US Strategic Metals Signs MOU With Stillwater Critical Minerals
ST. LOUIS, Oct. 9, 2024 /PRNewswire/ — US Strategic Metals (the “Company” or “USSM”) is pleased to announce that it has signed a comprehensive, non-binding Memorandum of Understanding (“MOU”) with Stillwater Critical Minerals Corp. for the establishment of a strategic relationship to consider a range of critical minerals-related business opportunities. The MOU reflects the strong alignment in corporate values between the parties, recognizing both the significance of Stillwater West to the USA and the development of the green economy, as well as USSM’s position as a burgeoning leader in US critical minerals production.
The MOU includes, but is not limited to, opportunities as relates to:
- Marketing support, including lobbying collaboration with particular reference to US government bodies including the Department of Energy and Department of Defense;
- Technical support including metallurgical and mineral processing development;
- Supply chain development;
- Offtake and logistics;
- Potential strategic financing, including an equity or debt investment in Stillwater; and
- Collaborating on the introduction of additional strategic partners as deemed necessary for advancement of one or both of Stillwater or USSM.
US Strategic Metals CEO, Stacy Hastie, stated:
USSM is a private, USA focused, critical minerals processing business based in Missouri.
“The company is building a large critical metal supply chain, providing reliable, traceable and conflict-free battery metals to the USA. USSM aims to significantly expand production in the coming years and, as such, is successfully developing relationships with raw materials suppliers to allow it to meet rapidly growing critical metal demand. Stillwater West fits this mandate extremely well, for its scale, grade and suite of critical minerals, nearly all of which the US is heavily reliant upon imports. Stillwater West is clearly one of the most important potential future sources of at least eight critical minerals and its development is perfectly in line with the US government’s mandate on securing domestic supply of these materials as well as USSM’s internal expansion mandates.
Our company is managed by an impressive leadership team and also benefits from a long-term global marketing and offtake relationship with global commodities and critical minerals leader, Glencore plc. USSM recently closed a $230 million debt financing with sophisticated natural resources investor, Appian Capital Advisory LLP, in December 2023 and announced in August USSM received an LOI from US EXIM Bank for a potential $400 million loan for completion of its Phase-one multi metal proprietary processing and recycling battery metal hub.
We have strong backers who are aligned with our team’s goal to expand into one of North America’s largest and most important fully integrated producers of key battery and strategic metals with full supply chain from exploration to production all based within the United States. In particular, the dearth of nickel and cobalt assets within the US has forced an expanded definition of domestic to include Canada and Australia, but we would expect projects located within the US to be prioritized for funding and support. That puts both USSM and Stillwater Critical Minerals in good stead in terms of development of growth pathways. With USSM’s natural advantages like our domestic resource endowment, fully permitted operation on private land, robust community benefits plan and perfectly centralized location to access major OEMs and defense contractors, USSM is the perfect domestic partner to handle high quality critical mineral feeds like those that will be produced by Stillwater.”
Stillwater Critical Minerals President and CEO, Michael Rowley, stated:
Stillwater West is a special asset and almost entirely unique in the United States at a time when all stakeholders, from the federal government to industry and investors, recognize the overwhelming need for domestic supplies of the very critical minerals this project hosts.
“We have built a world-class team that includes Glencore at both an equity and management level and are pleased to be aligning ourselves with another very high-quality strategic partner like USSM to continue to advance this world-class project.
This MOU has the potential to accelerate necessary engineering and metallurgical studies and is an excellent follow-on to our expanding base of government grant funding and partnerships with the US Geological Survey, Cornell University, and Lawrence Berkeley National Laboratory for CO2 sequestration, hydrogen, and hydrometallurgical studies. This MOU also reflects our broad alignment on ESG values and a shared vision for a large-scale, low-carbon American critical mineral supply chain based in an iconic and famously metal-rich US mining district that has produced critical minerals for over a century. In addition to our shared connection with top-tier global miner Glencore, we expect this collaboration will further advance our mutual relationships with OEMs, vehicle/battery manufacturers, major mining companies and, perhaps most importantly in the near term, federal government agencies and legislators providing funding opportunities.”
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US Strategic Metals Signs MOU With Stillwater Critical Minerals, source
