• Banks already mandated
• No full sale expected

American Resources has initiated a formal process to sell a 19% stake in its rare earth mineral subsidiary ReElement Technologies, CEO Mark Jensen said.

Management has mandated two undisclosed investment banks to explore a partial sale of a minority interest in ReElement. The initiative follows multiple unsolicited approaches from strategic investors.

“We’ve been approached by multiple parties,” said Jensen, who also serves as CEO of ReElement. “We’re now running a broader process to gauge market interest.”

Many of the strategic parties reaching out are either magnet producers or industrial groups involved in metals and advanced manufacturing, he said.

American Resources is using the process to attract a strategic investor to ReElement while simultaneously monetizing a portion of its interest to fund its own expansion in rare earth concentrate production, Jensen noted. The arrangement is expected to provide growth capital to both entities without requiring a controlling equity shift.

“We’re focused on ensuring we get the right kind of strategic partner, someone who understands the long-term value of domestic rare earth processing,” Jensen said.

The stake sale process is aligned with internal operational milestones, Jensen added. ReElement is currently scaling its commercial production of rare earth elements, with a targeted run-rate of 1,000 metric tons by the end of 2025, representing an estimated USD 100m in annual revenue, he said.

ReElement’s platform specializes in refining high-purity critical minerals from both recycled and primary sources.

Recent US tariff policies and Chinese export restrictions have elevated the importance of reshoring critical mineral supply chains, boosting ReElement’s domestic strategy, he said.

Asked whether a full sale or merger of ReElement is on the table, Jensen said such a move is “not our model right now,” though he acknowledged growing consolidation interest across the sector, especially from companies with advanced materials or recycling technologies.

ReElement’s order book for 2026 currently represents an estimated USD 75m-USD 100m in revenue, according to a previous press release.