Overview
- Pensana confirmed it will scrap its planned Saltend refinery near Hull and shift rare‑earth refining to the United States.
- Chairman Paul Atherley cited Washington’s guaranteed-price commitments for domestic rare earths as the decisive factor, noting no comparable pledge exists in the UK or Europe.
- The Saltend project, championed in 2022 with a promised government grant, had been slated to cost about £250 million and create 126 jobs; the grant was not paid as the plant was never built.
- Chancellor Rachel Reeves was relaxed about the investment going to a G7 partner, while analysts cast the decision as an early setback for her securonomics agenda.
- With China producing roughly 90% of refined rare earths and recently tightening exports, the government said it will publish a new Critical Minerals Strategy and reduce industrial electricity costs.