US, Australia to invest $2 billion in critical minerals, advance Alcoa gallium project (October 21)

The governments would also help advance a plan by U.S. aluminum producer Alcoa AA.N to build a gallium plant alongside its alumina refinery in Western Australia, the company announced in a statement.

Alcoa in August signed a joint development agreement with Japan Australia Gallium Associates (JAGA), a venture between the Japanese government and Sojitz Corp 2768.T, for the project.

It said on Monday that once it finishes feasibility work, a special purpose vehicle owned by the U.S. and Australian governments and Alcoa is expected to enter a joint venture with JAGA to construct the plant, which Alcoa would operate.

The parties would provide capital to the special purpose vehicle and receive gallium offtake in proportion to their interests. The plant would be expected to produce 100 metric tons of gallium annually, Alcoa said.

Gallium, recovered as a byproduct during the alumina refining process, is a critical mineral for the technology sector, especially the semiconductor and defense industries.