Particle.news
Download on the App Store
9 ARTICLES
·
3w ago

MP Materials, Ma’aden and Pentagon Finalize Saudi Rare-Earth Refinery Joint Venture

The Pentagon will fund the U.S. stake on a nonrecourse basis to accelerate allied refining capacity outside China.

Wall Street Sees a ‘Buying Opportunity’ in This Rare Earths Stock. Should You Snap Up Shares Now?
Image
Image
Billionaire Gina Rinehart Is Now the Top Investor in MP Materials. Should You Follow the Money and Buy MP Stock Too?

Overview

  • Ma’aden will hold at least 51% of the Saudi venture, with MP Materials and the U.S. partner collectively owning up to 49% under the binding agreement.
  • The U.S. Department of Defense will fully finance the American share on a nonrecourse basis while MP supplies technical and marketing expertise.
  • The planned facility will process Saudi and other global feedstock into separated light and heavy rare-earth oxides for U.S., Saudi, and allied defense and manufacturing customers.
  • The deal formalizes earlier memorandums and follows a July Defense Department package reported at $1.55 billion that includes price protections and offtake support, which analysts say speeds MP’s downstream expansion and reduces reliance on Chinese processing.
  • MP shares rose about 9% on the news, as Goldman Sachs initiated coverage with a Buy rating and a $77 price target, citing the company’s move toward full vertical integration.