Phoenix Tailings to Build $375 Million Rare Earth Processing Plant in Rochester, New York

Phoenix Tailings will build a $375 million commercial-scale rare earth processing facility in Rochester, New York, Governor Kathy Hochul announced Tuesday. The 500,000-square-foot plant at Eastman Business Park is slated to begin partial operations next year, with full production expected in 2028. The facility is projected to process about 18,000 tons of rare earth material annually. New York state will provide $3 million in performance-based tax credits for the project. The announcement follows the Pentagon's conditional commitment of $500 million in long-term debt financing to Phoenix Tailings for a separate midstream processing plant. The U.S. is investing billions in domestic rare earth capacity to reduce reliance on China, though most new capacity won't come online until 2027 or later.