Environmental, Social, and Governance Values: Part of Our DNA

At Neo, we envision a world that has substantially decarbonized major industrial and mobility sectors. Our decades of innovative research and development, and the innovative advanced materials that we make, have been integral to unlocking many new technologies that improve energy efficiency, reduce the intensity of use of fossil fuels, encourage circular economic models, and help protect air and water quality. 

You can read more about Neo’s actions and commitments to sustainability in our latest Sustainability Report. This report provides details on our environmental, social, and governance performance in 2021, and it launches a formal reporting process to document our ongoing efforts to help fast-forward the world’s transition to a more sustainable and less carbon-centric future.  See it here.

Neo Launches Construction of Permanent Rare Earth Magnet Facility

Neo Magnequench, a division of Neo Performance Materials Inc. (“Neo” or the “Company“) (TSX: NEO), recently broke ground on construction of the first rare earth magnet manufacturing facility in Europe designed to produce specialized rare earth permanent magnets for use in electric vehicles, wind turbines, and other clean energy technologies. Based in Narva, Estonia, the plant expects to begin producing permanent rare earth magnets in 2025 that can support the manufacturing of about 1.5 million electric cars when in full-scale production. Neo’s expected Phase 2 production of 5,000 tonnes/year can support the manufacturing of 4.5 million electric cars. 

The groundbreaking event included speeches from notable officials from Estonia, including Narva Mayor Katri Raik, Estonian President Alar Karis, Estonian Investment Agency Director Joonas Vänto, Minister of Economic Affairs Tiit Riisalo, Minister of Regional Affairs Madis Kallas, Also participating were European Union representatives including Deputy Director General of EU Commission’s DG GROW Maive Rute and European Commission President Ursula von der Leyen. Also attending the event were ambassadors and embassy staff from multiple countries with commercial interests in Neo’s operations in Estonia, such as Canada, the United States, Germany, and France.

Neo intends to leverage its long experience in the rare earth magnetics industry, and the Neo team’s decades of specialized knowledge in this sector, to maximize circular economics through recycling of end-of-life magnets and recovering and recycling magnet ‘swarf’ material created in the manufacturing process.

European Commission President Ursula von der Leyen addresses the gathering of officials from Estonia, the EU, and other nations, and Neo Magnequench employees, at the groundbreaking ceremony in Narva, Estonia.  President von der Leyen’s remarks and full video can be seen here.  Additional information, photos, and videos from the event can be seen here.

Sustainability Leadership

For many years, Neo has led our industry in environmentally responsible production practices and in producing products that enable sustainable technologies. 

For example:

  • We are a signatory to the United Nations Global Compact.
  • We are active members of the Responsible Minerals Initiative.
  • We recently helped to establish a new US-to-EU rare earth supply chain that makes use of byproduct economics and reduced upstream waste.
  • We are relocating a major operating facility in China to reduce the concentration of heavy industry in a high-stress water region, and reduce potential risk to groundwater sources.
  • We participate in and share data and industry insights for public policymaking within the European Raw Materials Alliance, Wind Europe, Tantalum and Niobium International Study Center, and the Rare Earth Industry Association.
  • We invest in air, water, and waste emissions control technologies at manufacturing sites that help us meet and often exceed local regulatory guidelines.

Sustainability in Operations

Leadership in global sustainability has been a key pillar of Neo’s long-term growth strategy.

All five of Neo’s flagship rare earth facilities, representing approximately 90% of revenue generated by the Company, are now operating in the EcoVadis tracking and reporting system.  We are proud of the fact that three of Neo’s largest five facilities earned EcoVadis sustainability medals in 2022:

 

Sillamae, Estonia 

 
Our European rare earth and rare metal processing facility in Sillamäe, Estonia – the only operating commercial rare earth separations and rare metal processing plant in the European Union – has been awarded two successive Gold Medals by EcoVadis in 2022 and 2023.  This places the plant in the top five percent of all facilities around the world reporting to EcoVadis for its sustainability efforts. 

 

Korat, Thailand 

 
Neo Magnequench’s rare earth magnetic materials production plant in Korat, Thailand has also earned two gold medals in a row in 2022 and 2023 from EcoVadis for its sustainability programs.  This places the plant in the top five percent of all facilities around the world reporting to EcoVadis for its sustainability efforts.


 

Tianjin, China
 

 
Neo Magnequench’s rare earth magnetic materials production plant in Tianjin, China has earned a Silver Medal from EcoVadis in both 2022 and 2023 for its sustainability programs. This places the plant in the top 25 percent of all facilities around the world reporting to EcoVadis for its sustainability efforts.

 

 

Jiangyin, China

 
Neo Magnequench’s rare earth magnetic materials production plant in Jiangyin, China earned a Silver Medal from EcoVadis in 2023 for its sustainability programs. This places the plant in the top 25 percent of all facilities around the world reporting to EcoVadis for its sustainability efforts.

Sustainability in Outcomes

We are proud of the fact that many of our advanced industrial materials enable and enhance sustainability and improved environmental performance in our customers’ applications. Around the world, you can find Neo’s advanced materials in wind power turbines, hybrid and electric vehicles, pollution control systems, high-efficiency appliances and pumps, consumer electronics, energy efficient cloud computing, advanced water treatment, and many more.   Here are some examples:

Electrified Transportation
Electric Vehicles
Neo magnetic materials are key components in battery electric, hybrid, and plug-in hybrid vehicles.
High-Efficiency Pumps & Motors
Neo's magnetic materials are vital to energy-efficient motors and pumps, which reduce energy consumption and associated air emissions.
Environmental Vehicle Catalysts
Image showing a catalytic converter with a cross section revealing Neo Materials’ rare-earth-based environmental catalyst materials help capture harmful air emissions from internal combustion engines. Neo manufactures the building blocks of many modern technologies that enhance efficiency and sustainability.
Our engineered rare earth materials are key to automotive environmental catalysts.
Clean Energy Technologies
Rare earth magnetic materials are increasingly vital to renewable energy technologies such as wind energy turbines..
Energy Efficient Lighting
Neo’s engineered rare earth materials enable energy saving lighting such as LEDs.
Water Purification
Neo’s rare earth-based products help reduce harmful phosphorus pollution in public waters.

Sustainability News

Neo Releases its Latest Corporate Sustainability Report

Neo Performance Materials Inc. (TSX:NEO) is pleased to announce the publication of a new Sustainability Report which provides information to shareholders, customers, industry partners, employees, and stakeholders on the Company’s environmental, social, and governance performance in 2022.

Read More »
Neo Materials Rare Earth Magnet Facility In Europe

Neo Launches Construction of Permanent Rare Earth Magnet Facility

Neo Magnequench, a division of Neo Performance Materials Inc. (“Neo” or the “Company”) (TSX: NEO), is pleased to announce the launch of its new first rare earth magnet manufacturing facility in Europe. Based in Narva, Estonia, the plant expects to support the development of about 1.5 million electric cars by 2025. Additional applications include wind turbine manufacturing and other clean transportation, and energy solutions.

Read More »

Video: Enabling Sustainable Through Our Products