The North Dakota Legislature's Senate Energy and Natural Resources Committee convened on April 17, 2025, to discuss critical developments in coal mining and the extraction of rare earth elements. The meeting highlighted the potential for scaling up operations in existing mines and the challenges associated with integrating rare earth extraction into current coal production processes.

A significant point of discussion was the availability of feedstocks in North Dakota's existing mines. Experts noted that the current extraction of 200,000 tons per year is minimal compared to the vast resources available in the state. This indicates a substantial opportunity for growth in the sector, particularly in the context of rare earth element extraction.

Senator Behm raised questions about the chemical changes that occur during the combustion process, specifically regarding the fate of inorganic elements. Chair Patton confirmed that while most inorganic elements end up in the ash, some may volatilize into the gas stream. This distinction is crucial for understanding the potential recovery of valuable materials from coal ash.

The committee also addressed the status of a Department of Energy grant related to a feed study, which is nearing completion. Chair Patton explained that the initial application for phase two of the project was not submitted due to economic constraints. The project required a focus on lower-grade coal, which did not justify the capital investment. However, there is optimism for future applications as the team aims to refine their approach to target higher-grade materials.

Senator Kessel expressed concerns about the balance between coal combustion for energy and the extraction of rare earth elements. He questioned whether the demand for rare earths could outpace coal production, leading to stockpiling issues. Chair Patton reassured the committee that the scale of rare earth extraction is unlikely to surpass coal usage, as the valuable elements are typically found in thinner seams that are not ideal for power generation.

The discussion concluded with a focus on the need to align the production of synthetic graphite, a potential byproduct, with the extraction of critical minerals. This strategic planning aims to ensure that the growth of rare earth processing does not disrupt existing coal mining operations.

Overall, the meeting underscored the potential for North Dakota to become a leader in both coal and rare earth element production, while also addressing the logistical and economic challenges that lie ahead. The committee's ongoing efforts will be crucial in navigating these complexities as they seek to enhance the state's energy and mineral resource sectors.