Royalty Management Holding Corporation (Nasdaq: RMCO) announced that its portfolio company, Advanced Magnet Lab (AML), has been awarded a $2 million grant and contract from the United States Defense Logistics Agency (DLA). The funding will support continued development and expansion of AML's domestically made, high-grade sintered NdFeB (Neodymium Iron Boron) permanent magnet technology for defense and high-end applications.
The DLA contract aims to enable AML to manufacture consistent, fully traceable patented magnets for the U.S. defense supply chain. AML is leveraging new technologies to create magnets in unique geometries, such as the company's PM-Uniform and PM-Axial magnets, which are wire-like configurations that improve thermal efficiency and power density in motors, dramatically increasing the efficiency of permanent magnets.
The award is facilitated by a two-year contract with the DLA for supply chain management, alloying, and permanent magnet manufacturing, including alloy composition optimization for various magnet grades through advanced manufacturing techniques.
Thomas Sauve, Chief Executive Officer of Royalty Management, commented, “AML has consistently demonstrated that their technologies for magnet production are superior to the current paradigm of available options. With their technologies around permanent magnet production, we will see a new, more efficient use of how these magnets are used in specialty motors and high application systems. With this grant, we are pleased to see that the United States government has recognized the strategic and commercial value that AML brings to the market.”
AML's innovations improve upon Chinese technologies currently relied upon by U.S. commercial and defense industries, offering greater manufacturing efficiency and superior performance with less environmental impact and energy consumption. Royalty Management participates in AML's growth through an investment in convertible debt, which funds a sponsored research program, with RMCO receiving a royalty on all sales of products derived from the developed technologies.
This grant underscores the strategic importance of domestic magnet production for national defense. The United States currently depends heavily on foreign sources, particularly China, for rare earth magnets. AML's technology aims to reduce this dependency by providing a reliable, high-performance domestic alternative. The implications extend beyond defense: more efficient magnets can revolutionize electric motors in industrial, aerospace, and automotive applications, potentially leading to significant energy savings and performance improvements across multiple sectors.
For more information, visit Royalty Management Holding Corporation and Advanced Magnet Lab.