USAR Turns To AI, Quantum Computing To Tackle A Key Supply Bottleneck — Why Its Partnership With Pasqal, Riven Systems Matters

• The companies believe the process could eventually lead to smaller, cheaper and less energy-intensive rare-earth processing facilities.
• Riven to run thousands of automated experiments and generate data on molecules that can separate individual rare earth elements from mixed materials.
• Pasqal will use its neutral-atom quantum computers to test machine-learning models and identify better separation methods.

USA Rare Earth (USAR) was on investors’ radar on Thursday after the mining giant announced a partnership with the French quantum computing company Pasqal (PSQL) and the AI firm Riven Systems to develop next-generation separation technology to reduce the cost and energy required to process rare earths.

At the time of writing, USAR shares were up 3.6%. The stock has gained in just three sessions so far in September. PSQL stock was down 1% in pre-market.

Partnership Looks To Reduce Cost Of Rare Earth Processing

Riven will use its automated laboratory to run “thousands” of experiments and generate data on molecules capable of separating individual rare earth elements from mixed materials. Pasqal will then use its neutral-atom quantum computers to test machine-learning models and identify potentially better separation methods.

The technology will be tested using materials expected to include rare-earth feedstock from USA Rare Earth’s Round Top project in Texas, third-party mixed rare-earth carbonates, and recycled material from magnet manufacturing. If successful, the companies believe the process could eventually lead to smaller, cheaper and less energy-intensive rare-earth processing facilities.

China’s Dominance In Rare Earth Supply Chain

The push comes as Washington tries to reduce its dependence on China for materials used in defense systems, electronics, electric vehicles and other advanced technologies. China accounted for about 85% of global rare-earth refining in 2025, according to the International Energy Agency's July data.

Alex Moyes, Senior VP of Upstream at USAR, said the biggest challenge for the rare-earth industry outside Asia is separating mixed rare-earth carbonate into individual rare-earth oxides. He added that China currently dominates this processing capability, particularly for important heavy rare earths such as dysprosium, terbium and yttrium.

“Our goal is to accelerate the path to efficient, competitive and sustainable solutions by changing how the rare earth industry discovers the chemistry it runs on, replacing years of trial-and-error,” Moyes said.

Retail Remains Bearish On USAR

Retail sentiment surrounding USAR and PSQL on Stocktwits remained ‘bearish’ over the past 24 hours.

USAR shares have gained more than 31% so far this year while PSQL has shed more than 25% of its value over the same period.

Also read: IOVA Stock Has Gained More Than 21% In Four Sessions, And Barclays Sees Another 52% Upside Potential - Here’s Why

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