Tag: Boron

Strategically located in southern California, 5E Advanced Materials is poised to become a key player in the US boron supply chain.

Headquartered in mining-friendly San Bernadino County, California, 5E Advanced Materials is the newest player in the boron space. The location of the mine is in Fort Cady, California, located halfway between Los Angeles and Las Vegas. It is near interstate 40 and the BNSF railroad allows for shipping product to customers at a lower cost. 5E is currently producing boric acid at a steady run rate of one short ton per day for customer qualification, and is making sales to offset production costs.

The facility has been designated as critical infrastructure by the Cyber Security & Infrastructure Security Agency (CISA), which operates under the Department of Homeland Security (DHS).

Boron applications

Permanent magnets

A neodymium or permanent magnet is an alloy of neodymium, iron, and boron. Permanent magnets can create and maintain their magnetic fields without the use of external power, making them ideal for wind energy. In electric vehicles (EVs), they power the motors that turn the wheels. Permanent magnets are also found in computers, hard drives, headphones, and speakers, as well as in drills and other hand tools.

Aerospace and defence

Boron is widely used in the aerospace industry. Boron’s ability to withstand extreme temperatures without melting or becoming brittle, coupled with the fact it is an excellent conductor of electricity, make it well suited for such advanced use cases.

Boron nitride, an advanced derivative, is being tested out as a shield for extreme heat and radiation exposure during space travel. The material has a melting point of 2,973°C or 5,383°F, making it ideal for reusable spaceships exposed to extreme conditions from travelling through Earth’s atmosphere.

Boron fibres are used to repair aircraft, adding strength to bolster structural integrity to repairs on the outside of an aircraft. There is also tape with boron as an additive that can be used for bonding, insulation, and outside labelling on an aircraft.

Boron is used in fuel due to its energy density. According to the US Central Intelligence Agency (CIA), “The high-energy yield render boron substances extremely useful in the development of fuels for aircraft, missiles, and other specialised weapons.” In the same paper, the CIA goes on to say: “The boron powder in fuels is translated directly into greater thrust and increased range.” Boron’s ability to enhance fuel efficiency and bolster the structural integrity of aircraft translates into increased demand from both the commercial and defence sectors.

In addition to the above use cases, boron and carbon form boron carbide (B4C), also known as Kevlar. B4C is used in most forms of armour, from bulletproof vests to long-range rockets, military planes and vehicles.

Nuclear energy

Boron’s neutron-absorbing properties make it indispensable in the operation of nuclear reactors. Used in control rods, boron helps regulate nuclear fission reactions, ensuring safe and efficient energy generation.

Consumer electronics

The electronics industry relies on boron compounds for manufacturing. Borosilicate glass is used in lab equipment and is produced as Pyrex® from Corning and Duran® by Schott. Borosilicate glass is also used in home insulation as fibreglass. Additional large-scale uses include watches, smartphones, computers, TVs and other large screen displays.

Automotive

Ferroboron steel is an iron-boron alloy commonly used in automotive steel. Boron’s hardness property increases the strength, making cars safer and lighter, increasing fuel efficiency.

Agriculture

Boron is an essential micronutrient in agriculture. Boron supports the growth and development of crops essential for food security. Roughly 12% of the Earth’s land is used for farming, making repeated uses of fertilisers needed to maintain the micronutrient levels to produce the world’s food.

Investing in boron

The global boron market is an oligopoly dominated by two players. Rio Tinto (25%) and Eti Maden (60%) combine for 85% of the global borates market, leaving no real public investment opportunity in this growing space. Eti Maden is a Turkish-owned company.

In 2023, Rio Tinto’s revenue from the borates sector was less than 2% of total revenue, giving investors no exposure to this key mineral. This is where 5E Advanced Materials is uniquely positioned to provide exposure to borates.

5E Advanced Materials (5E) is the only ‘pure play’ investment opportunity in the boron space. 5E is listed on the NASDAQ as FEAM and the ASX as 5EA. As mentioned, 5E is already producing boric acid at the SSF located in the Mojave Desert in Southern California. 5E is also in the middle stages of engineering a large-scale commercial facility, capable of producing 90ktpa of boric acid as well as potential byproducts.

Recent events

5E recently received a letter of intent (LOI) from the US Export-Import Bank (EXIM) for $285m of debt financing needed for the project finance for the commercial (90ktpa) facility. The company recently hired Mark Zamek as VP Commercial Products. Mark brings over 20 years of experience of sales and marketing of borates at both Rio Tinto and Eti Maden.

A key strategic player

5E Advanced Materials stands out as a strategic player in the US boron industry, particularly as the US seeks to secure domestic supply chains for critical materials. Positioned to compete with industry giants like Rio Tinto and Eti Maden, 5E offers a unique investment opportunity as the only ‘pure play’ boron company. With its Fort Cady project already producing and plans for significant expansion, the company is poised to meet growing demand across industries ranging from aerospace to agriculture. As the global need for boron continues to rise, 5E is well-placed to play a key role in reshoring and strengthening the US boron supply chain.

Please note, this article will also appear in the 20th edition of our quarterly publication.

5E Advanced Materials is the newest producer in ‘The Boron Triangle’ of California, determined to bring more of this critical resource to the market.

Boron is a versatile element you most likely have not heard of before. However, it has a range of industrial applications that play a pivotal role in shaping North America’s technological and economic landscapes. From aerospace advancements to agricultural innovations, its strategic significance spans multiple critical sectors.

Boron applications

Permanent magnets are materials that can maintain a magnetic field without an external power source. This unique characteristic results from the material’s atomic structure, which aligns the magnetic moments within the material in a specific direction. This alignment creates a persistent magnetic field, allowing permanent magnets to be utilised in a wide range of applications across industries.

Aerospace and defence

In the aerospace industry, boron compounds are integral to the development of lightweight composites and high-strength materials. These materials enhance fuel efficiency and bolster the structural integrity of aircraft, crucial for both commercial and defence applications. Boron’s role extends to defence technology, where it supports the production of advanced materials essential for national security.

Nuclear power

Boron’s neutron-absorbing properties make it indispensable in the operation of nuclear reactors. Used in control rods, boron helps regulate nuclear fission reactions, ensuring safe and efficient energy generation.

Consumer electronics

The electronics industry relies on boron compounds for manufacturing semiconductors and electronic components. These materials are fundamental to the production of smartphones, computers, and other advanced devices.

Automotive innovation

Boron-containing steel is pivotal in automotive manufacturing as it contributes to the production of high-strength, lightweight components. These materials enhance vehicle safety and fuel efficiency.

Agricultural

Boron serves as a vital micronutrient in agriculture, supporting the growth and development of crops essential for food security. Its incorporation into fertilisers ensures optimal crop yields and sustains agricultural productivity across North America.

Accessing this critical resource

So, how do you get exposure to this critical element?

There is only one publicly traded option available that offers direct exposure to the upside of the boron market. 5E Advanced Materials (“5E”; NASDAQ: FEAM; ASX: 5EA) is that opportunity!

Economic deposits of boron are uncommon globally, but there is an area in California, United States, known as ‘The Boron Triangle.’

Searles Valley Minerals is a private company that produces anhydrous borax, pentahydrate borax, decahydrate borax, boric acid, sodium carbonate, sodium sulphate, sodium bicarbonate, sodium chloride, and sulphate of potash products.

Rio Tinto, on the other hand, is a well-diversified major mining conglomerate with its boron mine nearby. Although the company is a significant player in the mining industry, there is no direct investment into Rio’s declining boron operation.

Why 5E?

This leads to 5E, a company ramping up its operations at its 5E Boron Americas Complex in the central Mojave desert.

Commercial discussions with prospective customers have advanced along with the shipment of products for customer testing as the company continues to progress towards Phase 1 commercial operation of 90,000tpa. This key advancement will form the foundation for off-take and supply agreements.

There is a strong tailwind in favour of US investment into clean energy, and 5E offers the additional advantage of the more environmentally friendly in-situ mining method.

In conclusion, boron’s strategic importance in North America lies in its diverse applications across key industries. From enhancing aerospace capabilities to supporting nuclear energy, boron plays a foundational role in fostering technological advancement, economic growth, and national security. Maintaining a stable supply of boron and its derivatives is essential for sustaining these critical sectors and ensuring North America’s competitive edge in the global economy.

Please note, this article will also appear in the 19th edition of our quarterly publication.

Boron is a critical material for global decarbonisation. 5E Advanced Materials is set to extract boron in a safe and sustainable manner.

5E Advanced Materials, Inc. is poised to massively progress in the field of boron-driven advanced materials, with a strong focus on enabling global decarbonisation through the production of boron. The company is strategically positioned to meet the increasing demand for sustainable and innovative solutions in key industries such as electric transportation, clean energy, food security, and reshoring. With a secure boron resource located in Southern California, designated as Critical Infrastructure by the US government, 5E Advanced Materials is at the forefront of providing a stable and reliable source of boron for both domestic and international markets.

Boron and decarbonisation

The global push for decarbonisation has never been more urgent, with governments, businesses, and consumers alike recognising the need to reduce carbon emissions and transition towards sustainable energy sources. Boron, a versatile element with a wide range of applications, plays a crucial role in this transition, particularly in industries that require high-performance materials for energy storage, transportation, and infrastructure. By harnessing the unique properties of boron, 5E Advanced Materials is driving the shift towards a more sustainable and carbon-neutral future.

One of the key strengths of 5E Advanced Materials lies in its vertically integrated business model, which encompasses the entire value chain from resource extraction to downstream processing and product development. This integrated approach not only ensures greater control over the quality and supply of boron-based materials but also allows the company to deliver tailored solutions to meet the specific needs of its customers. By forging strategic partnerships with leading companies in various industries, 5E Advanced Materials is able to leverage its expertise in boron production and processing to co-create advanced materials that drive innovation and sustainability.

The importance of boron in the global decarbonisation effort cannot be overstated. In the automotive sector, boron-based materials are used in lightweight components that enhance fuel efficiency, contributing to a more sustainable transportation system. In the field of clean energy, boron is essential for the production of solar panels, wind turbines, and other renewable energy technologies that help mitigate climate change and promote environmental stewardship.

Other sustainable measures

In addition to its environmental benefits, boron also plays a critical role in enhancing food security and agricultural sustainability. As a micronutrient essential for plant growth and development, boron is used in fertilisers and soil amendments to improve crop yields and nutrient uptake. By incorporating boron-based products into agricultural practices, farmers can enhance the efficiency of their operations, reduce the use of synthetic chemicals, and promote soil health and biodiversity. This holistic approach to sustainable agriculture not only benefits the environment but also supports food security and economic development in rural communities.

The global demand for boron-based materials is expected to grow significantly in the coming years, driven by the expanding adoption of electric vehicles, renewable energy technologies, and advanced manufacturing processes. 5E Advanced Materials is well-positioned to capitalise on this trend and meet the evolving needs of its customers. By investing in research and development, expanding its production capacity, and exploring new applications for boron, the company aims to drive innovation and shape the future of sustainable materials across a wide range of industries.

Boron for the future

5E Advanced Materials’ strategic vision of becoming a vertically integrated global leader in boron+ advanced materials aligns closely with the broader goals of global decarbonisation and the transition to a low-carbon economy. By focusing on sustainability, innovation, and strategic partnerships, the company is driving positive change in key industries and paving the way for a more sustainable and resilient future. With its unique boron resource, advanced processing capabilities, and commitment to responsible practices, 5E Advanced Materials is poised to make a significant impact on the global decarbonisation effort and contribute to a more sustainable world for future generations.

Please note, this article will also appear in the 18th edition of our quarterly publication.

As the world transitions to cleaner energy, specific materials and their derivatives will need access to more secure sources. 5E Advanced Materials, Inc. is providing access to one such material: boron, through sustainable production practices.

In the pursuit of global decarbonisation, the significance of sustainable and resilient supply chains for critical materials cannot be overstated. Among these materials, boron stands out for its unique properties and essential role in various green technologies.

5E Advanced Materials, Inc. is at the forefront of this movement, aiming to fuel the world’s transition to a greener future through its vision of vertically integrated production of boron and lithium.

What are the advantages of boron?

Boron, often overlooked in mainstream discourse, is a metalloid element with exceptional properties that make it indispensable across various applications. Its high melting point, lightweight nature, hardness, corrosion resistance, and antimicrobial properties make it vital in several industrial, defence-related, and energy transition products.

From permanent magnets to solar panels and aerospace technologies, boron plays a pivotal role in advancing technologies crucial for decarbonisation efforts worldwide. Its versatility extends to applications in industrial fertilisers, specialty glass, fibre optics, turbines and more, making it an indispensable resource for building a sustainable future.

It is the various forms that boron can be refined into that 5E is facilitating. Boric acid and boron acid are vital for glass used in solar panels, glass and magnets used in electric vehicles, and wind turbine blades, while boron carbides and nitrides are used in products such as aerospace ceramics, borosilicate glass for fibre optic networks, and various materials such as glass and ceramics used in satellites.

Securing the supply chain

Despite its importance, the global supply chain for boron is vulnerable, with a significant portion sourced from a limited number of regions, primarily Turkey. Located in Southern California (home of the largest boron mine in the US, producing almost half the world’s borates,) 5E Advanced Materials recognises the critical need for a secure domestic supply and is well-positioned to meet that demand.

This complex represents the largest known new conventional boron deposit domestically and has received Critical Infrastructure designation from the US Government. By leveraging this strategic advantage, 5E is poised to address the growing demand for boron and mitigate supply chain risks associated with foreign dependency.

Sustainable production of boron for a greener tomorrow

In addition to ensuring supply chain resilience, 5E Advanced Materials prioritises sustainable production practices. Their local operational strategy emphasises energy efficiency and minimises environmental impact, aligning with the overarching goal of global decarbonisation.

Through integrated, on-site processing and closed-loop methodologies, 5E reduces energy consumption, minimises resource utilisation and curtails greenhouse gas emissions. By employing in-situ extraction techniques, the company further minimises environmental disturbance compared to traditional mining methods, setting a new standard for responsible resource extraction.

Pioneering progress: Recent developments

5E Advanced Materials, Inc. has recently made significant strides in its mission to revolutionise the boron market and drive global decarbonisation. The company has been operating the mine in California since 1 January 2024, producing initial results that meet or exceed expectations.

In a recent press release detailing operational updates, the company recognised:

• All four of the injection/recovery wells are fully operational and, in combination, are effectively managing the extraction of PLS (Pregnant Leach Solution);
• Boric acid head grade has surpassed 5.0% and is on a steady upward trajectory, which exceeds historical levels;
• The company has confirmed the presence of lithium through its extraction process and continues to see the parts per million (ppm) content increase as the wells continue to be conditioned;
• Following the execution of a recent recapitalisation, the company has engaged an electrical contractor, now on-site, to progress the final stages of the boric acid and gypsum areas of the plant; and
• All related operational schedules remain on target for completion by early March.

These early successes underscore the company’s commitment to operational excellence and validate the strategic value of its ore body. By leveraging cutting-edge extraction techniques and advanced processing capabilities, 5E is poised to maintain its momentum, continuing to execute against strategic and operational milestones.

A call to action: Recognising boron’s strategic importance

The demand for boron is likely to grow, with predictions of it growing between 1.5 and 2.5 times the current demand between 2025 and 2030. While around 20-30% of the current demand is for applications related to decarbonisation, this, too, is likely to grow to around 65-75%. As such, with the current supply, the disparity between supply and demand will grow significantly, and boron prices will skyrocket. Doubly so with world politics such as Russian sanctions and environmental concerns, there is a need for more suppliers.

The importance of boron extends beyond its applications in green technologies; it is a strategic asset critical to national security and clean energy goals. Recognising this significance, a bipartisan group of congressional leaders has advocated for the inclusion of boron in the U.S. Geologic Survey’s 2025 Critical Mineral List.

5E Advanced Materials, Inc. fully supports this initiative, emphasising the urgency of establishing a secure domestic supply chain for boron and its derivatives. By championing legislative efforts and driving awareness of boron’s strategic importance, 5E is advancing its mission to become a global supplier of critical materials essential for a sustainable future.

The importance of sustainable boron production for a clean future

In the journey towards global decarbonisation, the role of innovative companies like 5E Advanced Materials, Inc. cannot be overstated. By harnessing the unique properties of boron and pioneering sustainable production practices, 5E is driving meaningful progress toward a greener, more resilient future.

As mining operations at the Boron Americas Complex continue to yield promising results, 5E Advanced Materials, Inc. emerges not just as a visionary concept but as a tangible force driving change in the global decarbonisation landscape. 5E looks forward to 2024 as it continues to advance the company’s vision of becoming the newest domestic producer of boric acid and lithium carbonate.

Please note, this article will also appear in the seventeenth edition of our quarterly publication.