Environmental Impact of Extraction of Rare Earth Elements from Primary Sources and NiMH Batteries: A Literature Review

Rare earth elements (REEs) hold great importance in the transition to a low-carbon economy. However, their increased exploitation, supply risks, low recyclability, and limited substitution by other elements have led to their classification as critical and strategic materials. The extraction of REEs from primary mining sources generates several negative environmental impacts, with greenhouse gas emissions being among the most significant. These emissions are quantified through Life Cycle Assessment (LCA) under the Global Warming Potential (GWP) category. Recycling REEs from secondary sources has emerged as a promising alternative to reduce mining dependence and environmental impacts. Nickel–metal hydride (NiMH) batteries contain approximately 5–10% REEs and represent a potential secondary source through urban mining. Our literature review presents a comparative analysis of the carbon footprint associated with the extraction of REEs from primary sources (bastnäsite and monazite), expressed per tonne of rare earth oxides (REO) produced, and with industrial-scale recycling processes of NiMH batteries, expressed per tonne of recovered REE mixture. The analysis indicates that CO2 emissions associated with recycling processes (85–179 kg CO2-eq per tonne of REO) are approximately 4 to 9 times higher than those reported for primary extraction routes; however, this comparison should be interpreted with cautiously, as recycling systems are multifunctional and involve the simultaneous recovery of additional metals such as Ni and Co, whereas primary mining operations are typically focused exclusively on REEs. Furthermore, differences in functional units, energy mixes, and geographical contexts limit the strict comparability of the results. Accordingly, a direct comparison based solely on REEs may overestimate the environmental burden of recycling. Consequently, the reported emission ranges provide an indicative perspective on relative magnitudes under current technological and regional conditions rather than a definitive comparative assessment. Despite the higher reported emissions, recycling should not be regarded as environmentally detrimental; it also plays a vital role in mitigating supply risks and reducing dependence on primary extraction. By diversifying supply sources, recycling enhances resource security and resilience.