The business model is based on the avoidance of mining costs through re-processing of existing REE-containing waste. Through innovative extraction methods Ceritech pursues the plan to produce a high quality Rare Earth oxide mix, which then can be sold downstream to the refining industry.
The company purposely does not intend to carry out the final refining steps due to its high capital intensity and well-known operational risks. This significantly de-risks Ceritech’s business model whilst maintaining acceptable margins.The company was co-founded by Deutsche Rohstoff AG, a Germany based resources focused holding company. It currently holds 61.4% of Ceritech.