Hypromag USA Purchases Inserma Pre-processing Units For Texas, Nevada and South Carolina Rare Earth Magnet Recycling Hubs In the United States

September 30, 2025 at 01:55 AM EDT

FORT WORTH, TEXAS / ACCESS Newswire / September 30, 2025 / HyProMag USA, LLC ("HyProMag USA" or the "Company") is pleased to announce it has purchased three skid-mounted Inserma Anoia S.L ("Inserma") magnet and Printed Circuit Board ("PCB") separation units. The Inserma and PCB units can be co-located at hyperscale data centers, shredding, recycling or HyProMag facilities. These Inserma units rapidly remove (at <2 seconds per hard disk drive ("HDD")) the voice coil motor ("VCM") containing the rare earth magnet, providing a highly concentrated feed for subsequent Hydrogen Processing of Magnet Scrap ("HPMS") by HyProMag USA at the Texas facility. The technology package will further complete the separation and removal of the PCB, which contains precious metals, for recycling and sale. The three units will be located and operated by Intelligent Lifecycle Solutions, LLC ("ILS") as it continues stockpiling of feedstock for the Fort Worth facility.

Julian Treger, Chief Executive of CoTec commented: "We are very excited to see the rapid development of the Inserma partnership. Pre-processing technologies are a key enabler and competitive advantage for HyProMag USA as it progresses with the purchase of feedstock. The Company is continuing to progress its discussions with the rapidly expanding hyperscale data center providers and offers a closed loop and secure recycling network within the United States at the lowest cost and lowest carbon footprint. Furthermore, the batch process design of the Texas facility with separate individual feedstock waste streams supports consistent finished grades of magnets and blocks.

Will Dawes, Mkango CEO commented: "The combination of HPMS and Inserma technologies delivers a cost effective, low CO₂ and flexible solution for the recycling of rare earth magnets from HDDs, utilised in hyperscale data centres and other applications. These technologies, coupled with the very significant AI driven growth anticipated for hyperscale data centres, will unlock additional sources of feedstock to support HyProMag's rapid growth profile. The latter is further supported by accelerating demand for HyProMag's recycled rare earth magnet products, geared to growth in physical AI, electric mobility, clean energy and other applications, together with a geopolitical backdrop driving Government supported development of independent and robust domestic supply chains."

HyProMag USA Feasibility Study

The Feasibility Study includes the Texas Hub, and two pre-processing facilities located in South Carolina and Nevada respectively. In March 2025, HyProMag USA announced the expansion of the detailed engineering phase to include three HPMS vesselsⁱ and that it was initiating concept studies for further expansion and complementary "Long Loop" recyclingⁱⁱ. The Texas Hub's annual production is expected to be 750 metric tons per annum of recycled sintered NdFeB magnets and 807 metric tons per annum of associated NdFeB co-products (total payable capacity - 1,557 metric tons NdFeB within five years of commissioning) over a 40-year operating life. It is expected the production facility will provide significant optionality to supply the U.S. market with additional NdFeB alloy powder while assisting in revitalising the U.S. magnet sector with the creation of 90-100 skilled magnet manufacturing jobs.

In March 2025, HyProMag USA announced the results of an independent ISO-Compliant product carbon footprint study which confirmed an exceptionally low CO₂ footprint of 2.35 kg CO₂ eq. per kg of NdFeB cut sintered block product.ⁱⁱⁱ

In August 2025, HyProMag USA announced ILS had formally commenced its stockpiling of feedstock^iv initiative pursuant to the recently announced feedstock supply and pre-processing site share agreement between HyProMag USA and ILS.^v

In September 2025, HyProMag USA announced the commissioning of a Concept Study to evaluate the expansion of its operations into Nevada and South Carolina in collaboration with ILS.^vi

In September 2025, HyProMag USA announced the commissioning of a Concept Study to evaluate long loop recycling with Worley Group Inc.^vii

Inserma Partnership

In September 2024, Maginito Limited ("Maginito") secured an exclusive agreement with Inserma to commercialise automated pre-processing of hard disc drives, loudspeakers and electric motors for HyProMag.^viii

About HyProMag USA

HyProMag USA LLC is owned 50:50 by CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) ("CoTec") and HyProMag Limited. HyProMag Limited is 100 percent owned by Maginito Limited which is owned on a 79.4/20.6 percent basis by Mkango Resources Ltd. (AIM/TSX-V:MKA) and CoTec.

For more information, please visit www.hypromagusa.com

For further information, please contact:

John Singleton - Director - john.singleton@hypromagusa.com

Will Dawes - Director - will.dawes@hypromagusa.com

Eugene Hercun - Company Communications - +1 604 537 2413

^{i https://cotec.ca/news/hypromag-usa-expands-detailed-engineering-phase-to-include-three-hpms-vessels-and-initiates-concept-studies-for-further-expansion-and-complementary-long-loop-recycling}

^{ii Conventional leach, extraction purification and precipitation process}

^{iii https://cotec.ca/news/hypromag-usas-iso-compliant-product-carbon-footprint-study-confirms-exceptionally-low-co2-footprint-of-235-kg-co2-eq-per-kg-of-ndfeb-cut-sintered-block}

^{iv https://www.cotec.ca/news/hypromag-usa-commences-stockpiling-of-feedstock}

^{v https://www.cotec.ca/news/hypromag-usa-enters-into-agreement-with-global-electronics-recycler-intelligent-lifecycle-solutions-for-feedstock-supply-and-pre-processing-site-share-in-south-carolina-and-nevada}

^{vi https://hypromagusa.com/hypromag-usa-to-commission-scoping-study-to-triple-capacity/}

^{vii https://hypromagusa.com/hypromag-usa-project-update-for-its-rare-earth-magnet-recycling-and-manufacturing-plants-in-the-united-states/}

^{viii https://www.cotec.ca/news/maginito-secures-exclusive-agreement-with-inserma-to-commercialise-automated-pre-processing-of-hard-disc-drives-loudspeakers-and-electric-motors-for-hypromag/}

SOURCE: HyProMag USA

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Hypromag USA Purchases Inserma Pre-processing Units For Texas, Nevada and South Carolina Rare Earth Magnet Recycling Hubs In the United States

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