Antimony on the Rise: US Antimony Discusses Expansion with DoD

The United States Antimony Corporation (US Antimony) is positioning itself at the forefront of a crucial mineral supply chain transformation. Amid tightening global markets, the company is in discussions with the U.S. Department of Defense (DoD) to expand the only antimony smelter in the United States, located in Thompson Falls, Montana. These talks come in response to heightened demand for critical minerals and a geopolitical push to reduce reliance on Chinese supply chains.

A Strategic Expansion Amid Global Supply Challenges

According to Gary Evans, Chairman and Co-CEO of US Antimony, the Montana smelter currently operates at half its capacity, processing about 160 tonnes of antimony per month. With sufficient feedstock, production could be doubled immediately to 320 tonnes, with long-term plans to quadruple output. The DoD’s involvement underscores the strategic importance of antimony, a mineral critical for munitions, flame retardants, and lithium-ion batteries.

China’s recent export controls on antimony and related products, implemented in September 2024, have intensified the urgency of these discussions. Evans revealed that the DoD approached the company shortly after the announcement, initiating a series of meetings and site visits to explore potential financing for the expansion.

Government Collaboration for a Resilient Supply Chain

Evans has submitted a detailed concept paper to the DoD outlining the funding requirements for the smelter's expansion. Discussions with government officials in Washington, D.C., have further emphasized the shared commitment to securing domestic antimony production. Evans remains optimistic about the government’s support, highlighting the mutual acknowledgment of the critical mineral shortage and the resources required to address it.

The expansion, partially funded by US Antimony, aims to bolster the domestic supply chain and reduce dependency on China, which dominates the global antimony market.

Securing Feedstock: A Global Endeavor

The key challenge for US Antimony lies in securing consistent feedstock. Over the past three months, the company has engaged with over 50 parties across 16 countries to establish new supply sources. While short-term solutions are in sight, Evans emphasized the importance of developing domestic mines for long-term stability.

The company plans to announce new supply agreements by the year’s end. These additions will enhance profitability without significant capital investments, as the existing infrastructure is ready to handle increased volumes. The domestic market, with its strong demand for finished antimony products, will be the primary focus, ensuring both governmental and non-governmental needs are met.

Reviving Domestic Mining Operations

US Antimony is also pursuing self-reliance through the development of its own mines. The company has leased properties in Canada and Alaska and is negotiating additional sites with a history of antimony production. These efforts aim to establish a mining operation by 2025, directly feeding the company’s processing facilities in Montana.

Despite this progress, reopening the former antimony mine near the Thompson Falls smelter has been ruled out due to insufficient reserves. Instead, the company is focusing on new opportunities that align with its long-term growth strategy.

Antimony’s Critical Role in National Security

Antimony’s applications extend far beyond industrial uses, playing a vital role in national defense. It is used in ammunition, night vision equipment, drones, and laser-guided missiles. However, the U.S. military has historically sourced antimony through Chinese supply chains, a vulnerability that US Antimony aims to eliminate.

The company has already demonstrated its capability to produce munition-grade antimony, securing approval from the DoD following a successful test case. As US Antimony advances its plans, the goal is clear: to establish a robust domestic supply chain independent of foreign influence.

Leveraging Advanced Processing Facilities

US Antimony’s processing facility in Philipsburg, Montana, is a cornerstone of its operations. This versatile facility can handle not only antimony but also other critical minerals like cobalt and tungsten, which are sourced from Canada and Alaska. This adaptability positions the company as a key player in the broader critical minerals market, further enhancing its strategic value. Economic and Political Implications

The surging price of antimony, which has tripled over the past year, underscores the mineral’s growing significance. Fastmarkets’ latest assessment pegged the price at $37,500-$38,500 per tonne, up from $11,200-$11,600 a year ago. This price surge has bolstered US Antimony’s margins, as the company typically pays a percentage of the Rotterdam price for its feedstock. Evans is confident that bipartisan support will continue to drive efforts to resolve the antimony shortage. Regardless of political administration, the issue has garnered attention at the highest levels, with the White House urging the DoD to act swiftly.

The Road Ahead

As US Antimony advances its expansion plans, the company is setting the stage for a more secure and self-reliant critical minerals supply chain. By aligning with the DoD, diversifying feedstock sources, and developing domestic mining operations, US Antimony is not only addressing a pressing national security concern but also positioning itself as a leader in the critical minerals market.

The stakes are high, but so are the opportunities. For US Antimony, this is more than just an expansion—it’s a strategic imperative to ensure the United States remains competitive in an increasingly volatile global landscape.