Geologists in a remote part of Utah say they have found a very rich deposit of rare metals that are not buried in solid rock but in sponge-like clays. Early economic models say that this site alone could hold up to €120 billion (£103 billion) worth of important minerals. This has direct effects on electric cars, AI, and tensions between the US and China.
A quiet plateau that could change the race for rare earths
Silicon Ridge, Utah, is where the project is located. It’s a dry area that is more known for ranching and red rocks than for cutting-edge technology. Ionic Mineral Technologies (Ionic MT), a US company, says it has mapped clays that are full of rare and important metals under about 260 hectares of land.
Geologists call these clays “ionic clays.” For thousands of years, they acted like geological sponges, soaking up metals that were carried by groundwater and volcanic fluids. That process made a mix of elements that is very concentrated and that modern industry really needs.
China is the leader in this area. It has more than 70% of the world’s supply of heavy rare earths and more than 80% of the market for processing rare earths. The Utah find is getting a lot of attention because deposits like this are very rare outside of China.
Early estimates say that there is tens of billions of euros worth of metal in the ground on just a small part of the Silicon Ridge site.
Ionic MT’s claims are not based on just a few promising samples. The company has dug 106 boreholes, sunk more than 10,000 meters of core, and opened 35 trenches to look at the mineralised layers. The clays in the area that has already been studied have an average of 2,700 parts per million (ppm) of important metals.
For example, Chinese ionic clay deposits usually have between 500 and 2,000 ppm. If those numbers stay the same as drilling goes on, Silicon Ridge would be near the top of the list of places in the world with this type of resource.
A mix of 16 strategic metals in one place
It’s not just the grade that makes it appealing; it’s the mix. Geologists have found at least 16 different high-value elements on a small area. These are:
A single deposit that supplies batteries, magnets, and high-end chips would give US manufacturers a level of supply security they haven’t had in decades.
This kind of diversified deposit is politically appealing to policymakers who want to make supply chains that depend on Chinese exports less risky. It provides a foundation for domestic processing facilities, research institutions, and downstream manufacturing plants in sectors such as magnets and cathode materials.
A gentler way to get things out that doesn’t use acids or huge furnaces
It doesn’t look like an open-pit copper mine with dynamite and crushing mills when you mine clays. Ionic MT says that its process doesn’t use high-heat furnaces or harsh acid leaching; instead, it uses low-temperature ion-exchange methods.
A unique environmental pitch
The company doesn’t want to roast ore at hundreds of degrees or use concentrated acids. Instead, they want to wash the clays with mild solutions that bring out the metals. In theory, this makes the air much cleaner and doesn’t create the big acid ponds that some Chinese rare earth operations do.
The company wants to get back about 95% of the metal, which would make the operation one of the most efficient on the market. More value comes from each tonne of clay when the recovery rate is high, and there is less waste left in the tailings.
Ionic MT says that they have already gotten the permits they need for the mining site and the processing plant. The name “Silicon Ridge” isn’t random; it comes from the geology of Utah’s soil and is a nod to Silicon Valley.
Getting rid of Beijing’s control over important minerals
Rare earths and other metals are at the crossroads of technology and politics. They are used in missile guidance systems, fighter jets, wind turbines, electric vehicle motors, and hardware for data centers. When things get tense between Washington and Beijing, these things quietly move up the list of things to do in the White House and the Pentagon.
In the past few years, China has used export controls on gallium, germanium, and some rare earths as a way to get what it wants in diplomatic talks. That has made the US look for suppliers in the US or at least ones that are friendly. Silicon Ridge is a big part of that push.
Utah’s US lawmakers call the project a “historic moment” for industrial sovereignty. This shows that people in Washington are worried about not being able to get supplies from China.
To help get new mines started, the US Department of Defence, some federal agencies, and some states have started giving out grants, tax credits, and long-term purchase agreements. A deposit that could realistically support a whole US supply chain, from raw clay to finished magnets, is likely to get that support.
How the numbers add up: from 45 to 65 billion euros to 120 billion euros
The €120 billion figure is based on a number of assumptions, but it shows how big the problem is. This is how the current estimates are broken down.
The first 11%: a good test case for making money
So far, only about 12 million tonnes of clay have been looked at closely. That means about 32,400 tonnes of metals can be commercially recovered at an average grade of 2,700 ppm.
Using market prices from 2024 to 2025 for heavy rare earths, gallium, germanium, and lithium, analysts working on the project come up with an approximate blended value of €1,400 per kilogram of contained metal. That means that the part of the resource that has already been defined is worth between €45 billion and €65 billion in the ground.
This area is only 11% of the whole zone that Ionic MT wants to look into. If the same grades keep showing up in the rest of the area, the potential gross value could go over €120 billion. These numbers don’t include the costs of mining, processing, infrastructure, financing, and reclamation, but they still show why banks are interested.
The company has already teamed up with a big investment bank, which is a sign that it will probably raise more money as it goes from drilling to building factories.
How do the prices of rare earths compare
The high prices of some rare earths are one reason why people are so excited about this Utah deposit. Even small amounts of tonnage can make a lot of money. Prices in late 2025 usually fall between:
Element Price in euros per kilogram Notes
Neodymium (metal): 140–150Used in permanent magnets that work very well
Dysprosium (oxides) 420–450Makes magnets in electric vehicles and wind turbines better at withstanding heat
Terbium (oxides) 780–980Important for high-end magnets and green phosphors
Yttrium (oxides) 25–30 Used in LEDs, lasers, and some ceramics
Scandium (high purity) costs between 3,200 and 3,300.A metal that is added to aluminium to make it lighter for use in aeroplanes
These numbers help us understand why clays with “only” a quarter of a percent of metal can still support projects worth billions of euros.
What this could mean for jobs, EVs, and defence
New ways to get electric cars and clean energy
If Silicon Ridge starts making things, carmakers and wind turbine makers would be able to get magnet metals like neodymium and dysprosium from the US. That lowers the chance that price spikes or limits on exports will stop climate goals from being met.
Batteries would also get better. Even a small amount of lithium from the deposit can help domestic cell plants, which in turn supply the US and European electric vehicle markets. Having lithium, gallium, and rare earths all in one project makes it easier for big companies to sign supply contracts.
Utah’s regional growth
The project promises new industrial jobs in Utah in areas that have relied on mining for generations but often missed out on the tech boom. There is room for service companies, engineering firms, and training programs at local colleges in addition to direct jobs at the mine and plant.
States often offer tax breaks and help with infrastructure to win these projects. Utah’s political leaders are already talking about Silicon Ridge as the start of a new “critical minerals corridor” that could have refineries, metal alloy plants, and magnet factories.
What could still go wrong, when it could happen, and what the risks are
Even with good grades and political support, no mine is a sure bet. Silicon Ridge still has some big problems to deal with.
Technical risk: The results from the lab need to be able to be used in industrial plants without huge cost increases.
Permits and local support: Early permits are in place, but any new infrastructure or expansion can run into legal problems.
Prices change quickly: The prices of rare earth and battery metals go up and down quickly. A downturn could put off investment decisions.
Competition: Projects in Canada, Australia, and Europe are all trying to get the same buyers and government incentives.
Investors will be interested in the economic study that is expected to come out in the first half of 2026. The report should show how much it will cost to run the business, how much money it will make, and how long it will take to pay back the loan in different price situations. If those numbers look good, building could start before the end of the decade, and the first products could be made a few years later.
Important ideas to think about
What are ionic clays, and why do they matter?
Ionic clays are soft sediments with small grains where rare earth elements don’t stick very well to clay particles. Instead of blasting and breaking up hard rock, miners can strip the clay and use chemicals to wash the metals out. This can help save energy and cut down on noise and dust.
This type of mining started in China’s southern provinces, but years of poorly regulated activity left scars, such as deforested hillsides, polluted streams, and informal operations. Companies like Ionic MT want to show that stricter rules, lined ponds, and good waste management can still work with the same geology.
Simulating how a new mine will affect supply chains
Think about how Silicon Ridge could meet a large part of the US’s demand for certain heavy rare earths when it is fully operational. Instead of getting Chinese oxides shipped across the Pacific, a US magnet factory could sign a long-term contract with the Utah operation. That makes prices more predictable and encourages more investment in downstream plants.
When you add up the effects on batteries, defence electronics, and satellite parts, the project starts to act as the backbone of an entire industrial ecosystem. Other countries are doing similar simulations, which is why important minerals have gone from being mentioned in obscure geological reports to being front-page news in economic and security briefings.