Mining Press Roundup: USA Rare Earth Locks Down $1.6B Federal Funding as Critical Minerals Boom Accelerates

USA Rare Earth announced on Wednesday that it has executed definitive agreements with the US Department of Commerce to unlock nearly $1.6 billion in funding under the CHIPS Act , marking one of the largest federal commitments to domestic critical minerals development. The Oklahoma-based company's funding package— $277 million in federal funding and up to $1.3 billion in senior secured loans, with disbursements tied to the achievement of project milestones —positions it to build what could become the nation's only vertically integrated rare earth supply chain outside of China.

USA Rare Earth: $1.6B Federal Funding Finalized

Together with a $1.5 billion private capital raise that was also announced in January, as well as previous financings, the company now has $3.5 billion in capital to fund its growth plans , according to USA Rare Earth. The funding represents the culmination of a process that began in January when the company signed a non-binding letter of intent with the Commerce Department.

Under an accelerated mine plan announced earlier this year, USA Rare Earth expects to reach initial commercial production at Round Top in 2028 and then scale the critical minerals operation up to a Texas-sized rate of approximately 40,000 metric tons per day by 2030 , according to Metal Tech News. The Round Top project in Texas contains heavy rare earth elements essential for permanent magnets used in electric vehicles, defense systems, and wind turbines.

The company is also developing downstream processing capacity. In March, the company reported the equipment had been installed and commissioned, indicating the Oklahoma facility is operating as designed and producing permanent magnets for aerospace, defense, electric vehicle, energy, robotics, and electronics applications , according to Metal Tech News. A second metals and magnet manufacturing complex is planned for Blacksburg, South Carolina.

Almonty Industries: $700M Tungsten Raise Sparks Dilution Fears

Global tungsten miner Almonty Industries has announced an oversubscribed private placement offering of $700-million comprising of 2.25% convertible senior notes due 2031. The issuance and sale of the notes to qualified institutional investors is expected to occur on June 9 , according to Mining Weekly. But the market's initial reaction was harsh—shares fell 18% on dilution concerns, according to the press release summary.

In the first quarter of 2026, revenue surged 221% to $25.4 million, driven by tungsten prices that have more than tripled since the start of the year to around $3,040 per metric tonne unit , according to market analysis. The initial conversion rate is 36.4950 common shares per $1 000 principal amount of notes, which represents an initial conversion price of about $27.40 apiece , according to Mining Weekly.

Almonty's flagship asset is the Sangdong mine, in South Korea, which it brought back into production in March after a 30-year hiatus , according to Mining Weekly. The mine is positioned as a critical non-Chinese source of tungsten, a metal essential for armor, munitions, and electronics manufacturing. Almonty plans to deploy the bulk of the capital — approximately $543 million — into working capital and general corporate purposes, including potential acquisitions , according to market reports.

Ivanhoe Mines: Record Zinc Output at Kipushi

Ivanhoe Mines says its Kipushi zinc mine in the Democratic Republic of the Congo has set a new monthly production record and is on track to meet its full-year guidance. The mine, located 30 km southwest of Lubumbashi, produced 25,677 tonnes of zinc concentrates last month, beating its previous monthly record of 22,968 tonnes from January by 12% , according to Mining.com.

With the May results, Kipushi's year-to-date zinc production is now estimated at 110,000 tonnes, which, if annualized, would be near the midpoint of the company's 2026 guidance range of 240,000-290,000 tonnes. At this production rate, the Kipushi mine would elevate its status and become the world's fourth-largest zinc producer this year , according to Ivanhoe's announcement.

The results come as zinc prices hover near four-year highs. During May, the Kipushi concentrators milled a record 72,003 tonnes of ore at an average recovery of 93%, with an average plant feed grade of 36.2% zinc , according to Mining.com. The mine returned to production in 2024 after being on care and maintenance since 1993, and is owned 62% by Ivanhoe and 38% by Congo's state mining company Gécamines.

Fortune Minerals: Nico Cobalt Project Nears Permits

Fortune Minerals plans to publish an updated feasibility study next month at its long-delayed Nico cobalt-gold-bismuth project as it looks towards construction in 2027 of what could be the Northwest Territories' next significant mine. The London, Ontario-based company expects full land and water authorizations in the Northwest Territories within two to three months , according to Mining.com.

The Nico project stands out for its polymetallic nature. The Mineral Reserves for the NICO Deposit are 33.1 million metric tonnes containing 1.1 million ounces of gold, 82.3 million pounds of cobalt, 102.1 million pounds of bismuth (12% of global reserves) and 27.2 million pounds of copper to support a 20-year planned mine life , according to Fortune Minerals. The company plans a vertically integrated operation with a mine and concentrator in the Northwest Territories and a hydrometallurgical refinery in Alberta.

Its strategic importance was highlighted for being among the first Canadian projects to receive support under the U.S. Defense Production Act Title III, in 2024 , according to The Northern Miner. Bismuth prices have tripled in recent weeks, adding urgency to the project's development timeline.

Hycroft Mining: $10B Nevada Gold-Silver Valuation

Hycroft Mining's proposed gold-silver mine in Nevada has the potential to become the industry's next multi-generational asset, with a half-century mine life and a post-tax value of $10 billion, a new technical summary shows. An S-K 1300 report released on Tuesday outlined what the company calls "compelling economics" of a large-scale, long-life precious metals mine operation, leveraging rising prices of gold and silver. In addition to the $10 billion after-tax net present value (discounted at 5%), it also gave the project an internal rate of return of 30.1% and a payback period of just under three years , according to Mining.com.

These were calculated on spot prices of $4,569/oz. for gold and $77.94/oz. for silver , according to the report. The initial capital cost of the mine is estimated at $2.4 billion, with a further $3.1 billion pegged for sustaining capital , according to Mining.com. The Hycroft project in Nevada's Sulfur Mining District would utilize conventional pressure oxidation and heap leach processing, with existing infrastructure already in place.

ElementUSA and Colorado School of Mines: $67M Rare Earth Plant

Colorado School of Mines and ElementUSA have been awarded $67 million in funding from the U.S. Department of Energy to build a plant for the extraction and processing of rare earth elements from alumina tailings in Louisiana. The project in Gramercy, Louisiana is one of two announced today by DOE's Office of Critical Minerals and Energy Innovation to design, construct, commission and operate a rare earth element (REE) facility capable of separating REE from mine tailings or other waste and refining the resulting oxides into rare earth metals , according to the announcement.

The funding from DOE will support the development of a plant operated by ElementUSA capable of supplying 150 to 1,000 metric tons per year of REEs for domestic use from the Gramercy tailings. Target elements include dysprosium, terbium, yttrium, gadolinium, neodymium, praseodymium, samarium and lanthanum , according to Colorado School of Mines.

The company holds exclusive rights to the bauxite residue (alumina tailings) at the Atalco alumina refinery in Gramercy, Louisiana. Located on the banks of the Mississippi River, the alumina tailings impoundments contain 30+ million tons of "red mud"– residual materials from the alumina refining process that include rare earth elements and other critical minerals , according to the announcement. ElementUSA is also developing a separate demonstration plant for gallium and scandium extraction with U.S. Department of War funding.

Surge Battery Metals: $21M Nevada Lithium Financing

Surge Battery Metals has received at least C$30 million ($21.6 million) in equity investment to support the development of its flagship lithium project in Nevada. Under a private placement announced on Wednesday, Surge said it plans to sell units of the company at a price of C$0.60 per unit to raise C$30 million, with an option to increase the amount to C$36 million , according to Mining.com.

The financing is being led by Brian Paes-Braga, managing partner at SAF Group, and Michael Hess of Hess Capital, both of whom will join and co-lead Surge's strategic advisory board. "With Brian and Michael leading our strategic advisory board, we believe that we have the capital, the expertise, and the relationships to move this project at the pace the current environment demands," Surge chairman Graham Harris said , according to the announcement.

It is estimated that the NNLP holds more than 10.5 million tonnes of lithium carbonate equivalent (LCE) in measured and indicated resources. Based on this resource, Surge released a preliminary economic assessment last year, outlining a potential 42-year lithium mine with average annual production of 86,300 tonnes LCE , according to Mining.com. The Nevada North lithium project is held under a joint venture with Australia's Evolution Mining, with Surge holding a 72.5% interest.

Silver Market: Sixth Straight Year of Deficit

Silver demand has been consistently outpacing supply for the last six years, with the Silver Institute projecting a 46.3Moz deficit , according to Mining.com. Despite efforts by solar manufacturers to reduce silver content in photovoltaic panels— silver use in photovoltaics fell 6% last year to 186.6 million oz. and is forecast to decline a further 19% in 2026 to around 151 million ounces , according to the Silver Institute—overall demand remains robust.

The rise in silver prices pushed the metal's share of solar cell costs from roughly 8% to more than 20%, accelerating efforts to reduce silver loadings and preserve margins , according to the World Silver Survey 2026. However, US demand for silver powder used in solar manufacturing rose 4% year over year , according to the report, as utility-scale buildout continues despite thrifting efforts.

According to market data, silver traded at $73.79 per ounce on Friday, up 0.8% on the day. Gold reached $4,461 per ounce, gaining 0.1%.

What It Means

Federal capital is flooding into North American critical minerals at an unprecedented scale. USA Rare Earth's $1.6 billion CHIPS Act package and ElementUSA's $67 million DOE award represent a strategic bet that domestic rare earth processing can compete with China's decades-long head start. These aren't exploration plays—they're industrial infrastructure projects designed to supply semiconductors, defense systems, and clean energy technologies.

The financing environment shows clear bifurcation. Established producers like Almonty can tap institutional debt markets for $700 million despite share price volatility, while junior developers like Surge Battery rely on strategic investors with sector expertise. Ivanhoe's operational success at Kipushi—ramping to world-class production in under two years—demonstrates that well-capitalized projects in challenging jurisdictions can deliver when management executes.

Commodity fundamentals remain supportive. Silver's sixth consecutive deficit, tungsten's triple-digit price gains, and zinc trading near four-year highs all point to structural tightness in metals critical to electrification and defense. The question for investors is whether current prices justify the capital intensity required to bring new supply online—Hycroft's $2.4 billion initial capex and 51-year mine life suggest the industry is betting on sustained demand well into the 2070s.

This roundup covers press releases published on June 5, 2026. Company announcements are sourced from mining industry wire services. For corrections or updates, contact contact@stakeandpaper.com.