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KBR inks EPC deal for Molycorp chlor-alkali plant

Rare earth oxides producer Molycorp awarded an engineering, procurement, and construction (EPC) contract to KBR to build a chlor-alkali plant as part of the company’s $781 million expansion at its flagship rare earth facility in Mountain Pass, Calif.

The chlor-alkali facility will be used in a highly innovative way to allow Molycorp to recycle virtually all of the water used in the chemical separation of individual rare earth elements at Mountain Pass, the company said.

The chlor-alkali process also is key to Molycorp's ability to recycle the chemical reagents needed in rare earth oxide manufacture.

Such recycling will greatly reduce the environmental footprint of US rare earth production at Mountain Pass, as well as help to position Molycorp as the world's lowest-cost producer of high-purity rare earth oxides beginning in 2012, it said.

“We are pleased to be achieving another significant milestone in Project Phoenix with this contract award, and to be moving forward with the construction of our chlor-alkali facilty," said Dr. John L. Burba chief technology officer for Molycorp.

"The innovative use we will make of this highly reliable technology will help position Molycorp to be both environmentally superior in our rare earth manufacturing as well as the world's lowest-cost producer."

Financial terms of the deal with KBR were not disclosed.

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