American Tungsten Corp (CNSX: TUNG) (OTCMKTS: TUNGF) (FRA: RK90) was up by nearly 7 per cent at the end of the day Wednesday after arranging an offtake agreement with a leading critical mineral processor.
Global Tungsten & Powders plans to procure the critical metal from American Tungsten once production begins at the past-producing Ima mine site in Idaho. Thus far, a letter of intent has been signed and nothing is finalized.
“Our strategic agreement with Global Tungsten & Powders marks a pivotal milestone in our emergence as a leading domestic supplier of high-grade tungsten,” chief executive Ali Haji boasted in a press release on Sept. 24.
American Tungsten also reported making significant progress with an access tunnel at the underground project and determined that workers were not at risk of high radiation levels below the surface.
The Ima mine was a key supplier of tungsten for the Allies during the Second World War. Tungsten was vital for armour-piercing rounds, projectiles, anti-tank rounds, artillery shells, firearms, engine components and radar technologies.
American mines like Ima were forced to ramp up production to meet heightened demand during the period and tungsten prices skyrocketed. Ima produced nearly 200,000 tons of tungsten trioxide between the early 1940s and 1957.
Since then, the operation was active intermittently as global production waned, and by the 1960s production completely ceased. Now, heightened demand for critical minerals in the U.S. brought on by trade war dynamics with China has made restarting the operation become an appealing idea.
American Tungsten is targeting production in mid to late 2026. The mine site could potentially cater to 8 per cent of domestic requirements.
Ima also hosts consider molybdenum mineralization — a critical mineral used for engines, automotive parts, ammunition and other industrial purposes.
Tungsten, also known as “tungstène” in French, is a rare, dense metal known for its exceptional hardness, high melting point, and resistance to heat and corrosion. pic.twitter.com/6eaNJILbeN
— Interesting STEM (@InterestingSTEM) March 17, 2025
Read more: NevGold Corp’s limousine Butte drill program targets first Gold-Antimony resource estimate
Idaho is a mining-friendly state
The state’s diverse geology, supportive industry policies and economic attractiveness have made it a popular destination for many other mining companies too. In 2020, the Fraser Institute ranked it as the world’s most attractive mining jurisdiction for investors in its prominent annual report.
The permitting process for mine sites in Idaho is streamlined in comparison to many other American states. Mining laws like those under Title 47 of the Idaho Code ensure that the red tape on state lands is reasonably weak for metal and mineral miners.
Perpetua Resources Corp (TSE: PPTA) (NASDAQ: PPTA) is one of the latest to secure a major approval in the state. The gold and antimony mining company was just given the green light to commence construction of the Stibnite mine. This operation is one of the most important development-stage assets in the entire country.
NevGold Corp (CVE: NAU) (OTCMKTS: NAUFF) (FRA: 5E50), another gold and antimony focused company, has also been making valuable progress with a precious metal mining operation. The junior mining company recently updated the mineral resource estimate at its Nutmeg Mountain project, boosting base case pit-constrained indicated tonnage by over 18 per cent and inferred by over 100 per cent.
“We are pleased with the results of the updated MRE as it illustrates the size and heap-leach grade of this at-surface, open-pit oxide gold project in the Western USA,” said NevGold CEO Brandon Bonifacio on Sept. 18.
Read more: GoldMining chooses to retain its NevGold shares for next 18 months
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