US Offers Phoenix Tailings $500 Million Loan for Rare-Earths Plant
Updated
Updated · Bloomberg · Jun 16
US Offers Phoenix Tailings $500 Million Loan for Rare-Earths Plant
1 articles · Updated · Bloomberg · Jun 16
Summary
$500 million in conditional long-term debt from the Pentagon’s Office of Strategic Capital would help Phoenix Tailings build a domestic rare-earth processing facility.
The proposed plant is part of an roughly $1 billion financing push to expand US capacity to separate and produce rare-earth metals at home.
Phoenix said the Massachusetts-based facility would process concentrates, recycled materials and other secondary sources to produce both light and heavy rare-earth metals.
Beyond the loans, what is the true cost of creating a secure, American-made rare-earth supply chain?
Can a startup's clean-tech process truly break China's global dominance over rare-earth metals?
$500 Million U.S. Loan Supercharges Phoenix Tailings and the Race for Domestic Rare Earth Independence
Overview
On June 16, 2026, the Office of Strategic Capital announced a $500 million conditional loan commitment to Phoenix Tailings, aiming to accelerate the reshoring of critical rare earth supply chains and strengthen America’s defense industrial base. This major investment builds on earlier Department of Energy funding, which supported Phoenix Tailings in demonstrating the commercial viability of recovering and refining rare earth elements from unconventional feedstocks. With strong support from key government leaders, these coordinated efforts are designed to address supply chain vulnerabilities and establish a robust, secure domestic rare earth industry.