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The U.S. military reached out to mining companies last Friday, seeking assistance to increase domestic supplies of 13 essential minerals used in manufacturing semiconductors, weapons, and various other products, according to a document reviewed by Reuters. This plea came just a day before the U.S. and Israel conducted strikes on Iran, highlighting Washington’s persistent effort to gain better access to critical materials involved in warfare.
The Pentagon’s request was directed at members of the Defense Industrial Base Consortium (DIBC), a network comprising over 1,500 firms, educational institutions, and other entities supplying the military. They were asked to submit proposals by March 20 for projects that could involve mining, processing, or recycling specific minerals. The document did not specify whether the timing was intentional, but some analysts see it as part of broader strategic efforts.
The list of targeted minerals includes arsenic, bismuth, gadolinium, germanium, graphite, hafnium, nickel, samarium, tungsten, vanadium, ytterbium, yttrium, and zirconium. The United States heavily relies on imports for most of these elements, with China dominating global production.
Guardian Metal Resources, a member of the DIBC, plans to seek funding for two tungsten projects in Nevada. Tungsten is used to harden steel, and China is the largest producer worldwide. J.T. Starzecki, the company’s executive chairman, expressed optimism, stating, “This is the opportunity we’ve been waiting for. Our goal is to secure funding that will allow us to achieve full production at both sites.”
American Tungsten, which is developing a tungsten mine in Idaho, intends to apply for funding next week to complement an existing loan request from the U.S. Export-Import Bank, according to CEO Ali Haji. The Pentagon’s detailed inquiry included information on costs, labor, and materials required to establish mining or processing facilities, with potential project funding ranging from $100 million to over $500 million.
The rationale behind selecting these 13 minerals remains unclear. Some, including germanium, graphite, and yttrium, are subject to export restrictions by China. Yttrium, in particularly short supply, is vital in aerospace applications because it is used in coatings that prevent engines and turbines from melting at high temperatures—a critical safety component.
Energy Fuels, based in Colorado and also a DIBC member, aims to develop facilities for processing gadolinium and samarium by 2027, with plans to process yttrium as well. Mark Chalmers, the company’s CEO, emphasized the importance of securing a domestic supply for these critical minerals to protect national security and economic stability.
Nickel, a widely traded metal primarily produced by Indonesia, has seen export restrictions from Jakarta. Since nickel is extensively used in stainless steel and batteries, these restrictions pose a challenge to American suppliers.
The White House, the DIBC, and the Pentagon did not immediately respond to requests for comment.
This latest initiative by the Biden administration builds upon previous efforts to boost U.S. critical mineral supplies amid ongoing tensions with China, which has leveraged its control of mineral markets as a diplomatic tool. Recently, the federal government announced a $12 billion stockpile backed by the Export-Import Bank, along with proposals for a mineral trading alliance with over 50 allied nations. This alliance aims to set reference prices for minerals, partially based on an AI model developed by the Pentagon, Reuters reported.
Additionally, the government has taken equity stakes in companies such as MP Materials, Lithium Americas, and Trilogy Metals. On Wednesday, the Defense Logistics Agency sought information from miners about potentially securing lithium, chromium, and tellurium for military stockpiles, underscoring the strategic focus on securing critical mineral resources.
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