REalloys Inc. (NASDAQ: ALOY) announced today that its leadership has received a formal memorandum from the Department of War, recognizing the importance of securing a domestic heavy rare earth elements (HREE) supply chain ahead of the January 2027 deadline when Chinese-origin rare earth materials will be prohibited. The memorandum designates Dysprosium (Dy) and Terbium (Tb) as critical and high-value HREEs, aligning with REalloys’ strategic focus on building HREE processing facilities within North America.
According to the company, the memorandum reaffirms the Department of War’s comprehensive approach to fortifying America’s HREE supply chain through financial investment, strategic policy, and expanded public-private partnerships. REalloys operates North America’s only heavy rare earth metallization platform and is scaling its operations by constructing the largest heavy rare earth metallization facility outside of China. This facility is designed to produce defense-grade dysprosium and terbium metal at commercial scale with a zero-adversary-nexus supply chain, compliant with 10 U.S.C. §4872 and DFARS 252.225-7052.
REalloys’ integrated platform includes a long-term offtake agreement securing 80% of the output from the Saskatchewan Research Council’s commercial rare earth processing facility, a patent-pending hydrofluoric-acid-free fluorination process, and upstream domestic feedstock from allied nations. The company is actively advancing through the Defense Industrial Base Consortium’s qualification pathway to deliver compliant, defense-grade heavy rare earth metals to the Department of Defense, the Defense Logistics Agency, and the Defense Industrial Base on an accelerated timeline.
“We believe that the memorandum is a direct reflection of how seriously the Department of War is treating the HREE supply chain challenge and how well REalloys is positioned to align with what the defense industrial base urgently needs,” said Joe Kasper, Head of Government Relations and Chair of REalloys’ Advisory Board. “It’s also indicative that REalloys has envisioned and is scaling the only North American resource with the full technical capability to guarantee a zero-adversary-nexus supply chain to meet the impending 2027 deadline.”
General Jack Keane (Ret.), Board Director of REalloys and former Vice Chief of Staff of the U.S. Army, emphasized the strategic importance: “For decades, critical material dependencies have represented one of America’s most consequential strategic vulnerabilities. The Department of War is correctly prioritizing the development of domestic HREE processing capacity; building a sovereign, zero-adversary-nexus supply chain is a fundamental national security imperative.”
Stephen duMont, Chairman of REalloys, added, “The Department of War’s focus on expanding domestic processing capacity is precisely the mission REalloys has been focused on. The solution we’re building, from commercial-scale processing to innovative metallization and downstream manufacturing operations, is purpose-engineered to lead the industry in answering the call to resolve defense-grade sourcing and supply challenges.”
REalloys’ facility in Euclid, Ohio, serves federal logistics and procurement agencies supporting the Department of Defense, the Department of Energy, and NASA, in addition to the broader Defense Industrial Base. The company’s upstream foundation includes its Hoidas Lake rare-earth asset in Saskatchewan and a diversified network of allied feedstock and recycling partners. More information is available on the company’s investor website at www.realloys.com and its newsroom at https://tinyurl.com/aloynewsroom.
