en.Wedoany.com Reported - REalloys (Nasdaq: ALOY) has raised $100 million from institutional investors through a securities purchase agreement and has been selected by the U.S. Army to build processing facilities on a military base.
The Euclid, Ohio-based company will negotiate long-term leases for military bases alongside Titan Mining (Toronto Stock Exchange: TI). These collaborations aim to advance Washington's efforts to strengthen domestic supply chains for materials needed in defense systems and advanced manufacturing. REalloys said this week that the $100 million stock offering, expected to close on Friday, will provide working capital for the company.
REalloys shares rose 6% to $15.10 per share in New York on Friday, giving the company a valuation of $924 million. The stock had fallen 15% on Wednesday following the financing announcement. Over the past 52 weeks, the stock has traded between $7.43 and $26.90.
REalloys has been selected to negotiate an enhanced use lease at the Tooele Army Depot in Utah, where it plans to build a processing facility for heavy rare earth elements, including dysprosium and terbium. These metals are used in high-temperature permanent magnets for defense and industrial applications.
Titan, which produces graphite in New York State, has received conditional notices of selection for enhanced use leases at two Army bases through its subsidiary Empire State Mines to develop graphite processing capacity. The proposed projects would be located on a 245-acre (99-hectare) site at the Pine Bluff Arsenal in Arkansas (main base) and a 97-acre site at the Anniston Army Depot in Alabama.
The proposed leases could extend up to 50 years. Under the arrangement, companies will be responsible for financing, designing, building, operating, and eventually decommissioning the facilities, while the U.S. Army retains land ownership. REalloys said development could begin as early as 2027. Titan aims to start construction in the second half of the same year and added that it will continue to pursue additional Army bases as it expands its U.S. natural flake graphite supply chain.
REalloys owns the Hoidas Lake rare earth assets in Saskatchewan and a diverse network of joint feed and recycling partners. The company is co-funding and contracting with the Saskatchewan Research Council to scale up heavy rare earth midstream separation, refining, and metallization capabilities, securing exclusive rights to commercial output to supply its downstream manufacturing operations in Ohio.
To support these plans, REalloys last month signed a 15-year offtake agreement with Critical Metals (Nasdaq: CRML) for rare earth concentrate produced at its Tanbreez project in Greenland. The project is touted as one of the world's largest and most significant heavy rare earth deposits.
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