility that actual results of work may differ from
projections/expectations or may not realize the perceived potential
of NioCorp's projects; risks of accidents, equipment breakdowns and
labor disputes or other unanticipated difficulties or
interruptions; the possibility of cost overruns or unanticipated
expenses in development programs; operating or technical
difficulties in connection with exploration, mining or development
activities; the speculative nature of mineral exploration and
development, including the risks of diminishing quantities of
grades of reserves and resources; and the risks involved in the
exploration, development and mining business and the risks set
forth in the Company's filings with Canadian securities regulators
at www.sedar.com and the SEC at www.sec.gov. NioCorp disclaims any
intention or obligation to update or revise any forward-looking
statements whether as a result of new information, future events,
or otherwise.
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SOURCE NioCorp Developments Ltd.