U.S. Invests $450 Million in Elmet Group for Tungsten

The United States Department of War invested $450 million in The Elmet Group to expand domestic tungsten production and reduce reliance on China, which controls roughly 85 percent of the global supply. Managed through the Economic Defense Unit, the investment is structured as redeemable preferred equity, granting the government warrants for up to 19.9 percent of common stock and the right to appoint a director and board observer.

This funding will modernize facilities in Coldwater, Michigan; Lewiston, Maine; and Euclid, Ohio, while supporting a $150 million joint venture with Blue Moon Metals and EQ Resources to restart the Springer Tungsten Complex in Nevada. The initiative will establish North America's only independent ammonium paratungstate facility to support over 100 defense programs, including the F-35, Patriot PAC-3, and Virginia-class submarines.

Simultaneously, the Defense Logistics Agency awarded The Elmet Group a contract worth up to $2 billion to rebuild the National Defense Stockpile. This agreement includes a $150 million funded commitment for sodium tungstate, tungsten concentrates, and ores. To avoid disrupting current manufacturers, the company will delay deliveries until it expands processing capacity through mining investments and offtake agreements. The move follows a broader strategy by the Trump administration to secure strategic commodities after China tightened export controls in early 2025.