U.S. Department of War Injects $450M to Rebuild Domestic Critical Minerals Capacity
How the U.S. Department of War’s $450M commitment and $2B contract are securing North America's critical mineral supply chain to break foreign processing monopolies.

Tungsten is the dense, heat-defying metal that keeps America’s high-tech warheads, armor-piercing munitions, and nuclear submarines from melting under pressure. With China controlling roughly 85% of global production and refining, Washington decided it was time to stop outsourcing its mineral backbone and build a domestic fortress instead.
The U.S. Department of War committed a landmark $450 million investment to The Elmet Group (NASDAQ: ELMT) through its newly established Economic Defense Unit. Designed to break foreign supply bottlenecks, the strategic deal provides an initial $200 million drawdown at closing, granting the government redeemable preferred equity, warrants representing up to 19.9% of common stock, and board representation.
More than $165 million of the influx will directly fund the expansion and modernization of manufacturing facilities operated by The Elmet Group across Lewiston, Maine; Coldwater, Michigan; and Euclid, Ohio. These specialized plants manufacture tungsten heavy alloys and powder components required for front-line defense platforms, including Patriot and Javelin missile systems, Trident II missiles, and Virginia- and Columbia-class submarines.
To bridge the gap between raw ore and finished defense components, The Elmet Group is directing approximately $150 million toward the Springer Tungsten Complex in Imlay, Nevada. Operating a majority-owned joint venture alongside Blue Moon Metals (TSX-V: MOON) and Australia-based EQ Resources (ASX: EQR), the strategic partnership aims to restart mine production by late 2027 and launch North America's primary ammonium paratungstate conversion facility by mid-2028.
To streamline its global footprint, The Elmet Group is launching Elmet Refining & Trading, a dedicated division tasked with overseeing material sourcing and refining across allied jurisdictions, integrating key supply networks like the Mt. Carbine Mine in Australia and the Barruecopardo Mine in Spain.
The capital blitz extends beyond preferred equity investments. Operating unit Elmet Technologies secured an Indefinite-Delivery, Indefinite-Quantity contract with the Defense Logistics Agency featuring a ceiling value of up to $2 billion and a guaranteed $150 million commitment. The five-year agreement runs through August 2031, with an extension option through 2033, ensuring a long-term pipeline of tungsten ores and concentrates for the National Defense Stockpile.
Department leadership framed the agreement as a vital economic shield. George K. Kollitides II, director of the Economic Defense Unit, emphasized that the unit was formed to identify critical industrial chokepoints before adversaries can exploit them on the battlefield, stressing that domestic tungsten processing capacity is something the nation cannot afford to leave exposed. Assistant Secretary of War for Industrial Base Policy Mike Cadenazzi added that expanding domestic processing will reinforce supply chain resilience while supporting roughly 1,200 manufacturing and logistics jobs.
Welcoming the government backing, The Elmet Group (NASDAQ: ELMT) CEO and Chairman Peter V. Anania highlighted that the investment marks a decisive step toward establishing a secure tungsten supply chain alongside partners Blue Moon Metals (TSX-V: MOON) and EQ Resources (ASX: EQR), connecting mine production directly with downstream defense needs across the United States and its global allies.
Sources
- U.S. Department of War Official Press Release (September 14, 2026) Defense Logistics Agency Strategic Materials Contract Announcement GlobeNewswire Corporate Disclosure by The Elmet Group Defence Industry Europe & Military.com Intelligence Reporting
**Disclaimer **
Neither the author of this article nor JuniorStocks.com holds equity, stock options, or any other financial positions in The Elmet Group (NASDAQ: ELMT), Blue Moon Metals (TSX-V: MOON), EQ Resources (ASX: EQR), or any other companies mentioned in this publication. This content is published by JuniorStocks.com strictly for informational purposes, was prepared independently without company compensation, and utilized AI assistance for text editing, formatting, and research synthesis. While critical mineral supply chains and defense infrastructure investments represent key strategic developments, this article does not constitute investment or financial advice. Investors are strongly advised to conduct their own thorough, independent due diligence and consult with a qualified financial professional before making any investment decisions.
