Policy
Why thorium and uranium make rare earth permitting harder (NRC and Agreement States)
Many rare earth ores and sands carry thorium and some uranium, which US law treats as "source material" at 0.05% by weight or more, so refining or processing them can require a radioactive materials license. The Nuclear Regulatory Commission issues that license in states that have not signed an agreement with it. In the 40 Agreement States the state does.
Wyoming, an Agreement State since 2018 for uranium milling, took over source material from other mineral processing on Apr 30, 2026, a change press coverage ties to rare earth projects. Of the 25 states in this directory, 5 are not Agreement States: Alaska, Montana, Idaho, Indiana and Missouri.
Verified through Oct 1, 2026
At a glance
- Law
- Atomic Energy Act; 10 CFR Part 40, domestic licensing of source material
- Source material
- Uranium or thorium, or ore that is 0.05% or more of either, by weight
- Exempt
- Unrefined and unprocessed ore, and rare earth metals, compounds and products with 0.25% or less thorium and uranium
- Regulator
- The NRC, or the state in an Agreement State
- Newest change
- Wyoming's amended agreement, effective Apr 30, 2026, covering source material from mineral processing other than uranium and thorium milling
- Source material threshold
- 0.05%Uranium and thorium, by weight
- Rare earth products exemption
- 0.25%Thorium and uranium, by weight
- Agreement States
- 40Connecticut joined Sept 25, 2025
- Wyoming takes over source material from other mineral processing
- Apr 302026, a change tied to rare earths
Why do thorium and uranium make rare earth permitting harder?
Many rare earth minerals, such as monazite, and some carbonatite and vein deposits contain thorium and uranium. Federal law regulates thorium and uranium as source material, so refining or processing ore at 0.05% or more of either can need a radioactive materials license on top of the mining, water and environmental permits every mine needs.
Mining unrefined and unprocessed ore is exempt from licensing under 10 CFR 40.13(b), as long as the holder does not refine or process it without a specific license. Rare earth metals, compounds, mixtures and products that contain no more than 0.25% thorium and uranium are also exempt, which is why finished oxides and magnets do not carry the license.
The step in between is the one that matters: cracking or separating thorium-bearing monazite, bastnaesite or vein ore. That is where a license, a state radiation program and a plan for the radioactive by-products come in.
When does radioactive materials licensing apply to a rare earth project?
It applies when a project refines or processes material that is 0.05% or more uranium and thorium by weight and no exemption fits. Mining unrefined and unprocessed ore is exempt, and rare earth products with 0.25% or less thorium and uranium are exempt.
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Is the material 0.05% or more uranium, thorium or a combination, by weight?
YesIt is source material. Go to step 2.
NoA mixture, compound, solution or alloy below 0.05% is exempt as an unimportant quantity.
10 CFR 40.13(a)
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Is it unrefined and unprocessed ore, as it came out of the ground?
YesReceiving, holding and moving it is exempt, as long as the holder does not refine or process it without a specific license.
NoGo to step 3.
10 CFR 40.13(b)
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Is it a rare earth metal, compound, mixture or product with 0.25% or less thorium and uranium?
YesIt is exempt from licensing.
NoA license is needed. Go to step 4.
10 CFR 40.13(c)(1)(vi)
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Is the facility in an Agreement State whose agreement covers this material?
YesThe state agency licenses and inspects it, under a program the NRC has found adequate and compatible with its own.
NoThe NRC licenses it.
Atomic Energy Act section 274
Wastes are a separate question. Under the NRC's definition, byproduct material is tailings or wastes from ore processed primarily for its uranium or thorium content, so wastes from ore processed primarily for rare earths do not fit that definition. How such wastes are regulated depends on the state.
Who licenses it: the NRC or the state?
The NRC licenses source material in states that have not signed an agreement with it, and in Agreement States the state radiation control agency does. Forty states are Agreement States, including 20 of the 25 states in this directory. Alaska, Montana, Idaho, Indiana and Missouri are not.
| State | Status | Who licenses source material | Tracked here |
|---|---|---|---|
| Wyoming | Agreement State | Wyoming Department of Environmental Quality: uranium and thorium milling since Sept 30, 2018, and source material from other mineral processing since Apr 30, 2026 | Brook Mine, Halleck Creek, Bear Lodge and 2 more |
| Texas | Agreement State | The state radiation control program | Round Top, Independence magnet plant, 10X magnet campus and 2 more |
| California | Agreement State | The state radiation control program | Mountain Pass, Colosseum |
| Utah | Agreement State | Utah Division of Waste Management and Radiation Control (White Mesa license UT1900479) | Silicon Ridge, White Mesa Mill |
| Nebraska | Agreement State | The state radiation control program | Elk Creek |
| Alaska | Not an Agreement State | The NRC | Bokan Mountain |
| Montana | Not an Agreement State | The NRC | Sheep Creek, Lemhi Pass |
| Idaho | Not an Agreement State | The NRC | Lemhi Pass, Diamond Creek |
| Arizona | Agreement State | The state radiation control program | La Paz, Mesa recycling facility |
| Colorado | Agreement State | The state radiation control program | Wheat Ridge demonstration facility |
| Oklahoma | Agreement State | The state radiation control program | Stillwater magnet plant |
| South Carolina | Agreement State | The state radiation control program | Blacksburg magnet and metal campus, Sumter NdFeB plant |
| North Carolina | Agreement State | The state radiation control program | Research Triangle Park magnet facility, Benson magnet campus |
| Louisiana | Agreement State | The state radiation control program | Louisiana Strategic Metals Complex, Port of Vinton separation facility, Gramercy bauxite residue project |
| Indiana | Not an Agreement State | The NRC | Marion advanced technology center |
| Ohio | Agreement State | The state radiation control program | Euclid metallization facility |
| New Hampshire | Agreement State | The state radiation control program | Exeter metal refinery |
| New York | Agreement State | The state radiation control program | Companies or pilots only |
| Pennsylvania | Agreement State | The state radiation control program | Companies or pilots only |
| North Dakota | Agreement State | The state radiation control program | Companies or pilots only |
| Florida | Agreement State | The state radiation control program | Starke mineral sands operation |
| Georgia | Agreement State | The state radiation control program | Georgia mineral sands operation |
| Missouri | Not an Agreement State | The NRC | Historic deposit only: Pea Ridge |
| Illinois | Agreement State | The state radiation control program | Historic deposit only: Hicks Dome |
| Arkansas | Agreement State | The state radiation control program | Historic deposit only: Magnet Cove |
Status follows the NRC's list of Agreement States. The agency named is the one the directory's sources identify; other Agreement States use their own radiation control programs. Indiana and West Virginia are letter-of-intent states.
What did Wyoming's April 2026 agreement change?
On Apr 30, 2026 an amended agreement took effect under which Wyoming, not the NRC, regulates source material recovered from mineral resources processed primarily for purposes other than their uranium or thorium content. Wyoming had held authority over uranium and thorium milling since Sept 30, 2018. One NRC licensee moved to the state.
The Federal Register notice does not name rare earths. Wyoming officials and press coverage tie the change to rare earth projects such as Bear Lodge.
The change matters for Rare Element Resources. Its Upton demonstration plant holds an NRC source material license issued in Jul 2023, and the Federal Register notice says the NRC license continues as a Wyoming license until it expires or is replaced. Press coverage names Rare Element Resources as the licensee that moves.
- Sept 30, 2018 First agreement History Wyoming takes authority over uranium recovery facilities, byproduct material from milling and source material from uranium and thorium milling.
- Aug 5, 2025 Wyoming asks to amend it Request Governor Mark Gordon asks the NRC for an amended agreement covering source material from other mineral processing.
- Jan 30 to Feb 20, 2026 Proposed agreement published Comment The NRC publishes the proposed amendment once a week for four weeks, as the Atomic Energy Act requires. The comment period ends Mar 2, 2026, with two anonymous comments and no changes.
- Apr 15, 2026 The Commission finds the program adequate Approved It determines that Wyoming's program protects public health and safety and is compatible with the NRC's.
- Apr 20 and 21, 2026 Agreement signed Signed Chairman Ho K. Nieh signs for the NRC and Governor Gordon for Wyoming.
- Apr 30, 2026 Amended agreement takes effect In force Wyoming's Department of Environmental Quality, through a Source Material Program in its Land Quality Division, regulates the covered source material.
Which US rare earth projects have radioactive materials licensing issues?
White Mesa Mill in Utah and the Upton demonstration plant in Wyoming already hold licenses. Lemhi Pass in Idaho and Montana is thorium-rich and both states are non-Agreement States, so the NRC would license source material there. Other projects have thorium questions the sources have not settled.
| Project | State | Thorium or uranium | Licensing status in the sources checked |
|---|---|---|---|
| White Mesa Mill | Utah | Processes monazite, which carries thorium, alongside uranium milling. | Licensed under Utah Radioactive Materials License UT1900479 by the state, an Agreement State. |
| Bear Lodge and the Upton plant | Wyoming | Bear Lodge ore carries thorium. | The Upton plant has held an NRC source material license since Jul 2023; it continues as a Wyoming license after Apr 30, 2026. |
| Lemhi Pass | Idaho and Montana | A thorium and rare earth vein district with more than 200 thorium-bearing veins mapped by USGS. | Exploration only. Idaho and Montana are not Agreement States, so the NRC would license any source material processing. |
| Diamond Creek | Idaho | Idaho Strategic has not said how much thorium the mineralization carries. | No application. A radioactive materials review would follow if thorium is present. |
| Bokan Mountain | Alaska | A nearby legacy uranium site, Ross-Adams, left radioactive debris; the rare earth claims are separate. | No mine permits in the sources checked. Alaska is not an Agreement State. |
| La Paz | Arizona | Low thorium and uranium, according to company assays (company-reported). | Exploration only. |
Which US projects, companies and states does this touch?
The pages below carry the figures, the sources and the dates for each project or company named here.
- White Mesa MillA Utah-licensed mill that separates thorium-bearing monazite
- Energy FuelsThe operator of White Mesa Mill
- Bear LodgeThorium-bearing ore and an NRC license that moved to Wyoming
- Rare Element ResourcesThe licensee of the Upton demonstration plant
- Lemhi PassThe most thorium-rich district tracked here, in non-Agreement States
- Idaho Strategic ResourcesExplorer of Lemhi Pass and Diamond Creek
- Rare earth in WyomingWhere the amended agreement applies
- FAST-41 permittingThe federal permitting step that runs beside licensing
- Types of US rare earth depositsWhich deposit types carry thorium and uranium
Questions about NRC and Agreement State licensing
Why is thorium a problem for rare earth mining?
Thorium is radioactive, and US law treats thorium and uranium as source material at 0.05% by weight or more. Refining or processing such ore can need a radioactive materials license, and the thorium-bearing wastes need a plan.
Is mining rare earth ore licensed by the NRC?
Not for unrefined and unprocessed ore. 10 CFR 40.13(b) exempts receiving and holding it, provided the holder does not refine or process it without a specific license. The license question starts at processing.
What is an Agreement State?
A state that has signed an agreement under section 274 of the Atomic Energy Act in which the NRC hands over regulation of certain radioactive materials to the state. Forty states are Agreement States, with Connecticut the 40th on Sept 25, 2025.
Which states in this directory are not Agreement States?
Alaska, Montana, Idaho, Indiana and Missouri. In those states the NRC would license source material. Indiana is a letter-of-intent state.
What changed in Wyoming in April 2026?
An amended agreement took effect on Apr 30, 2026. Wyoming now regulates source material recovered from mineral resources processed primarily for purposes other than uranium or thorium. The Federal Register notice does not name rare earths, and press coverage ties the change to rare earth projects. One NRC license moved to the state.
Do finished rare earth oxides or magnets need a license?
Rare earth metals, compounds, mixtures and products with no more than 0.25% thorium, uranium or both by weight are exempt under 10 CFR 40.13(c). Finished magnets are far below that level.
Sources and verification
Each profile lists its sources, a confidence grade and a verification date. Order of authority: official records (SEC filings, agency documents), company documents and technical reports, research papers, then independent press. Syndicated copies and reference works are labeled and are never the only source for a number. Company-reported figures are labeled as such, and non-binding deals are labeled "letter of intent" or "conditional".
- eCFR: 10 CFR 40.13, unimportant quantities of source material Official record
- eCFR: 10 CFR 40.4, definitions (source material and byproduct material) Official record
- Federal Register: State of Wyoming, notice of amended agreement between the NRC and the State of Wyoming (May 1, 2026) Official record
- Federal Register: proposed amended agreement with Wyoming (Feb 13, 2026, 91 FR 6907) Official record
- NRC: Agreement States Official record
- Connecticut Governor: Lamont signs agreement giving Connecticut oversight of radioactive materials (Sept 25, 2025) Official record
- Cowboy State Daily: Wyoming makes deal with NRC to regulate uranium and radioactive rare earths (Apr 2026) Independent press
Tags show what kind of source each link is. How sources are ranked
Policy and funding
Which other policy explainers are there?
Nine explainers cover the foreign controls, defense rules, permitting steps and funding programs behind the projects in this directory.
- Policy China export controls Seven elements need a Chinese license since Apr 2025; an October 2025 expansion is suspended.
- Policy DFARS 2027 rule From Jan 1, 2027 defense contracts bar magnets made from Chinese-mined or Chinese-processed material.
- Policy FAST-41 permitting A federal timetable and dashboard for permits; Bear Lodge is covered and Sheep Creek is listed.
- Government support MP Materials Pentagon deal A $400M stake, a $110/kg NdPr floor, a 10-year 10X offtake and a $150M loan, from the agreements themselves.
- Government support NdPr price floor How the $110/kg floor pays out each quarter, with a worked example you can change.
- Government support Project Vault An EXIM-financed critical minerals reserve: who pays, who buys and what is known about rare earths.
- Government support DOE funding awards Every Department of Energy rare earth selection and award, and what "selected for negotiation" means.
- Government support Government equity stakes Where the US government holds or has agreed to take shares or warrants in critical minerals companies.
- Hub All rare earth policy The calendar of policy dates and how the pieces fit together.