Clean Energy

The burning of oil and coal contributes to air pollution. Indeed, climate change, which is caused by the increase in greenhouse gas emissions, has called into question the use of fossil fuels as a primary energy source. In some parts of the world, this pollution has reached alarming levels, and is worsening daily because of the incessant increase in the use of conventional vehicles and in the production of electricity from coal-fired or thermal energy plants.

Clean energy, including wind power, occupies more and more space as a source of energy. According to REN21 , for the year 2011, half of all new electrical installations worldwide were renewable. Despite the economic difficulties of the European Union in 2011, there were more new electricity generation facilities there than ever before.

Whether to produce wind power or to propel a hybrid or electric vehicle, large quantities of rare earths are needed. Notably, for the coming decades, the magnetic properties of neodymium and dysprosium are a key component to the main alternatives to fossil fuels.

Hybrid or Electric Cars:

The Toyota Prius is Made with Rare Earths

“The global car fleet is predicted to grow from 800 million to 1.6 billion vehicles6 by 2030. This doubling of the global car fleet calls for a step change in technology to ensure sustainable mobility in the long term in view of the goal of decarbonising transport.” (From a Communication of the European Commission to the European parliament, the council and the European economic and social committee, “A European strategy on clean and energy efficient vehicles”, 2010 )In 2010, hybrid vehicle sales totaled 954,500 units, or 2.2% of total sales . According to industry forecasts, by 2020, nearly 6% of sales will be hybrid electric vehicle (HEV) or plug-in hybrid electric vehicle (PHEV) . For PHEVs, only 2% a share is expected by 2020, and between 5% and 20% by 2030 . For battery electric vehicles (BEV), some studies predict that they will represent 1 to 2% of new vehicle sales by 2020 and 11-30% by 2030 .

Wind Power

According to a study published in 2008 that reviewed the renewable energy sector, wind energy is the least polluting form of energy. This study classifies the main solutions to climate change and air pollution , whether in regard to the availability of the resource, CO2 emissions or their effects on public health and the environment. Therefore, from a global perspective, wind power is considered the best to power hybrid and electric vehicles.

To capture wind power, wind turbines are needed. The new generation of wind turbines, which are built without transmissions, converts this energy directly through a powerful permanent magnet which requires up to 400 kg of neodymium per MegaWatt.

According to REN21, “Wind power capacity increased by 20% in 2011 to approximately 238 GW by year-end, seeing the greatest capacity additions of any renewable technology.” Furthermore, forecasts for 2020 are for more than 1,000 GW, and in 2030 capacity could exceed 2,000 GW, representing about 20% of the total installed electricity generation capacity . By comparison, the total installed capacity of Hydro-Québec at 31 December 2010 was 36.5 GW.

China’s Monopoly on Rare Earths:

China provides more than 95% of the global production of rare earths but has only 37% of global reserves. In 2010, it reduced its exports by 40%, and restrictions on production should bring a 20% reduction by 2015 . Because of its de facto monopoly in rare earths production, laxity in Chinese environmental standards related to the production of rare earths has tainted the industry as a whole, as well as the clean energy sector by association.

GéoMégA believes that the metals and minerals from its eventual mines should be the result of a shared vision between its stakeholders and the company, which includes the protection of the environment for the wellbeing of the communities that are close to our mining facilities. Thus, companies using rare earths that are conscious of sustainable development will be reassured by our commitment as to the provenance of this resource.