Connect with us

Hi, what are you looking for?

Investing

IperionX Announces US$47.1 Million Titanium Deal with US Department of Defense

The US Department of Defense (DoD) has awarded titanium metal and critical materials company IperionX (ASX:IPX,NASDAQ:IPX) a contract for up to US$47.1 million in funding.

The strategic partnership will focus on strengthening the US Defense Industrial Base by accelerating the development of a resilient, low-cost and fully integrated American mineral-to-metal titanium supply chain.

The DoD and IperionX will put a combined US$70.7 million into the endeavor, which will involve a two phase development program that will take place over a period of two years.

Under the initial phase of the deal, the DoD will provide US$5 million through the Industrial Base Analysis and Sustainment program, while US$1 million will be contributed by IperionX.

The funds will be used to advance the Tennessee-based Titan critical minerals project to shovel-ready status.

“For too long, American industry has been reliant on foreign-controlled supply chains for this critical high-strength metal. IperionX’s proprietary technologies, combined with the Titan Project, offer a pathway for a resilient end-to-end U.S. titanium supply chain,” said IperionX CEO Anastasion Arima in a Monday (February 17) release.

The DoD will allocate the remaining US$42.1 million outlined in the contract over time; this money will support vertical integration and boost titanium production at IperionX’s Virginia facility.

The Virginia facility is the first 100 percent recycled titanium metal powder facility.

The DoD’s support for IperionX comes after it completed market research aimed at finding ‘practical alternatives’ to the import-reliant US supply chain for high-purity titanium sponge and titanium alloy metals.

It solicited proposals from industry in 2024, and ultimately selected IperionX.

US Geological Survey data shows that titanium sponge metal was produced by one operation in Utah in 2024, with US producers of titanium ingot and downstream products “relying on imports of titanium sponge and scrap.”

Meanwhile, the US produced 100 metric tons of ilmenite, the primary titanium ore, last year.

“Titanium is a critical material for the aerospace, defense, automotive, space, and consumer industries, but its high cost and reliance on foreign supply chains have limited its broader adoption,” IperionX said.

‘(We) look forward to working closely with the DoD and industry partners to execute this landmark initiative.”

Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.






    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Stock

    In this edition of StockCharts TV‘s The Final Bar, Dave shows how breadth conditions have evolved so far in August, highlights the renewed strength in the...

    Latest News

    President Joe Biden travels to Triangle, Virginia, Monday to mark Earth Day, where he’ll unveil $7 billion in grant funding for solar power under...

    Stock

    Major equity indexes rose on Friday after a selloff that hit the Technology sector especially hard. But this doesn’t necessarily mean that everything is...

    Latest News

    Britain’s Prince and Princess of Wales have released a new photo of Prince Louis to mark his sixth birthday on Tuesday, the first image...

    Disclaimer: Dealwithbiz.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2024 Dealwithbiz.com