USA Rare Earth (Nasdaq: USAR) and Pasqal (Nasdaq: PSQL) have announced a strategic partnership with Riven Systems to develop separation technology for rare earth processing, according to a press release issued Sept. 17, 2026.

The project will combine Pasqal's neutral-atom quantum computing, Riven Systems' automated chemistry laboratory and USA Rare Earth's processing expertise. Under the plan, Riven Systems would conduct automated experiments to generate training data for machine learning models, while Pasqal's quantum processing unit would benchmark quantum machine learning models against classical computing models to help USA Rare Earth optimize extractant selection.

The work aims to identify separation molecules that bind more effectively to rare earth elements than existing alternatives, with the stated goal of enabling smaller, lower-cost and less energy-intensive processing facilities. Feedstocks are expected to include material from USA Rare Earth's Round Top mine in Sierra Blanca, Texas, as well as third-party mixed rare earth carbonates and recycled magnet manufacturing material.

"The key challenge the rare earth industry outside Asia faces is to separate the Mixed Rare Earth Carbonate produced in upstream operations into individual, separated oxides. The Chinese dominate this capability, especially for vital heavy rare earths such as dysprosium, terbium and yttrium," said Alex Moyes, Senior Vice President of Upstream at USA Rare Earth.

Pasqal Chief Executive Wasiq Bokhari said the partnership brings together companies working in sectors important to "economic growth, industrial competitiveness and national resilience."

The three companies said this initial project could lead to a broader collaboration, envisioning a process in which quantum machine learning identifies candidate extractants, Riven Systems tests them in its automated laboratory, and top candidates are validated at USA Rare Earth's research facility in Wheat Ridge, Colorado before integration into its processing operations.