BHP record copper output reaches 2mn t as Escondida leads

BHP

BHP record copper output hit 2mn tonnes in FY2024-25, up 8.1pc year on year. The result landed at the top of guidance, underscoring operational resilience. As a result, BHP maintained FY2025-26 guidance at 1.8mn-2mn t. BHP record copper output reflects stronger grades at Escondida and disciplined throughput. Meanwhile, the miner flagged grade normalization ahead.

Escondida drives gains; grades normalize next year

Escondida delivered 1.3mn t, its best in 17 years, lifting group performance. Higher ore grades averaged 1.02pc versus 0.88pc last year. However, grades slipped in April-June and are guided to 0.85pc in FY2025-26. Therefore, BHP plans to offset with higher concentrator throughput and stable maintenance. The company kept Escondida’s 1.2mn-1.3mn t guidance unchanged.

Pampa Norte produced 268,000t, at the top of its range, led by Spence cathodes. Spence cathode output rose 12pc to 117,000t on higher stacked feed grades. However, weaker concentrator feed grades will trim 2025-26 guidance to 230,000-250,000t. The Cerro Colorado site remains in care and maintenance, limiting upside.

Regional performance and outlook for FY2025-26

Copper South Australia produced 315,900t, clipped by an October power outage. Even so, second-half output rebounded 18pc to 171,200t on improved recoveries. The operation set a quarterly record of 92,100t in April-June. Guidance stands at 310,000-340,000t for FY2025-26.

Antamina contributed 119,000t, down 17pc on planned lower grades and throughput. BHP guided Antamina to 120,000-140,000t next year as grades stabilize. The Carajás complex added 9,400t, providing optionality across Brazil. Altogether, BHP record copper output strengthens global supply during tight markets.

The Metalnomist Commentary

BHP’s mix of grade management and throughput discipline stood out this year. Watch Escondida’s grade drift and Spence’s concentrator feed as key swing factors. If guidance holds, sustained capex and steady recoveries should anchor margins despite volatility.

Enduring Reliance Amid Sanctions: Europe’s Russian Titanium Dilemma

VSMPO Titanium

Introduction: A Supply Chain Unbroken in Wartime

Despite sweeping economic sanctions imposed by the West following Russia’s invasion of Ukraine in February 2022, one supply chain has proved remarkably resilient: Russian titanium sponge. Europe’s quandary over this advanced material—indispensable to aerospace, defense, and medical-device manufacturing—has only deepened.

Russia’s Command of Titanium

Russia ranks among the world’s largest titanium producers. VSMPO-AVISMA, the country’s flagship producer, accounts for 90% of Russia’s titanium output and exports to some 50 countries. The company is estimated to control up to 30% of the global titanium market and nearly half of aerospace-grade supply.

Russia’s dominance rests on abundant raw-material reserves and comparatively low energy costs. Because titanium smelting is energy-intensive, commercial viability depends on cheap power and gas—conditions Russia has historically met.

Airbus A380

Trade that Continues Despite Sanctions

On 7 March 2022, Boeing announced it would halt purchases of Russian titanium used in aircraft manufacturing. Rolls-Royce and Boeing subsequently suspended procurement from VSMPO-AVISMA indefinitely.

Europe, however, charted a different course. Airbus urged the European Union to keep Russian titanium outside future sanctions packages. As Airbus chief executive Guillaume Faury argued, titanium represents a small share of Russia’s total exports, so sanctions would inflict little pain on Moscow while dealing a heavy blow to Europe’s aerospace industry.

Today, Airbus still sources roughly half of its titanium from VSMPO-AVISMA. Boeing, by contrast, once relied on Russia for about one-third of its titanium but has since stopped buying Russian material.

The Limits—and Exceptions—of EU Sanctions

Notably, while the EU has restricted imports of Russian steel and coal, titanium has not been sanctioned. The metal remains a strategic material used in fuselages, turbine blades, satellites, and other critical systems.

Dependence on Russian metals endures in other segments as well. From March to June 2022, combined EU-US imports of Russian aluminum and nickel rose to $1.98 billion—more than 70% above the prior-year period.

Washington and Brussels have generally refrained from designating industrial metals as sanction targets. Europe continues to import large volumes of Russian natural gas, and Russia supplies about 40% of global palladium—vital for semiconductors—implicating everything from automobiles to smartphones.

CBAM

CBAM: A New Variable

The EU’s Carbon Border Adjustment Mechanism (CBAM), introduced in October 2023, adds another layer of complexity. CBAM initially covers cement, electricity, fertilizers, iron and steel, aluminum, hydrogen, and certain downstream products in steel and aluminum. After a transition phase through 2025, full implementation begins in 2026, imposing carbon costs on imports equivalent to those borne by EU producers.

While fertilizers, cement, hydrogen, and non-exported electricity may see limited near-term impact, aluminum stands out as a key target sector. Most exports to the EU beyond steel and aluminum are not yet covered, though the European Commission has signaled possible expansion to high-leakage categories such as organic chemicals and plastics.

Russia is structurally disadvantaged under CBAM. Steel production in Russia, Ukraine, and Türkiye tends to be more carbon-intensive, implying higher embedded-carbon costs at the border.

Ambiguities in Sanctions and Industry’s Dilemma

The United States placed VSMPO-AVISMA on its “military end-user” list, restricting access to advanced technologies, but stopped short of a direct ban on titanium sales—an acknowledgment of global industry’s reliance on the material.

Indeed, during the early stages of the war, VSMPO-AVISMA avoided sweeping US and European sanctions. Although Washington temporarily listed the company in December 2020, the measure was later rescinded.

Recent moves, however, suggest a tightening environment. In April 2024, a joint US-UK action prompted the CME and LME to prohibit trade in newly produced Russian aluminum, copper, and nickel dated after 13 April—an effort widely read as constraining Russia’s influence in metals markets.

Ukraine Titanium Mine

Ukraine: A Viable Alternative?

Against this backdrop, Ukraine has emerged as a potential alternative. Until 2020, the country supplied 90% of Russia’s ilmenite—the feedstock for titanium sponge. With that supply chain severed by war, Ukrainian resources could help challenge Russia’s dominance.

US companies have begun talks with Kyiv on a joint venture anchored by the Zaporizhzhia Titanium-Magnesium Plant (ZTMP). Such partnerships could forge a new titanium hub in Eastern Europe, strengthening Ukraine’s economic footing for decades.

The risks are significant. Ongoing conflict and occupation threaten both Donbas deposits and the ZTMP facilities, which remain exposed to shelling and sabotage.

Aviation’s Growth—and Its Dilemma

The aerospace-titanium market was valued at roughly $100 million in 2022 and is projected to grow at a CAGR exceeding 5% from 2023 to 2032—reflecting the rebound in air travel and a pipeline of commercial aircraft programs.

Despite supply-chain turbulence from war, energy constraints, and labor shortages, passenger traffic continues to recover, lifting titanium demand. In October 2022, Airbus announced plans to deliver more than one aircraft per week to India, persisting with expansion despite engine-supply challenges and domestic carrier capacity constraints—developments that further complicate titanium sourcing.

The Reality of Diversification

Boeing reportedly began diversifying away from Russian titanium after the 2014 annexation of Crimea. Airbus, by contrast, remains heavily reliant on Russian supply.

Globally, China produced around 100,000 t of titanium in 2013—twice the combined output of Russia and Japan at the time—making it the world’s largest producer. Japan ranked third, with Osaka Titanium Technologies standing as the world’s second-largest producer of titanium sponge.

The Metalnomist Commentary: An Unfinished Dilemma

Europe’s struggle over Russian titanium sponge epitomizes the knotty realities of modern supply chains. Between economic sanctions and security imperatives, between industrial competitiveness and moral principle, Europe has yet to find a definitive answer.

With CBAM’s full force arriving in 2026, higher carbon-cost pass-throughs on Russian metals seem likely, intensifying pressure to rewire supply. Yet, as Airbus’s position illustrates, displacing Russian titanium in the short term remains daunting.

The gap between industrial necessity and political sanction endures—witness VSMPO-AVISMA’s August 2025 statement that it stands ready to resume cooperation with Boeing. For now, Europe must navigate this dilemma with prudence: balancing sanction principles, industrial realities, and emergent environmental rules—while accelerating the use of recycled titanium wherever feasible.

Alcoa aluminum output rises as alumina and bauxite slip

Alcoa Aluminum

Alcoa aluminum output increased in the second quarter despite upstream weakness and tariff pressure. The Brazil Alumar ramp-up offset delays at Spain’s San Ciprián smelter and stabilized smelting utilization. Management maintained 2025 aluminum production guidance at 2.3–2.5 million tonnes, signaling operational confidence. However, shipments lagged as the restart pause and trade frictions disrupted flows across key corridors. Alcoa aluminum output momentum nevertheless underpins a cautious but improving outlook for margins.

Tariffs reshape shipments and guidance

Tariffs continue to weigh on realized economics and delivery patterns across North America. Alcoa cut full-year shipment guidance to 2.5–2.6 million tonnes to reflect power and logistics headwinds. It also expects about $90 million of tariff costs in the third quarter, pressuring profitability. Canadian metal was redirected away from the United States to mitigate incremental import charges. Peers face similar headwinds, confirming broader cost inflation across global aluminum supply chains. As a result, Alcoa aluminum output strength must translate into disciplined commercial execution.

Upstream constraints and sourcing strategy

Bauxite and alumina production declined as the Kwinana refinery closure reduced available refining capacity. Even so, Alcoa kept 2025 alumina production guidance at 9.5–9.7 million tonnes, highlighting operational flexibility. To honor contracts, the firm will ship more alumina than it produces through third-party sourcing. This strategy preserves customer commitments while the San Ciprián restart progresses toward mid-2026 completion. Meanwhile, the Brazil Alumar ramp provides volume resilience across the smelting portfolio.

The Metalnomist Commentary

Alcoa is leaning on Alumar’s ramp and agile sourcing to bridge upstream gaps and tariff friction. Watch the cadence of San Ciprián’s restart, tariff pass-through in contracts, and regional premia trends. If physical tightness persists, disciplined sales mix could translate output gains into durable cash flow.

Mueller Arkansas copper fittings plant expansion boosts US HVAC and plumbing supply

Mueller Industries

Mueller Industries announced the Mueller Arkansas copper fittings plant expansion. The $7.5mn project targets distribution and packaging. The Wynne site will add 60 jobs over two years. Streamline will support tubing, fittings, valves, and related components. The plan strengthens US copper products for HVAC, plumbing, and refrigeration.

Why this matters for supply chains

The Mueller Arkansas copper fittings plant expansion enhances domestic availability. Therefore, contractors may see steadier lead times and lower logistics risk. Packaging upgrades should increase throughput and order accuracy. Meanwhile, proximity to end users supports medical gas and industrial systems.

Mueller’s Streamline brand anchors this investment. As a result, the network can serve OEMs and distributors more efficiently. Customers can benefit from regional inventory and faster replenishment. The Mueller Arkansas copper fittings plant expansion aligns with reshoring momentum.

Copper-intensive demand remains resilient. HVAC retrofits, building services, and cold chain projects continue to grow. Consequently, component readiness is strategic for utilities and commercial builds. This expansion positions Mueller to capture downstream opportunities.

The Metalnomist Commentary

Targeted brownfield spending often beats greenfield risk for speed and ROI. Mueller is optimizing the midstream links that actually bottleneck delivery. Watch hiring cadence and outbound accuracy metrics as early proof of execution.

US Antimony feedstock sourcing expands to secure smelter supply

US Antimony feedstock

US Antimony feedstock sourcing broadened across the US and overseas to stabilize operations. The company moved to secure inputs for its Montana and Mexico smelters. As a result, it advanced domestic mining claims and lined up new international suppliers. However, it also flagged issues with Australian material quality and logistics.

Domestic expansion: Alaska and Montana

US Antimony feedstock sourcing grew with new Alaska claims, including a 150-acre site near Fairbanks. The firm expects faster permitting since the land is neither federal nor state. Meanwhile, reacquired claims beside its Montana smelter should deliver stibnite within months. Therefore, domestic ore should lower supply risk and trucking distances.

International diversification: Bolivia and Chad

Bolivia will supply up to 150 t/month of antimony flake starting in early 2026. A 10 t pilot shipment arrives at the Montana smelter in August. Additionally, two sources in Chad will feed the Madero smelter, starting with 80 t. Subsequent deliveries should reach 100 t/month to support steady throughput. Canada also lifted feedstock to 857 t year-to-date, up 121 percent.

Australian sourcing faces setbacks following a 50 t shipment held 82 days by Chinese customs. Concurrently, incoming ore showed elevated arsenic and iron, pressuring processing costs. However, broader sourcing and scrap blending can offset penalties and maintain recoveries. Therefore, the portfolio approach underpins more reliable antimony supply for strategic markets.

The Metalnomist Commentary

Diversification is the right hedge as geopolitics and impurities raise feedstock risk. Watch ramp discipline in Bolivia and Chad and impurity management in Montana. If logistics hold, US Antimony can claw back margin despite uneven market conditions.

Aclara-Stanford rare earth partnership to accelerate HREE supply

Aclara

Aclara-Stanford rare earth partnership targets AI-driven discovery of heavy rare earths. The Aclara-Stanford rare earth partnership will deploy predictive models to map ionic clays. As a result, the effort aims to build a reliable HREE supply chain for magnets.

AI-driven exploration and Mineral-X roadmap

The partners will collaborate through Stanford’s Mineral-X, focusing on regolith and ionic-clay mineralization. They will exchange technical data, co-author papers, and run pilot projects. Meanwhile, predictive modeling should sharpen drill targets and cut discovery risk. Therefore, the Aclara-Stanford rare earth partnership links research to commercialization faster.

Integrated mining-to-magnets plan and Brazil timeline

Aclara pursues an integrated strategy from mining to magnet production. Its Carina Project in Goiás targets 191 t/yr of DyTb and 4,736 t/yr of total rare earth oxides. Operations are expected to start in 2028, supporting EV motor and wind magnet demand. Consequently, Carina could diversify non-Chinese heavy rare earth supply for OEMs.

Global OEMs want localized, resilient magnet materials. However, heavy rare earth elements remain constrained and price sensitive. By combining AI targeting and staged pilots, the partners can lower exploration costs. As a result, bankability may improve for HREE projects aligned with clean-energy supply chains.

The Metalnomist Commentary

AI-guided geology is moving from concept to competitive advantage in rare earths. If Carina delivers Dy/Tb as planned, this tie-up could reset HREE sourcing dynamics for Western magnet makers.

Antofagasta 1H copper output rises on Chilean concentrators

Antofagasta

Antofagasta 1H copper output rose 10.6pc to 314,900t. Antofagasta 1H copper output benefited from Los Pelambres and Centinela. Antofagasta 1H copper output still faced weaker cathode performance.

Concentrate gains offset cathode declines

Second-quarter copper production increased to 160,100t, up 3.1pc year on year. Los Pelambres delivered 143,200t in 1H, up 8.1pc. Meanwhile, its 2Q output rose 4.9pc quarter on quarter to 73,300t on stronger grades and recoveries. Centinela produced 116,200t in 1H, supported by an 84pc surge in concentrate to 80,300t. However, Centinela’s cathode volumes fell 27.5pc to 35,800t.

Centinela’s 2Q copper rose 9pc quarter on quarter to 60,600t. Concentrate advanced 24pc to 44,500t after maintenance completion. As a result, higher throughput and recoveries underpinned the quarter. However, cathode fell 18.7pc to 16,100t on lower grades and processing rates.

Guidance intact as molybdenum surges

Antofagasta reaffirmed 2025 guidance at 660,000–700,000t. Rising by-product output strengthens cost resilience. Molybdenum production climbed 42.3pc to 7,400t in 1H. Los Pelambres contributed 5,700t, up 35.7pc, while Centinela added 1,700t, up 70pc. Second-quarter molybdenum reached 4,400t, up 76pc year on year and 42pc quarter on quarter.

Leach operations softened across the portfolio. Antucoya produced 39,500t of cathode in 1H, down 2pc. Zaldivar delivered 16,000t, down 15.3pc. Therefore, stronger concentrators are counterbalancing weaker leach output.

The Metalnomist Commentary

Concentrator momentum is carrying 2025 performance while leach assets lag. Watch sustained grade trends and plant stability at Los Pelambres and Centinela. Robust molybdenum credits could cushion unit costs if copper prices wobble.

Zangge Mamicuo lithium project secures mining licence in Tibet

Mamicuo Li

Zangge Mamicuo lithium project secured a mining licence in Tibet. The approval clears a path to salt-lake production. Zangge Mamicuo lithium project now targets a 50,000 t/yr first phase. Therefore, Zangge Mamicuo lithium project advances toward near-term construction.

Licence scope and resources

The licence covers 115.36km² and includes lithium, boron, and potassium. Proven resources total 2.1774mn t LCE. Zangge holds a 26.95% stake in the asset. The permit was issued on 15 July and runs to 30 April 2030.

Build plan, power needs, and portfolio moves

Zangge will start constructing a 50,000 t/yr lithium carbonate plant in Q3. Construction should take nine to twelve months. Phase two adds 50,000–80,000 t/yr after full ramp. However, power reliability will determine second-phase timing. Meanwhile, Zangge produces lithium carbonate at Qarhan, with 2024 output of 11,566t. The company plans stakes in Jiezechaka and Longmucuo projects. It will acquire 39% of Tibet Guoneng Mining for 4.68bn yuan. As a result, integrated assets could strengthen China’s battery materials supply.

The Metalnomist Commentary

This licence elevates Tibet’s role in China’s brine-based lithium strategy. Execution now hinges on power stability and brine processing performance. Watch phase-two timing, capex discipline, and offtake alignment with cathode makers.

China zirconium sponge prices set to ease as costs fall and demand slows

Zirconium Sponge

China zirconium sponge prices are likely to fall through the third quarter. Producers see weaker spot buying from acetic acid users. Therefore, China zirconium sponge prices face pressure despite steady contract deliveries.

Producers adjust output and pricing

Liaoning Huagao maintains normal runs to serve long-standing Q3 contracts. The firm expects softer spot values ahead. Meanwhile, Citic Jinzhou sells inventory and keeps output curtailed. Chaoyang Orient lowers run rates and moved small lots at Yn150/kg. It focuses on 2024 nuclear-grade sponge contracts with overseas customers. BaoTi Huashen accepted lower bids recently and sold Q3 tons at Yn155/kg. As a result, China zirconium sponge prices reflect defensive producer strategies.

Downstream softness tightens the market balance

Demand from zirconium mill products remains tepid this year. At the same time, acetic acid sector buying has slowed noticeably. About 65-70pc of zirconium goes to mill products, with 30-35pc to acetic acid. The mix amplifies price sensitivity when either segment weakens. Only a limited group produces sponge in China, concentrating supply dynamics. Operators include Chaoyang Orient, BaoTi Huashen, Citic Jinzhou, and Liaoning Huagao. Therefore, any run-rate changes can move sentiment quickly. China zirconium sponge prices could soften further if Q3 inquiries lag.

The Metalnomist Commentary

The near-term tone stays bearish until acetic acid orders stabilize. Watch producer run-rate guidance and tender frequency for a floor. Contracted nuclear-grade volumes may cushion declines but won’t lift spot alone.

China molybdenum concentrate output rises on alloy demand in 1H

Molybdenum

China molybdenum concentrate output increased in the first half. China molybdenum concentrate output reached 67,568t, up 4.2 percent year on year. Strong ferro-moly purchases by steelmakers supported higher operating rates.

Demand lifts production despite softer steel sentiment

Steelmakers bought 75,000–76,000t of ferro-moly in 1H. That was about 10 percent higher than last year. As a result, producers raised runs and stabilized supply. China molybdenum concentrate output therefore tracked end-use alloy demand. Procurement for stainless and high-strength steels underpinned volumes.

June dip masks regional divergence

June production fell to 10,550t, down month on month and year on year. Planned maintenance at several mines drove the decline. However, Henan limited the pullback with 3,335t in June. Output there slipped 0.8 percent from May but rose 6.3 percent year on year. Meanwhile, Heilongjiang dropped to 891t, sharply lower on both bases. Shaanxi and Inner Mongolia produced 1,208t and 1,530t, also softer year on year.

Outlook: supply steadies as maintenance eases

Producers expect steadier runs as maintenance programs end. Therefore, China molybdenum concentrate output should align with alloy offtake. Watch ferro-moly tender volumes and spot premiums for direction. Substitution risk remains low given performance needs in critical steels.

The Metalnomist Commentary

Moly demand remains tethered to high-spec steel orders, not broad steel cycles. Regional variability matters: Henan’s resilience offsets northern softness. Pricing will track ferro-moly tenders and mine maintenance cadence into Q3.

Perpetua Resources antimony project funding surges to $474mn

Perpetua Resources

Perpetua Resources antimony project secured an extra $49mn in July. After June financings, Perpetua Resources antimony project totals $474mn. The fresh capital supports construction of Idaho’s Stibnite project.

Financing details and permitting momentum

National Bank of Canada and BMO bought 3.7mn shares for $49mn. Earlier, they purchased 24.6mn shares for $325mn. Paulson & Co. added a $100mn private placement. The company also secured its final federal permit in April. Therefore, capital and permitting now align for execution.

Strategic supply implications and next steps

Stibnite contains 148mn pounds of antimony reserves. China suspended antimony exports to the United States in December. The United States produced no marketable antimony in 2024. As a result, the Perpetua Resources antimony project can cut import dependence. Antimony supports defense, flame retardants, and lead-alloy batteries. Perpetua will deploy proceeds to early works and procurement. Meanwhile, pacing will track prices, logistics, and workforce availability. Therefore, disciplined spend and clear milestones will sustain momentum.

The Metalnomist Commentary

This raise narrows America’s antimony gap as geopolitics tighten supply. Watch offtake timing, early-works progress, and cost control through 2026.

Almonty tungsten plant funding accelerates Sangdong build and U.S. defense supply

Almonty

Almonty tungsten plant funding reached $90mn in its Nasdaq debut. Almonty tungsten plant funding will prioritize the Sangdong tungsten oxide facility. The company sold 20mn shares on 14 July. Meanwhile, proceeds will also support working capital.

Sangdong focus and defense offtake

The funding accelerates construction of the Sangdong tungsten oxide facility. Almonty holds a binding supply deal with Tungsten Parts Wyoming. The agreement targets domestic defense applications for tungsten oxide. Therefore, the project strengthens U.S. tungsten supply-chain resilience.

Market outlook and corporate positioning

Demand for tungsten in defense and technology is rising. As a result, offtake visibility and pricing stability could improve. The company is shifting its incorporation to the United States. Meanwhile, it operates projects in South Korea, Portugal, and Spain. Investors view Almonty tungsten plant funding as a lever to diversify supply.

The Metalnomist Commentary

Almonty’s equity raise ties capital to near-term processing capacity and long-term defense demand. Execution now depends on plant delivery, oxide qualification, and steady feedstock. Watch construction milestones and contract ramp with TPW.

Trialco emissions case: $1mn settlement triggers compliance overhaul

Trialco

Trialco emissions case leads to a $1mn settlement and compliance overhaul. The secondary aluminum smelter agreed to changes at its Chicago Heights facility. The consent decree follows federal claims of hazardous air pollutant emissions. Trialco will implement an OM&M plan and pursue a new FESOP permit.

Consent decree terms and timeline

The consent decree mandates new monitoring and operating standards at Trialco. The company must assess its capture and collection system for improvements. A 30-day public comment period runs through 8 August before final filing. Trialco has already upgraded equipment to meet federal compliance requirements.

Industry impact and competitive dynamics

The Trialco emissions case signals stricter oversight for secondary aluminum smelters. EPA violations in 2021 and 2023 preceded this enforcement action. The company did not admit liability under the proposed decree. Operational changes may raise costs, but they reduce regulatory risk.

Market effects should remain limited unless further closures occur. However, buyers may see tighter specs and documentation on emissions controls. As a result, contracts could include monitoring clauses and audit rights. The Trialco emissions case underscores ESG due diligence across scrap supply chains.

The Metalnomist Commentary

This settlement pushes U.S. recyclers toward uniform OM&M and transparent reporting. Competitive advantage will favor plants with efficient capture systems and low-carbon power. Watch final decree language and any precedent for sector-wide FESOP conditions.

MP Apple recycled rare earth magnets deal anchors U.S. circular supply chain

Apple

MP Apple recycled rare earth magnets move from pilot to scale. The $500mn long-term deal commits Apple to 100% recycled magnets made in the U.S. MP will process post-industrial and end-of-life magnets at Mountain Pass. Magnet shipments start in 2027 and scale across Apple devices.

Partnership scope and buildout

The Fort Worth plant will make recycled rare earth magnets for Apple devices. MP will install a dedicated recycling line at Mountain Pass. The project follows a five-year pilot between the companies. Meanwhile, DOD funding supports 10,000 t per year magnet capacity. Together, these steps anchor a domestic magnet ecosystem.

Supply-chain impact and circularity

The MP Apple recycled rare earth magnets deal strengthens U.S. resilience. It lowers exposure to export controls and shipping risks. As a result, Apple gains traceable inputs and lower Scope 3 risk. The approach valorizes post-industrial scrap and end-of-life returns. It can reduce NdPr demand for virgin mining.

Market timing favors localized magnet ramp. EVs, electronics, and wind keep magnet demand strong. However, execution depends on stable scrap flows and yields. No volume terms were disclosed, adding planning uncertainty. Therefore, early offtake scheduling will be critical.

MP Apple recycled rare earth magnets will ship from 2027. Production will scale to hundreds of millions of devices. Meanwhile, Apple can showcase circular content at volume. The domestic hub could attract new industrial customers.

The Metalnomist Commentary

This partnership hard-wires circularity into a strategic U.S. magnet base. Watch scrap collection logistics, recovery rates, and alloy performance at scale. Policy support and OEM offtakes will determine the speed of the ramp.

India ferro-silicon power tariff crisis reshapes regional supply

Ferro-Silicon

India ferro-silicon power tariff crisis is forcing cutbacks and shutdowns. India ferro-silicon power tariff crisis stems from soaring power and charcoal costs. India ferro-silicon power tariff crisis threatens margins as tariffs stay elevated into 2026.

Cost shock and shutdowns in Meghalaya

Producers face a fixed tariff of Rs5.92/kWh in Meghalaya until March 2026. The state’s FeSi hub has 5,000–6,000 t per month capacity. However, many plants cut output by 20–30 percent. Three to four furnaces reportedly shut in recent weeks. Meanwhile, operators warn permanent closures may follow mounting losses.

Demand slump and competitive pressure

Domestic demand from stainless steel remains weak. As a result, FeSi offtake and pricing stay under pressure. Some manufacturers substitute with 98 percent silicon metal. Therefore, FeSi loses share in certain applications. Producers also battle higher charcoal prices, further eroding viability.

Producers urge policy relief to avert deeper cuts. Government action on power costs could stabilize operations. Otherwise, traders expect more closures in the coming months.

Bhutan strengthens its foothold with cheap hydropower. Consequently, Bhutanese FeSi offers near Rs85,000 per tonne ex-works. New plants and expansions are lifting Bhutan’s regional supply. India’s FeSi sector must adapt or cede long-term share.

The Metalnomist Commentary

India’s FeSi outlook hinges on power economics, not just demand. Relief on tariffs and input costs could slow attrition. Watch substitution trends and Bhutan’s capacity ramp through 2026.

ASM heavy rare earth metal sales: first Dy and Tb shipments to Neo

ASM(Australian Strategic Materials)

ASM heavy rare earth metal sales begin with first Dy and Tb shipments to Neo. ASM heavy rare earth metal sales also include 10t of NdPr metal. The partners signed a 12-month framework for future ASM heavy rare earth metal sales.

Deal scope and product mix

ASM shipped 2kg Dy and 2kg Tb from its South Korea metallisation plant. It also sold NdPr metal, bringing Neo purchases to 29t to date. Neo will buy light and heavy rare earth metals for magnet plants. Neo will supply gallium to support ASM's alloy production. The parties agreed to toll NdPr, Dy, and Tb products.

Strategy, integration and Dubbo update

ASM is advancing an integrated model across metals, alloys, and mining. Dubbo's updated study cut forecast capex by A$900mn to A$740mn. Therefore, capital intensity improves for future feed to Korea and beyond. Meanwhile, heavy rare earth supply remains tight for EV traction magnets. This deal diversifies Dy and Tb sources for Western magnet supply chains. Execution depends on stable metallisation yields and logistics efficiency. As a result, OEMs gain diversified NdFeB magnet feed with traceable origin.

The Metalnomist Commentary

ASM’s early Dy and Tb sales validate its heavy rare earth capability. Watch contract conversion beyond the 12-month framework and Dubbo financing steps. Pricing power will hinge on magnet demand and Chinese export dynamics.

Butting Alabama stainless pipe plant to anchor US expansion

Butting

The Butting Alabama stainless pipe plant will house the company’s US headquarters and first factory. The Butting Alabama stainless pipe plant represents a $61mn investment in Baldwin County. The Butting Alabama stainless pipe plant strengthens domestic stainless supply near Mobile.

Phase one: headquarters and cryogenic fabrication

Butting will build its US headquarters with engineering and fabrication functions. The first phase includes stainless spools, components, and cryogenic pipe systems. Construction is expected to begin in the fall. This phase establishes talent, tooling, and customer qualification pathways.

Phase two: welded pipe mills and capacity growth

The second phase adds two stainless welded pipe mills. It also expands cryogenic production and broader fabrication capabilities. As a result, US buyers gain localized lead times and lower logistics risk. The phased plan targets energy, LNG, chemicals, and industrial projects across the Gulf Coast.

The investment supports reshoring across stainless and specialty piping. Meanwhile, regional suppliers can align material grades and specs faster. Therefore, project developers can reduce schedule slippage and inventory costs.

The Metalnomist Commentary

Butting’s two-step build creates early customer access, then mill-scale depth. Execution will hinge on workforce, power, and niche alloy sourcing. Watch order backlogs and Gulf Coast project awards through phase two.

Alcoa San Ciprian smelter restart resumes after power outage

Alcoa

Alcoa San Ciprian smelter restart resumes after a damaging power outage. Alcoa San Ciprian smelter restart follows government assurances on grid resilience. Alcoa San Ciprian smelter restart advances under an $81mn joint venture with Ignis.

Timeline, power reliability, and investment

Alcoa paused the restart to assess damage and power reliability. Authorities outlined measures to strengthen Spain’s grid resilience. The joint venture now restarts the plant with staged milestones. Completion is targeted by mid-2026, assuming stable energy supply.

Alcoa expects a wider 2025 loss from San Ciprian. Management guides a $90–110mn net loss this year. Delay costs stem from equipment damage and prolonged idling. Government backing aims to restore competitive baseload power.

Market implications and risk factors

The restart matters for European primary aluminum supply. Spain and Galicia seek industrial jobs and strategic metals output. Reliable power pricing remains the decisive competitiveness factor. As a result, long-term energy contracts are pivotal.

Alcoa explores long-term power contracts and onsite energy solutions. Grid upgrades and renewable sourcing could reduce volatility over time. However, execution risks include supply chain lead times and permits. Therefore, ramp discipline and cell integrity will be critical.

The Metalnomist Commentary

San Ciprian’s path hinges on bankable power and disciplined ramp. Watch transformer availability, anode supply, and cell relining schedules. Price-sensitive casthouse products could improve margins during restart.

Chinalco copper anode production rises as Dianzhong smelter adds capacity

Chinalco Copper Mining

Chinalco copper anode production is rising after a second furnace start-up. Chinalco copper anode production expands at the Dianzhong smelter in Yunnan. The upgrade replaces two older furnaces and modernizes operations. The project positions Chinalco for stronger domestic copper supply.

Capacity expansion at Yunnan’s Dianzhong smelter

The smelter will lift anode capacity from 191,700 t/yr to 249,800 t/yr. The first new furnace started in January; the second now enters service. A new refining facility adds 210,000 t/yr of copper cathode capacity. These upgrades enhance reliability and throughput for downstream customers.

Secondary copper strategy and cathode output

Each furnace includes a copper scrap feeding facility for higher recycling rates. This supports cathode output as concentrate supplies remain tight. Scrap supplied nearly 20% of global refined copper in 2024. China encourages more secondary copper use and new recycling capacity. Chinalco copper anode production will benefit from secure scrap sourcing.

The Metalnomist Commentary

Dianzhong’s phased upgrade aligns with China’s push for secondary copper. We expect improved margins from scrap blending and lower TC/RC exposure. Watch scrap import flows and cathode qualification as capacity ramps.

Brazil rare earths Rio Grande Rise: offshore claim targets critical minerals

Brazil

Brazil rare earths Rio Grande Rise ambitions intensify as its UN claim advances. Brazil rare earths Rio Grande Rise could unlock a vast offshore resource. Brazil rare earths Rio Grande Rise also reinforces the nation’s Blue Amazon strategy. Officials aim to expand rights over mining, energy, and fisheries.

Offshore scope and resource potential

The Rio Grande Rise spans about 500,000km² in the South Atlantic. It sits roughly 1,200km off Rio Grande do Sul. Studies flag rare earths alongside red clays, basalt, and manganese crusts. These deposits include NdPr, Dy, Tb, and other magnet metals. Therefore, Brazil sees high-value opportunities for batteries and clean tech.

Brazil already holds significant rare earth reserves onshore. The claim could extend access into a new marine province. Meanwhile, UNCLOS procedures guide shelf limits and sovereign rights. If approved, Brazil gains stronger control over exploration. That would accelerate investment screening and early baseline surveys.

Strategic stakes for supply chains and energy

The bid aligns with Brazil’s Blue Amazon development plan. The plan spans offshore minerals, renewables, and hydrocarbons. Global rare earth reserves reached 130mn tonnes in 2023. Brazil holds about 16%, behind Vietnam and tied with China. As a result, diversified offshore feed could bolster security of supply.

Downstream industries need stable magnet and catalyst inputs. EVs, wind turbines, and electronics drive that demand. However, environmental safeguards and data transparency remain vital. Therefore, Brazil must balance exploration with marine stewardship.

The Metalnomist Commentary

This seabed push is about leverage, not near-term output. The value lies in optionality during tight rare earth cycles. Watch UN milestones, baseline ecology work, and any pilot sampling plans.