Executive Interviews

Asian Metal: Hello, Mr. Sergeyev. Welcome to our interview section at Asian Metal. Could you briefly introduce your company and core business?

Dmitriy Sergeyev: RedZemTekhnologii LLC is a Russian company founded in 2012. We specialize in the mining and primary beneficiation of thorium-bearing ores. Our headquarters is located in Moscow, and our resource base is in the Ural region. We currently hold 80,000t of monazite concentrate, which is one of the most critical feedstocks for the global production of rare earth oxides. We operate a dedicated production and logistics complex that serves as a hub for storage, repackaging, and shipment preparation for end users. I would like to emphasize that RedZemTekhnologii LLC holds all the necessary licenses and permits issued by Russian state authorities, enabling us to fully comply with relevant regulations for export and international transportation of monazite concentrate.

Asian Metal: What are the typical contents of praseodymium, neodymium, lanthanum, and cerium in your monazite concentrate?

Dmitriy Sergeyev: According to laboratory test results, the average rare earth composition of our monazite concentrate is as follows: praseodymium 2.5%, neodymium 8.0%, lanthanum 10.5%, and cerium 20.5%. The average total rare earth oxide (TREO) content is approximately 53.7%.

Asian Metal: What kind of buyers or partners are you looking for?

Dmitriy Sergeyev: We are customer-oriented and are open to cooperation with any partners interested in procuring our monazite concentrate. However, due to the specific nature of monazite materials—which contain naturally occurring thorium and uranium impurities—any potential buyer must possess the necessary import permits issued by the competent authorities of the destination country, in accordance with international regulations and IAEA guidelines, in order to proceed with shipments of monazite concentrate.

Asian Metal: Could you give us an overview of monazite resource distribution and mining activity in Russia?

Dmitriy Sergeyev: Russia has abundant reserves of monazite-bearing ores. As early as the 1940s and 1950s, during the Soviet era, the country conducted extensive geological exploration of monazite placer deposits to build a domestic raw material base. During that time, more than 100 commercially viable monazite-rich deposits were discovered across the country. Preliminary mining activities were launched, and long-term stockpiles of monazite were established. At present, there is no active monazite-specific mining in Russia, primarily due to the large volume of existing stockpiles. Today, monazite is typically recovered as a byproduct from the processing of titanium ores, ilmenite-zircon sand, or traditional gold mining tailings. The monazite concentrate stored in our long-term facilities is an intermediate product obtained through mechanical beneficiation of monazite sands extracted from various deposits during the Soviet era. Based on our internal assessment, Russia’s cumulative monazite reserves exceed 80,000t, most of which were accumulated during Soviet mining operations. These reserves provide a solid foundation for future processing and potential export.

Asian Metal: What are the challenges in processing monazite in Russia?

Dmitriy Sergeyev: Interest in monazite-based raw materials has grown significantly in recent years, mainly due to their high content of rare earth compounds. However, Russian companies still largely depend on imported rare earth metals due to several key factors. First, the mineral composition of monazite ores is highly complex and varies significantly from one deposit to another, making processing technically challenging. Currently, Russia lacks mature, industrial-scale technologies and dedicated processing facilities for monazite materials. Second, the domestic rare earth market is relatively small and fragmented, with most consumers requiring small quantities—often just a few tonnes per year—of rare earth compounds or metals. Additionally, supply chain disruptions caused by sanctions have served as a catalyst for Russia’s high-tech industries. Demand from sectors such as defense, pharmaceuticals, aerospace, and advanced manufacturing is steadily increasing. Given the rapid development of Russia’s high-tech sector, we have every reason to expect rising domestic demand for rare earth metals in the near future. This, in turn, will drive demand for raw materials, processing capabilities, and local production of rare earth compounds and metals. We are already witnessing growing interest in rare earths within the domestic market. A significant portion of raw material sources will be directed to meet this demand. Nevertheless, the development of world-class rare earth deposits and the implementation of modern, environmentally sustainable processing technologies require both time and substantial investment. In this context, processing monazite feedstock and extracting rare earth metals and compounds from it appears to be a highly promising direction for the development of Russia’s rare earth industry.

Asian Metal: How do you assess demand for monazite outside of Russia?

Dmitriy Sergeyev: Demand for monazite-based materials outside Russia is driven by several key factors. The primary driver is the continued expansion of the global rare earth metals market, with monazite remaining one of the major sources of rare earth extraction. China continues to be the largest player in the rare earth industry. While China is actively developing its domestic monazite mining and processing to reduce reliance on external sources, it still maintains strong demand for imported monazite materials to feed its rare earth supply chain. Industry experts estimate that China’s annual demand for monazite concentrate may reach 80,000–100,000t, primarily driven by its established separation capacities in Jiangxi, Shandong, and Sichuan. In the United States and Western Europe, efforts are underway to reduce reliance on Chinese imports by investing in domestic monazite processing capabilities, notably through companies like MP Materials and Energy Fuels. Although current demand in the U.S. is relatively small, medium-term forecasts suggest that annual consumption could grow to 10,000–20,000t as capacity expands. Overall, global demand for monazite is expected to continue increasing, particularly in countries seeking to diversify their supply chains and develop domestic rare earth industries.

Asian Metal: The mainstream price of monazite 54%min has recently risen to USD5,450–5,500/t, up by about USD200/t from a month ago. What do you think are the main reasons for this price increase?

Dmitriy Sergeyev: The recent price increase in monazite materials is driven by several key factors. First is the growing demand for rare earth metals. Their increasing use in electronics, permanent magnets, wind turbines, electric vehicles, and defense applications has fueled demand for monazite as a key source of rare earth elements. Second, export restrictions—particularly China’s tighter control over rare earth product exports—have constrained global supply, exerting upward pressure on prices. Third, rising production and processing costs—including energy prices and compliance with environmental regulations—are raising overall costs. And of course, speculative activity is also a contributing factor. Market participants anticipating further price increases are accelerating their purchases, adding short-term pressure to the market. These combined factors have driven the current price increase, and if supply and demand dynamics remain unchanged, the upward trend may persist in the short term.

Asian Metal: How do you forecast demand and price trends for monazite 54%min over the next 2–3 years?

Dmitriy Sergeyev: Over the next 2–3 years, the monazite raw material market will likely be influenced by several critical factors. First, the growing global demand for rare earth metals will continue, especially driven by green energy, electronics, and defense sectors. Second, geopolitical developments could lead to new trade barriers and export restrictions for rare earth products. Third, regional demand is expected to grow, particularly in China, where annual demand for monazite concentrate may exceed 100,000t. In the U.S., depending on the commissioning of new separation facilities, annual consumption may rise to around 20,000t. In summary, prices are likely to continue rising in the short term, especially under tight supply and strong demand. In the medium term, prices are expected to stabilize, particularly if alternative suppliers outside of China scale up monazite mining and processing. We forecast that between 2025 and 2027, prices for monazite 54%min will hover at around USD5,500-6,000/t, with further increases possible depending on future market conditions.

Asian Metal: Thank you for the excellent insights! We wish your company continued success!

Dmitriy Sergeyev: Thank you to Asian Metal for the opportunity to present our business and share our views. We look forward to strengthening our cooperation with Asian Metal.