The USA Antimony Company (USAC) has been awarded a contract value as much as $245m by the US Protection Logistics Company (DLA) to provide antimony steel ingots for the nationwide defence stockpile over the following 5 years.
This indefinite supply indefinite amount (IDIQ) settlement follows intensive negotiations concluded this 12 months.
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Antimony, a important part in navy purposes resembling munitions and batteries has been recognized as a strategic vulnerability within the US industrial base.
The USAC operates the one two antimony smelters in North America, which have been processing the steel for many years.
The contract renews its collaboration with the Division of Protection and the DLA. In line with the USAC, this partnership has strengthened considerably since late 2024.
USAC chairman and CEO Gary Evans stated: “It’s extremely significant for all our staff to play such a strategic position in strengthening our nation’s defence readiness and having the data, experience and historical past that USAC can and can ship below our contractual obligations.
“That is the type of data that’s solely gained by many years of execution and know-how. USAC has a number of the most skilled antimony chemists/metallurgists and different professionals on its staff within the world panorama.
“To place this in correct context, we now have efficiently received a sole-sourced long-term contract from the US Authorities for about $245m, whereas our whole reported revenues for 2024 had been $14.9m.”
The USAC is predicted to ship the preliminary orders below the contract this week.
The corporate stated that its smelting amenities are outfitted to satisfy the federal government’s specs for antimony steel ingots.
It’s also growing its provide of antimony ore from world sources and creating its mineral acreage in Alaska and Montana.
Its latest mining operations in Alaska have revealed high-grade antimony deposits, that are anticipated to boost home manufacturing and provide chain effectivity.
Nonetheless, the USAC expressed doubt in regards to the high quality of antimony ores managed by different sources, noting that these options might not meet US navy requirements.
The brand new contract aligns with broader efforts by the US Authorities to strengthen home provide chains for strategic supplies and scale back reliance on overseas sources, notably China, reported Reuters.
In Could this 12 months, the USAC executed a definitive settlement with WSP USA to supply engineering and development companies to boost smelting operations at Thompson Falls, Montana.
“USAC secures $245m US defence contract for antimony provide ” was initially created and printed by Mining Know-how, a GlobalData owned model.
