White Mesa Mill, located six miles south of Blanding, Utah, has become the most strategically significant critical minerals processing facility in the United States. Owned and operated by Energy Fuels Inc. (NYSE American: UUUU / TSX: EFR), the White Mesa Mill is the only fully licensed and operating conventional uranium mill in the US — and, as of 2024, the only facility in the country licensed to convert monazite concentrate into separated rare earth element oxides. A January 2026 bankable feasibility study for a Phase 2 rare earth expansion projects a net present value of $1.9 billion at an 8% discount rate, positioning the mill at the centre of US efforts to rebuild a domestic rare earth supply chain outside China.
Facility Overview
White Mesa Mill was built in 1980 on a former industrial site in San Juan County, Utah. Licensed capacity exceeds 8 million pounds of U₃O₈ per year. The facility employs approximately 150 people at full operation, making it the largest employer in San Juan County.
The mill runs four distinct processing circuits. The primary circuit processes natural uranium ore from conventional mines including the Pinyon Plain Mine in Arizona, producing uranium concentrate (yellowcake) sold to nuclear utilities. A second circuit processes monazite sand — a naturally occurring mineral rich in rare earth elements — to produce separated rare earth oxides. The third circuit accepts alternate feed materials: uranium-bearing secondary materials from other industrial and remediation sites, with grades as high as 75% U₃O₈. A fourth circuit recovers vanadium from ore sourced from Energy Fuels’ 100%-owned vanadium mines in Colorado and Utah, producing high-purity vanadium oxide for aerospace alloys and grid-scale flow battery applications.
Regulatory oversight sits with the Utah Division of Waste Management and Radiation Control. Energy Fuels states the White Mesa Mill operates in full compliance with all applicable regulatory requirements.
Rare Earth Processing at White Mesa Mill
The White Mesa Mill’s rare earth circuit processes natural monazite sand — sourced primarily from Chemours’ Trail Ridge heavy mineral sands operation in Georgia — through a hydrometallurgical separation process that produces individual rare earth oxide products. Phase 1 commercial production, established in 2023, yields approximately 1,000 metric tonnes per year of neodymium-praseodymium (NdPr) oxide. NdPr is the primary input for sintered NdFeB permanent magnets used in EV motors and wind turbine generators. Current neodymium prices and demand trajectory from the EV sector underpin the economics of the Phase 2 expansion.
Dysprosium oxide production commenced at pilot scale in July 2025, at a minimum purity of 99.5%. In Q1 2026, Energy Fuels confirmed pilot-scale terbium oxide production at 99.9% purity, meeting permanent magnet manufacturer specifications. Both dysprosium and terbium are critical heavy rare earth elements for high-performance magnets operating at elevated temperatures, with supply almost entirely concentrated in China. White Mesa is currently the only facility in the US producing separated heavy rare earth oxides from mined ores.
From July 2026, Energy Fuels expects to commence modifications to the existing Phase 1 REE circuits to also enable commercial production of samarium, europium, gadolinium, terbium, and dysprosium — the modification programme is expected to be operational in late 2027 to early 2028. The circuit will also be adapted to process uranium-bearing mixed REE carbonates sourced from ionic adsorption clay deposits globally, which are typically enriched in heavy rare earth elements.
Phase 2 Expansion
The January 2026 AACE International Class 3 Bankable Feasibility Study for the White Mesa Mill Phase 2 circuit expansion sets out headline economics that rank among the strongest in the Western rare earth processing pipeline. Initial capital expenditure is estimated at $410 million. The study projects average annual EBITDA of $311 million for the first 15 years of operation, an internal rate of return of 33%, and NPV of $1.9 billion at an 8% discount rate. Energy Fuels describes the cost structure as positioning the mill among the world’s lowest-cost NdPr oxide producers.
At full Phase 2 production, White Mesa Mill’s total rare earth capacity would reach approximately 6,300 metric tonnes per year of NdPr oxide, 288 tpa of dysprosium oxide, and 80 tpa of terbium oxide — alongside samarium, europium, and gadolinium capacity being constructed under the Phase 1 modifications. Commissioning is targeted for 2028 and 2029. Feedstock for expanded output is contingent on new monazite supply projects, with sources in Australia, Madagascar, and Brazil projected to come online from 2028 onward, including material from Energy Fuels’ proposed acquisition of Australian Strategic Materials (ASM), announced January 2026 and anticipated to close mid-2026.
Permitting for both the Phase 1 circuit modifications and the Phase 2 expansion with the State of Utah is proceeding on schedule, according to Energy Fuels’ June 2026 mid-year update. For context on where White Mesa sits against global rare earth processing peers, see the top 10 rare earth mineral processing companies.
Uranium and Vanadium Operations
White Mesa Mill’s uranium circuit remains operationally active. Energy Fuels expected to produce approximately 1.6 million pounds of finished U₃O₈ in the first half of 2026, within full-year guidance of 1.5 to 2.5 million pounds. Ore is sourced primarily from the Pinyon Plain Mine in northern Arizona, transported by truck through the Navajo Nation and Arizona to the mill in Utah.
The alternate feed programme has accepted uranium-bearing secondary materials from across the US and internationally since the early 1990s, generating revenue from processing fees and recovered uranium. The programme has accepted more than 700 million pounds of materials to date, according to Grand Canyon Trust estimates. Vanadium recovery operates when market conditions support it, producing high-purity vanadium pentoxide from ore from Energy Fuels’ Colorado Plateau vanadium mines.
Energy Fuels is also evaluating the potential recovery of radium-226 and thorium from existing uranium and rare earth process streams at the mill for use in targeted alpha therapy cancer treatments, through a 2021 strategic alliance with RadTran LLC. No commercial medical isotope production has been confirmed to date.
Environmental and Tribal Controversy
The White Mesa Mill sits approximately five miles north of the White Mesa Reservation, home to members of the Ute Mountain Ute Tribe. Community members and advocacy organisations including the Grand Canyon Trust and Diné Citizens Against Ruining Our Environment have raised sustained objections to mill operations on grounds of groundwater contamination risk, airborne radioactive dust, and the acceptance of alternate feed materials from external sites, which critics characterise as commercial radioactive waste disposal operating under a mining licence. The mill maintains more than 40 groundwater monitoring wells on site. Energy Fuels states all monitoring data demonstrate regulatory compliance.
In January 2024, approximately 275,000 pounds (136 tonnes) of uranium-bearing research materials from the Japan Atomic Energy Agency arrived in the US, subsequently transported to White Mesa Mill for processing as alternate feed. The materials — including uranium ores, ore samples, contaminated soils, resins, and filter sands — were approved for acceptance in July 2023 without public hearings. According to the Grand Canyon Trust, more than 99.5% of the imported material is expected to be disposed of in on-site tailings impoundments after uranium extraction. Energy Fuels describes the programme as recovery of useful uranium from legacy research materials.
In January 2025, Energy Fuels and the Navajo Nation Department of Justice and Environmental Protection Agency signed a formal agreement governing uranium ore transport from the Pinyon Plain Mine through Navajo land to White Mesa Mill. The agreement introduced additional safety measures beyond federal DOT requirements, Navajo Nation monitoring and inspection rights for haul trucks, financial contributions to tribal safety and environmental programmes, and a commitment by Energy Fuels to transport up to 10,000 tonnes of legacy uranium mine cleanup material at no cost to the Nation. The agreement has faced internal opposition: a Navajo Nation Council committee subsequently questioned whether the Council was properly consulted before the agreement was executed, and community members along the haul route have objected to the resumption of uranium transport through their lands.
White Mesa Mill — Facility Snapshot
| Detail | White Mesa Mill |
|---|---|
| Location | San Juan County, Utah, USA (6 miles south of Blanding) |
| Owner / Operator | Energy Fuels Inc. (NYSE American: UUUU / TSX: EFR) |
| Built | 1980 |
| Uranium licensed capacity | 8+ million lbs U₃O₈ per year |
| Processing circuits | 4 — uranium ore, monazite/REE, alternate feed, vanadium |
| REE Phase 1 capacity | ~1,000 tpa NdPr oxide (commercial); Dy and Tb pilot scale |
| Phase 2 target capacity | ~6,300 tpa NdPr, 288 tpa Dy, 80 tpa Tb |
| Phase 2 capex | $410 million (BFS, January 2026) |
| Phase 2 NPV (8% discount) | $1.9 billion |
| Employees | ~150 at full operation |
| Regulatory body | Utah Division of Waste Management and Radiation Control |
This article is for informational purposes only and does not constitute investment advice. Prices and project timelines are subject to change without notice. Forward-looking statements are based on Energy Fuels’ public disclosures and feasibility study results.
Sources: Energy Fuels investor relations; USGS Rare Earths Statistics.
What does White Mesa Mill produce?
White Mesa Mill produces uranium concentrate (yellowcake), separated rare earth element oxides including neodymium-praseodymium (NdPr), dysprosium, and terbium, and vanadium oxide. The mill processes natural uranium ore, monazite sand for rare earth separation, alternate feed uranium-bearing materials, and vanadium ore through four independent circuits.
Who owns and operates White Mesa Mill?
White Mesa Mill is 100% owned and operated by Energy Fuels Inc., listed on NYSE American as UUUU and on the Toronto Stock Exchange as EFR. Energy Fuels is headquartered in Lakewood, Colorado.
What is the Phase 2 rare earth expansion at White Mesa Mill?
The Phase 2 expansion, supported by a January 2026 bankable feasibility study, would expand White Mesa Mill’s rare earth processing capacity significantly beyond current Phase 1 production levels. It would add capacity for neodymium-praseodymium, dysprosium, and terbium oxides. Key economics from the feasibility study are detailed in the Phase 2 Expansion section of this article.
Why is White Mesa Mill significant for the US rare earth supply chain?
White Mesa Mill is the only facility in the United States currently licensed to process monazite concentrate into separated rare earth element oxides, making it the single midstream node for domestic rare earth separation outside China. Its ability to co-process uranium ore, alternate feeds, and monazite within one licensed facility gives it a cost and regulatory position that no other US site currently replicates.
What are the environmental and community concerns about White Mesa Mill?
Community members of the Ute Mountain Ute Tribe’s White Mesa Reservation, located approximately five miles from the mill, and advocacy organisations including the Grand Canyon Trust have raised concerns over groundwater contamination risk, airborne radioactive dust, and the acceptance of uranium-bearing waste materials from external sites under the alternate feed programme. Energy Fuels states the mill operates in full compliance with all regulatory requirements and maintains an extensive groundwater monitoring network on site. The Environmental and Tribal Controversy section of this article covers the key contested issues.
What is the alternate feed programme at White Mesa Mill?
The alternate feed programme allows the mill to accept and process uranium-bearing secondary materials from external sites — including contaminated soils, industrial residues, and research materials — extracting the contained uranium and disposing of the remaining waste in licensed on-site tailings impoundments. Energy Fuels describes the programme as uranium recovery from legacy materials. Critics, including the Grand Canyon Trust, characterise it as commercial radioactive waste disposal operating under a mining processing licence.
