Northrop Grumman Secures Rare Earth Supply with $20.6M Deal
NOC•REalloys invested $20.6 million to upgrade a Saskatchewan processing facility, securing 80% of its expanded output—525 tonnes of NdPr, 30 tonnes of dysprosium and 15 tonnes of terbium annually. It also secured a 15-year offtake for 15% of 15,000 tonnes yearly from Greenland’s Tanbreez, ensuring defense magnet supply for Northrop Grumman.
1. Saskatchewan Facility Investment
REalloys has committed $20.6 million to upgrade the Saskatchewan Research Council’s rare earth processing facility, securing exclusive rights to 80% of its expanded annual output, including 525 tonnes of NdPr, 30 tonnes of dysprosium and 15 tonnes of terbium. Engineering and commissioning are on schedule to meet the Pentagon’s January 2027 Chinese-origin sourcing deadline.
2. Greenland offtake Agreement
The company also signed a 15-year offtake agreement for 15% of up to 15,000 tonnes of annual rare earth concentrate from Greenland’s Tanbreez project, with priority for dysprosium- and terbium-rich streams and a right of first refusal on additional volumes.
3. Implications for Northrop Grumman
These supply deals establish a Western-aligned mine-to-magnet pipeline that underpins the long-term availability of defense-grade rare earth materials, reducing Northrop Grumman’s exposure to Chinese-controlled supply and supporting production of precision-guided weapons and missile systems.
