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REalloys Secures Montana Rare Earth Feed as 2027 U.S. Defense Ban Nears

The deal positions a U.S. supplier to meet a 2027 ban on Chinese rare earths in defense gear.

Overview

  • REalloys signed a memorandum of understanding to take up to 10% of future output from the Sheep Creek rare earth project in Montana.
  • The agreement adds U.S. feedstock rich in dysprosium, terbium, yttrium, and neodymium-praseodymium used to make high-strength magnets for fighter jets, missile guidance, and radar.
  • The company plans to convert separated oxides into finished metals and magnet-grade alloys, describing one of the few North American platforms targeting heavy rare earth metal production at scale.
  • New U.S. procurement rules effective January 1, 2027 will bar Chinese-origin rare earths from defense systems, leaving a short window to shift to domestic and allied supply.
  • Metallization remains the key bottleneck outside China, and REalloys’ co-founder Tim Johnston said even with strong execution and capital it takes years to build that capability.