US Army pick boosts US critical-minerals stocks

On July 7 the US Army selected REalloys (ALOY) to build and operate the first commercial critical-mineral processing facility on a US military installation. Shares of US Rare Earth (USAR), Critical Metals Corp. (CRML) and United States Antimony (UAMY) rose sharply on the announcement.

The Army announced REalloys will begin qualification of defense-grade heavy rare earths, including dysprosium and terbium, by the end of 2026. The timeline is intended to allow defense contractors to validate North American-processed material ahead of a January 1, 2027 procurement deadline.

US Rare Earth holds full economic control of the Round Top project in Texas. The company has a $1.6 billion CHIPS Program request under review at the Department of Commerce. Those timelines coincide with the Army’s 2026 qualification schedule.

Critical Metals signed a 15-year binding offtake agreement in May to supply rare-earth concentrate from its Tanbreez project in Greenland directly to REalloys. The contract provides a defined route for Tanbreez material into the planned military-base processing facility.

United States Antimony operates what it describes as the only functioning antimony smelter in the United States. Antimony is used in ammunition primers, armor-piercing munitions, night-vision equipment and precision optics. The company’s small market capitalization and heavy short interest contributed to larger price swings after the Army news.

Analysts presently hold Buy ratings on USAR, CRML and UAMY. Trading volumes for those stocks increased on Tuesday following the Army announcement.

The Army’s selection of REalloys includes a schedule for qualification and a procurement timeline for North American-processed critical minerals that companies and defense contractors can use to plan work ahead of the 2027 procurement deadline.