# CoTec Holdings Advances Texas Rare Earth Magnet Hub with Secured Power Supply

- URL: https://stocks.freetheai.org/news/cotec-holdings-advances-texas-rare-earth-magnet-hub-with-secured-power-supply-6ec1d7
- Published: 2026-10-13T11:01:00Z
- Category: company_news; sentiment: bullish; impact: medium
- Symbols: [TSXV:CTH](https://stocks.freetheai.org/symbols/TSXV-CTH)
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CoTec Holdings Corp. (TSXV:CTH) announced that its joint venture, HyProMag USA, has secured electricity capacity with utility provider Oncor for its rare earth magnet recycling and manufacturing hub in Texas. The joint venture is also progressing with environmental permitting and contractor selection through active requests for quotations. Following the announcement, shares of CoTec Holdings rose 2.59% to 1.19 CAD.

Securing dedicated power removes a major infrastructure hurdle for constructing the Texas facility. The project represents a key operational step in building U.S. domestic recycling and production capacity for neodymium-iron-boron (NdFeB) magnets. Phase 1 targets an annual output of approximately 550 tonnes of NdFeB, while a planned Phase 2 expansion could increase production capacity to around 1,048 tonnes per year.

Investors should monitor several upcoming project milestones over the next few years. Initial cutting and finishing operations are targeted to start in the first half of 2027, with full completion of Phase 1 slated for mid-2028. Key near-term catalysts include finalized engineering, procurement, and construction awards, regulatory approvals, and project financing details.

## Key points

- HyProMag USA secured power capacity with Oncor for its planned Texas magnet hub.
- Initial cutting and finishing operations are scheduled to begin in the first half of 2027.
- Full completion of Phase 1 is targeted for mid-2028, with expected output of roughly 550 tonnes per year of NdFeB magnets.
- Phase 2 expansion is projected to raise total output to approximately 1,048 tonnes per year.
- Permitting processes and contractor selection RFQs are currently underway.

## Questions and answers

### What is the latest update on CoTec Holdings' Texas magnet facility?

CoTec Holdings' joint venture, HyProMag USA, secured power capacity with Oncor and is advancing permitting and contractor selection for its rare earth magnet hub in Texas.

### When will the HyProMag USA Texas facility begin operations?

Cutting and finishing operations are targeted to begin in the first half of 2027, with Phase 1 completion expected in mid-2028.

### How much output is expected from the Texas magnet hub?

Phase 1 is expected to produce about 550 tonnes per year of NdFeB magnets, while Phase 2 could increase output to approximately 1,048 tonnes per year.