UK recycler CF Booth enters administration as copper prices squeeze working capital

CF Booth

UK recycler CF Booth enters administration after financial pressure intensified across copper inventory financing and compliance costs. UK recycler CF Booth enters administration as higher copper prices raised the cash tied up in scrap and finished stock. Therefore, the company could not secure a solvent outcome despite exploring sale and reinvestment options.

UK recycler CF Booth enters administration with operations halted at its main Rotherham facility. Administrators retained a reduced team to manage statutory requirements. Meanwhile, the closure removed an established processing outlet for mixed and lower-quality copper scrap in the UK market.

Why high copper prices can hurt recyclers as much as they help

High copper prices can strain recyclers through working capital, not just margin. Scrap yards must fund more expensive inbound units before selling processed material. As a result, liquidity tightens quickly when lenders, insurers, or counterparties become cautious.

Energy costs and compliance costs can compound that pressure in Europe. Environmental obligations, VAT complexity, and health and safety enforcement raise fixed costs. However, higher costs rarely pass through cleanly when downstream buyers resist payables.

What CF Booth’s shutdown could mean for European copper scrap flows

CF Booth’s absence may tighten supply channels for lower-grade copper scrap over time. Traders expect the impact to show first in mixed grades and domestic availability. Therefore, regional scrap blending and sorting networks may need to reroute volumes to alternative processors.

Pricing has not reacted sharply yet because demand remains soft and supply looks ample after year-end destocking. However, payables could firm later in the quarter if demand improves and processing capacity stays offline. Meanwhile, the situation highlights broader stress for mid-sized recyclers exposed to price volatility and rising operating costs.

The Metalnomist Commentary

This case shows how copper rallies can break recyclers through financing, not fundamentals. However, the market impact depends on whether new owners restart capacity quickly. Operators with strong credit lines and low-cost power will keep gaining share.

Sims Faces Challenges in UK and US Markets Amid Difficult Fiscal Year

Metals recycling giant Sims is taking decisive steps to address the "difficult" financial performance it experienced in the fiscal year ending June 30, 2024. In a strategic move to streamline operations, Sims has divested its UK business, which comprised 28 sites, including three port facilities and four shredders. This decision followed an internal review that concluded the UK operations were "non-productive," as revealed during an earnings call this week.

Sims' CEO, Stephen Mikkelsen, pointed out that the tight supply conditions in the UK were a significant factor contributing to the underwhelming results. The scarcity of inflows forced Sims' suppliers to turn to container shipping and deep-sea volumes, which strained margins. However, a favorable exchange rate provided some relief, even as the production of premium low-copper shred added to operating costs.

The sale of the UK business generated £195 million ($255 million), which Sims plans to use primarily to reduce debt. The company is now focusing on enhancing the efficiency of its remaining operations. Sales volumes in the UK sector had dropped by 8% to 1.29 million tonnes year-on-year, highlighting the challenges that led to the divestment.

This strategic shift will allow Sims to concentrate on its core markets in the US and Australia-New Zealand, where it aims to improve performance following disappointing results from its North American sector. Inflow volumes in North America decreased over the year, despite the acquisition of Baltimore Scrap, a US-based recycler. Additionally, inflationary pressures squeezed margins, though shredder utilization in North America improved to 68.5% in the second half of the fiscal year, up from 66.5% in the first half. Proprietary sales volumes in the region saw a slight decline, totaling 5 million tonnes over the twelve months.

The acquisition of Baltimore Scrap was intended to expand Sims' footprint in the US and leverage the growing demand for steel. However, some shareholders are now advocating for the sale of Sims' North American assets to SA Recycling, which is partially owned but not managed by Sims. They cite concerns over the current leadership's ability to capitalize on long-term demand and revenue opportunities.

Despite global steel demand remaining subdued due to the influence of lower-priced Chinese steel and tepid economic indicators, Sims is optimistic about the outlook for ferrous and non-ferrous scrap. This optimism is driven by ongoing decarbonization efforts and the increasing demand for data center construction.

However, the financial impact of the challenging year was stark. Sims reported an after-tax loss of A$57.8 million ($39 million) for fiscal year 2024, a sharp contrast to the A$181.1 million after-tax profit recorded in 2023.

Marubeni Invests $5 Million in Battery Recycler Altilium

Marubeni

Marubeni has invested $5 million in Altilium, a UK-based battery recycling company.  This investment will support the construction of Altilium's recycling facility in Teesside, UK.

Boosting UK Cathode Active Material Production

Once operational, the Teesside facility will have the capacity to process battery waste from 150,000 electric vehicles (EVs) annually.  This process will produce 30,000 metric tonnes of low-carbon cathode active materials (CAM), enough to meet 20% of the UK's projected CAM demand by 2030.  Altilium has also received £639,797 ($790,597) in government grant funding to scale up prototyping of lithium-ion EV battery cells at the UK Battery Industrialisation Centre in Coventry.

EMR and Ionic Technologies Partner on Rare Earth Magnet Recycling Supply Chain

Ionic Technologies

UK Magnet Recycling Gains Momentum with EMR-Ionic Technologies Agreement

EMR and Ionic Technologies partner on rare earth magnet recycling, marking a key development in the UK’s circular economy for critical materials. EMR, a leading UK-based metals recycler, has signed a non-binding supply agreement with Ionic Technologies to deliver end-of-life magnets to its Belfast facility. These magnets will serve as feedstock for Ionic’s rare earth oxide (REO) extraction and separation process.

The Belfast demonstration plant, supported by a £1.7 million grant from the UK’s Advanced Propulsion Centre in 2022, can process 30 tonnes per year of waste magnets to yield up to 10 tonnes of high-purity REOs annually. These include critical materials like neodymium, praseodymium, and dysprosium—essential for electric motors, wind turbines, and defense systems. As EMR and Ionic Technologies partner on rare earth magnet recycling, the project aims to secure domestic REO supply and reduce reliance on Chinese imports.

This latest deal builds on Ionic Technologies’ earlier agreement with South Korea’s DNA Link, which could lead to future REO offtake arrangements. Ionic Technologies, a subsidiary of ASX-listed Ionic Rare Earths, is positioning itself at the forefront of rare earth recycling innovation in Europe. As demand for sustainable and secure REO sources accelerates, EMR and Ionic Technologies partner on rare earth magnet recycling to help meet future supply chain needs.

The Metalnomist Commentary

The EMR-Ionic partnership reflects the strategic pivot toward localised, sustainable sourcing of rare earths. With growing geopolitical tension around REO supply, vertically integrated recycling chains like this one could offer both economic and national security advantages.

Ecobat Sells European Battery Distribution Business to Refocus on Recycling

Ecobat

Strategic Shift Toward Core Battery Recycling Operations

Ecobat, a Texas-based battery recycler, has sold its European battery distribution arm to UK private equity firm Endless as part of a strategy to divest non-core assets. The divested division supplied a broad range of batteries for automotive, commercial, marine, leisure, and industrial markets. While financial terms remain undisclosed, the move underscores Ecobat’s intent to prioritize its core battery recycling operations across the US, UK, and Germany.

Market Pressures and Recycling Industry Challenges

Ecobat’s three lithium battery recycling facilities have a combined processing capacity of up to 10,000 metric tonnes per year. However, the battery recycling sector faces significant headwinds. Slower-than-expected electric vehicle (EV) adoption has limited the availability of end-of-life battery feedstock, while a growing shift toward lithium iron phosphate (LFP) batteries — which contain fewer high-value metals like cobalt and nickel — has reduced the economic incentive for recycling. This market pressure has already impacted competitors, as demonstrated by Canadian recycler Li-Cycle’s recent bankruptcy protection filing in both Canada and the US.

The Metalnomist Commentary

Ecobat’s divestment aligns with an industry trend of focusing resources on profitable, technology-driven recycling operations rather than lower-margin distribution businesses. As the EV market evolves and LFP battery adoption accelerates, recyclers will need to adapt their business models to remain competitive. Partnerships with battery producers and innovation in material recovery technology may be crucial for long-term success.

Cyclic Materials Expands Rare Earths Supply Chain with Synetiq Partnership

Cyclic Materials, a Canadian metals recycling company, has signed a groundbreaking agreement with Synetiq, a vehicle recycling firm based in Yorkshire, UK, to source electric motors containing rare earth elements. This marks Cyclic's first feedstock contract with a company outside North America, signifying a major step in its global expansion.

Synetiq, which specializes in vehicle salvage, dismantling, and recycling in the UK, will supply Cyclic with drive motors from hybrid and electric vehicles, as well as auxiliary motors from all types of vehicles. These motors will be processed at Cyclic's "spoke" facility using their proprietary Mag-Cycle technology. The processed materials will then be sent to Cyclic’s Hub100 plant in Ontario, Canada, for further refinement using Reepure technology.

Cyclic's advanced technologies are designed to extract magnets from end-of-life products like electric motors and convert them into valuable raw materials, including mixed rare earth oxides and cobalt-nickel hydroxides. This process is part of Cyclic's broader strategy to create a circular supply chain for rare earth elements, initially focused on North America but now extending into Europe.

This partnership with Synetiq follows a series of strategic collaborations by Cyclic. Recently, Cyclic has been working with Sims Lifecycle Services (SLS), a division of the ASX-listed metal recycler Sims, to trial their method of extracting rare earth materials from disposed hard drives. This innovative method, which has received support from Microsoft's Climate Innovation Fund, demonstrates Cyclic's commitment to sustainable recycling practices. Additionally, earlier this year, Cyclic partnered with Vacuumschmelze to recycle rare earth magnets as part of the latter’s expansion in the US and secured a deal to supply recycled mixed rare earth oxide to Solvay’s plant in La Rochelle, France, starting in late 2024.

Ascend Elements Bankruptcy Exposes Pressure in Battery Recycling Market

Ascend Elements

Ascend Elements bankruptcy filing shows how difficult the battery recycling business has become as electric vehicle adoption slows in the US and Europe. The US battery recycler has filed for Chapter 11 bankruptcy and will use the court-supervised process to restructure liabilities while continuing normal operations.

Ascend Elements bankruptcy comes despite major commercial and government-backed support. The company said it had secured more than $2bn in commercial agreements and a $320mn grant from Poland, but these were not enough to overcome longstanding financial issues and outstanding liabilities.

The filing highlights a broader weakness in the battery recycling sector. Recyclers need steady end-of-life battery and production scrap feedstock, but slower EV growth has limited available material and made it harder to sell recovered products into battery supply chains.

Funding and Offtake Deals Failed to Offset Financial Pressure

Ascend had previously planned to develop cathode active material production in Hopkinsville, Kentucky. However, the company and the US Department of Energy agreed in March 2025 to cancel a $164mn grant for that project.

The company later received a $320mn grant from Poland in May 2025 to build a precursor cathode active material plant. That support showed continued policy interest in battery materials localization, especially in Europe.

Ascend also signed a five-year offtake agreement to supply Trafigura with 15,000t of lithium carbonate from 2027 to 2031. The agreement gave the company a future sales channel, but it did not solve its immediate balance-sheet pressure.

Slower EV Growth Weakens Recycling Economics

Ascend Elements bankruptcy reflects the timing problem facing battery recyclers. Many business models were built around rapid EV growth, rising battery scrap availability and strong demand for recycled lithium, nickel, cobalt and cathode materials.

But slower EV adoption has delayed feedstock growth and reduced market confidence. Without sufficient input material and reliable downstream demand, recyclers can struggle to operate at the scale needed to justify large processing and materials investments.

The pressure is not limited to Ascend. Texas-based recycler Ecobat is selling assets in the UK, France, Italy, Germany and Austria to focus on North America, showing that consolidation and retrenchment are spreading across the sector.

The Metalnomist Commentary

Ascend Elements bankruptcy shows that battery recycling is strategically important but commercially unforgiving. The winners will be companies with secured feedstock, disciplined capital spending and customers ready to buy recycled battery materials at scale.

IonicRE Rare Earth Oxide Supply to AML Advances US Defence Magnet Chain

Ionic Rare Earth

IonicRE rare earth oxide supply to Advanced Magnet Lab marks a small but strategic step in building a non-China supply route for defence-grade permanent magnets. The Australian rare earths miner, refiner and recycler has started shipping high-purity rare earth oxides from its Belfast recycling facility to the US magnet producer.

IonicRE rare earth oxide supply currently involves kilogram-scale volumes of neodymium, praseodymium and dysprosium oxides. The material has 99.5-99.9% purity and will be used by AML to produce high-grade sintered neodymium-iron-boron magnets for US defence customers.

IonicRE rare earth oxide supply is important because magnet qualification starts with small, tightly controlled shipments. These early volumes help validate chemistry, process compatibility and performance before larger commercial deliveries begin.

The companies are already discussing a second sale of neodymium and dysprosium. They have also signed a non-binding memorandum of understanding for longer-term cooperation, with future commercial volumes likely to reach tonnes in 2027.

Belfast Recycling Turns Magnet Scrap Into Strategic Feedstock

IonicRE’s Belfast facility currently has 10 t/yr of rare earth recycling capacity. While modest, it gives western magnet producers a practical source of recycled rare earth oxides from end-of-life and industrial magnet scrap.

The supply chain includes used NdFeB magnet feedstock from German manufacturer Vacuumschmelze and scrap handler European Metal Recycling. IonicRE also has offtake relationships with automotive companies including Ford, Bentley and Wrightbus.

This structure matters because rare earth recycling can shorten supply chains and improve traceability. It also reduces dependence on newly mined material at a time when rare earth separation and magnet production remain highly concentrated in China.

The company’s planned additional Belfast facility received £12mn from the UK government in January. That plant is expected to produce 400 t/yr of light rare earths neodymium-praseodymium, as well as heavy rare earths dysprosium and terbium, by the first half of 2028.

Dysprosium is particularly important for defence magnets because it helps maintain magnetic performance under heat and stress. That makes recycled heavy rare earth recovery strategically valuable, even at relatively small volumes.

AML Link Connects Recycling to Defence Magnet Production

AML will use IonicRE’s oxides to produce high-grade sintered NdFeB magnets for defence applications. This connects recycled rare earth feedstock directly to one of the most sensitive parts of the US critical minerals supply chain.

The US is trying to secure rare earth permanent magnet supply outside China after Beijing imposed export controls on rare earth permanent magnets in April 2025. China controls about 90% of the supply chain, leaving US defence and industrial users exposed to licensing risk.

IonicRE brings a wider rare earth platform to the partnership. The company owns 60% of Uganda’s Makuutu rare earth project, holds a 50% stake in a Brazilian rare earth refining joint venture with Viridis, and has signed an MoU with US Strategic Metals for a Missouri recycling facility.

That portfolio gives IonicRE several possible feedstock and processing routes. But the AML shipment is important because it moves from strategy into physical supply.

The key challenge now is scale. Kilogram shipments can support qualification, but defence and industrial magnet markets will need repeatable tonne-scale supply, consistent purity and reliable delivery.

If IonicRE and AML can move from pilot volumes to commercial supply, the partnership could become a useful building block in the US rare earth magnet chain. It would also show how recycling can complement mining and refining in reducing China exposure.

The Metalnomist Commentary

This shipment is small in volume but large in strategic meaning. Non-China rare earth supply chains will be built through qualification steps like this, where recycled oxides prove they can become defence-grade magnets.