REalloys Secures Term Sheet with U.S. Army for Utah Rare-Earth Plant Lease Amid National Security Concerns
REalloys has signed a non-binding term sheet with the U.S. Army for a lease of up to 75 years at Tooele Army Depot in Utah. This agreement aims to establish a heavy rare-earths processing plant on approximately 200 acres of Army land. The facility would focus on processing and refining dysprosium and terbium, critical elements for magnets used in precision-guided munitions, electric motors, sonar, and radar. The move comes as the Pentagon prepares to cease purchasing weapons containing Chinese rare-earth magnets by January 1, 2027. The Army's principal deputy assistant secretary for installations, energy and environment, Jeff Waksman, highlighted that China currently holds a near 100% global monopoly on these heavy rare earths, posing a national security vulnerability. The term sheet outlines that REalloys would develop, finance, build, operate, and eventually decommission the plant, while the U.S. Army retains land title and a right of first offer on the plant's output, though without an obligation to pur...
