Distributed on behalf of Blue Moon Metals
The United States urgently needs to secure additional sources of tungsten. China currently controls about 80% of the world’s tungsten supply and nearly 90% of the processing capacity required to turn raw tungsten into usable material. That level of control creates a serious vulnerability for the U.S., particularly because tungsten is essential to numerous modern weapons and defense systems. All of which is creating opportunities for tungsten-related companies such as Blue Moon Metals (TSXV: MOON) (NASDAQ: BMM), Almonty Industries (NASDAQ: ALM) (TSX: AII), The Elmet Group Co. (NASDAQ: ELMT), EQ Resources Limited (ASX: EQR), and Adamera Minerals Corp. (TSXV: ADZ) (OTC: DDNFF).
Creating opportunity, Washington is now taking steps to keep more of that material at home. In fact, the U.S. Commerce Department announced plans to restrict exports of tungsten-containing scrap to China. The action followed an executive order signed by President Donald Trump that gave federal officials greater authority to limit exports of scrap containing valuable critical minerals. And while it’s an important step towards a supply solution, but it doesn’t solve the larger problem. Until the United States can produce meaningful quantities of tungsten domestically, the country will remain heavily exposed to foreign supply disruptions. For investors, that supply gap may place even greater attention on companies working to develop new tungsten resources, like those mentioned above.
Look at Blue Moon Metals (TSXV: MOON) (NASDAQ: BMM)
Blue Moon Metals along with The Elmet Group Co. and EQ Resources Limited announced signing a binding letter agreement dated September 11, 2026 regarding a series of strategic transactions intended to unlock the value of Blue Moon’s Springer Tungsten Complex, located in Imlay, Nevada.
Springer historically was one of the largest tungsten mines in the United States, and consisting of open pit and underground mines, a 1,200 Tpd mill and an Ammonium Paratungstate (“APT”) plant capable of potentially producing up to 4,000 Tpa (collectively, the “Springer Project”). The facility is permitted for construction and received approval of its bonding requirements from the State of Nevada to start construction and redevelopment of the mine on August 20, 2026.
The facility is largely on fee lands, and contains a historical mineral resource from General Electric and Utah International Inc. of 10.7 MT of 0.45% WO3 based on historical data and reports prepared by the prior operators in 1984, as well as access to water, electricity, natural gas and tailings capacity and is a few miles away from the Union Pacific rail-line and the I-80 highway. The Company has not completed the work necessary to have the historical mineral resource estimate verified by a QP. The Company is not treating the estimate as a current NI 43-101 defined resource and the historical resource estimate should not be relied upon. Further drilling this year and next year will be used to update the resource estimate, which will subsequently be reported in accordance with NI 43-101 standards. On September 3, 2026, Blue Moon acquired additional water rights and land to access the Union Pacific rail-line, with the potential to install a load-on/out facility.
Figure 1: The Springer Project
Blue Moon has previously indicated the Springer mine and mill are expected to be back in production in Q4-2027, and the APT plant is expected to be restarted 2H-2028, which will be potentially the first material tungsten concentrate production in North America and a significant new source of APT for the U.S. market.
The contemplated transactions include: i) the formation of a joint venture entity among the Parties to own and operate the APT Plant (the mine and mill will remain owned by Blue Moon), (ii) an equity investment by TEG into Blue Moon, (iii) TEG's receipt of board representation in both Blue Moon and the Springer Project JV Entity; (iv) a supply agreement for EQ and Blue Moon tungsten concentrate offtakes to the APT plant at market pricing, (v) a tungsten prepayment facility provided by TEG to Blue Moon to be repaid through a credit against sales of concentrate from Springer, and (vi) a site sharing agreement between Blue Moon and the JV Entity, covering the land, buildings, utilities, water, and services arrangements between the JV Entity and Blue Moon.
The Transactions contemplate a total investment from TEG of approximately US$150 million, split between, (i) investments in Blue Moon’s activities at the Springer Site; and (ii) a contribution to the JV Entity (the "JV Investment" and, together with the Blue Moon Investment, the "Project Investment"). An additional US$25 million has been set aside by TEG and EQ for additional standby requirements if needed to place the APT plant back in production. All Parties involved are arms-length.
Collectively, these Transactions are all part of the broader TEG Landmark Initiative with the U.S. Department of War (the “DoW”) to Secure America’s Tungsten Supply Chain. The DoW has been supportive in advancing the Transactions, including completing a NEPA review of Springer.
Earlier today, the DoW announced a US$450 million investment into TEG, of which US$150 million has been designated as use of proceeds for the Transactions. This Transaction is intended to solidify the U.S. tungsten supply chain for primary supply to aerospace and defense contractors plus support for critical U.S. industrial segments such as Semiconductor, Energy, Medical and Industrial.
In relation to this Transaction, The Elmet Group has established Elmet Refining & Trading (ERT) as a new division.
Christian Kargl-Simard, CEO and Director of Blue Moon states, “This is a great day for the U.S. with regards to providing a major boost to the U.S. tungsten supply chain. We are very appreciative of the commitment of all stakeholders to advance Springer as a team. This Transaction, along with our previously announced acquisition of 33 western U.S. based tungsten and antimony projects, and our Apex germanium and gallium mine in Utah, should position Blue Moon as an important name in the domestic industrial metal supply chain.”
Peter V. Anania, Chairman and CEO of The Elmet Group states, “We believe this investment represents a significant step forward in rebuilding a secure, integrated U.S. tungsten supply chain - from domestic mineral production and processing through the advanced manufacturing capabilities required by critical U.S. industries and defense applications. By working in collaboration with Blue Moon and EQ at Springer, we hope to bring together critical resources, processing expertise, and downstream manufacturing capabilities to create a more resilient source of tungsten materials for the United States and its allies. The Elmet Group is proud to help establish and advance the infrastructure necessary to reduce our reliance on foreign sources of tungsten while strengthening American manufacturing and national security.”
Craig Bradshaw, Managing Director of EQ Resources states, “This transaction is transformational for EQR. It delivers a 10% interest in what will be a significant new APT facility in North America, an eight-year offtake agreement for 4,000 tonnes of contained WO₃ from our mines, and a leading role in the engineering and project delivery of the APT plant, all while validating the ore-sorting technology we have developed across our operations. Partnering with Blue Moon and The Elmet Group, with the sponsorship of the U.S. Department of War, cements EQR's position as a important supplier of this critical mineral and opens a strategic new market for our Australian and Spanish production.”
Project Investment Details
1. Tungsten Prepayment Facility (US$50 million). As part of the Blue Moon Investment, TEG shall provide Blue Moon and its U.S. affiliates (the “BM Group”) with a prepayment facility in the aggregate principal amount of US$50 million (the "Tungsten Prepayment Facility"), to be funded in two tranches as follows:
a. Tranche 1: The first tranche, in the amount of US$25 million ("Tranche 1"), shall be funded at the closing of the Tungsten Prepayment Facility, which is expected within forty-five (45) days of today.
b. Tranche 2: The second tranche, in the amount of US$25 million ("Tranche 2"), shall be funded upon completion of agreed milestones to be set forth in the definitive agreements, aligned with Blue Moon's readiness covenants relating to the mine, mill/concentrate plant, and flotation circuit, and, if test work is favorable, ore sorting progress. Tranche 2 shall be funded only upon satisfactory completion of the construction milestones applicable to Tranche 1, as mutually determined by the Parties acting reasonably.
2. Repayment: The Tungsten Prepayment Facility shall be repaid through a twenty-five percent (25%) credit against sales of Springer Concentrate.
a. TEG Warrants. In connection with the Tungsten Prepayment Facility, TEG shall, pursuant to exemptions from registration, qualification and/or prospectus requirements under applicable securities laws, grant Blue Moon warrants to acquire common shares of TEG with an aggregate exercise price of US$25 million (the "TEG Warrants"), to be issued on the fifth (5th) business day following today. The TEG Warrants shall have a strike price equal to the greater of: (i) the five (5)-day volume-weighted average price (the "VWAP") of TEG's shares ending on the fifth business day following today, or (ii) the Nasdaq minimum price under Nasdaq Rule 5635. The TEG Warrants shall have a term of three (3) years from the date of issuance and shall not be exercisable during the six (6)-month period following issuance.
b. Equity Subscription. TEG shall subscribe for and purchase US$25 million of new equity in Blue Moon, pursuant to exemptions from registration, qualification and/or prospectus requirements under applicable securities laws, within forty-five (45) days of the Announcement Date, consisting of 3,500,000 units of Blue Moon at a price of C$10.00 per Unit or a 31.8% premium to the closing price of Blue Moon on September 11. Each Unit shall be made up of one (1) common share of Blue Moon (each a "Unit Share") and one (1) common share purchase warrant. Each Warrant shall entitle the holder thereof to purchase one (1) additional common share of Blue Moon. Subject to the approval of the TSXV, the exercise price of each Warrant Share shall be C$10.80. The Warrants shall be exercisable for a period of three (3) years following the closing of the Equity Subscription.
c. JV Investment. US$75 million capital injection into the APT plant by TEG. Equity ownership interests in the JV Entity shall be allocated as follows post investment: TEG – 70%, Blue Moon – 20% and EQ – 10%. TEG will operate the APT plant. Blue Moon's initial capital contribution to the JV Entity shall consist of the APT Plant and associated infrastructure along with its off-take commitment as outlined below.
Proceeds of the Blue Moon Investment shall be limited to use solely in connection with the Springer Project, with all mine and mill proceeds earmarked for tungsten development purposes only.
Completion of the Transactions described herein is subject to receipt of, among other things, acceptable due diligence results for any non-equity deal components; all requisite approvals of the TSXV and other regulatory authorities; and approval, execution and delivery of the required definitive agreements. Within 45 days, TEG is expected to close on a US$50 million investment in the BM Group as defined below, half of which is the Equity Subscription and half of which is the Tranche 1 investment.
Blue Moon and TEG shall enter into a mutually agreed investor rights agreement (the "Investor Rights Agreement") providing TEG with customary pro-rata equity participation rights in future Blue Moon financings and a board seat upon completion of the Equity Financing.
JV Investment and Off-take Mechanics
Under the currently contemplated terms of the Transaction, BM Group shall maintain complete ownership and operation of the mine and mill at the Springer Project, including holding all permits to operate at the site. The BM Group shall retain ownership of certain ancillary assets on behalf of the JV Entity, including but not limited to utilities interconnections, water rights, and tailings facilities. A site master plan will be entered into by the JV entity, covering aspects such as real estate and access, concentrate receiving, production and shipping, development of solar and natural gas power facilities and other expansions, laboratory, utilities, and waste/tailings with a capital recovery costs and site wide water rights.
APT production is anticipated to be phased as follows on the Springer site:
a. Phase 1 APT shall target 4,000 tons of APT production capacity per year including infrastructure for blue tungsten oxide capacity and an additional leaching line.
b. Subsequent phased expansions of the APT Plant’s production capacity shall be driven by demand and the need to support Blue Moon’s mine concentrate production, EQ’s current and new mines concentrate production and other new mines (including EQ's mines), funded pro-rata among the Parties after Phase 1 APT is completed (assuming less than US$100 million capital cost).
Sourcing of concentrate for the APT plant, and off-takes, are expected to be as follows:
a. TEG Years 1-5: The JV Entity will allocate up to 75% of input volume to Springer Project production annually. If Blue Moon lacks sufficient production to fill this threshold, TEG may source material from other offtake agreements to which it is a party (entered into at the request of, and with support from, DoW).
b. EQ Years 1-5: Subject to a cap of 1,000 tons of production capacity per year, the JV Entity will allocate 25% of input volume to EQ concentrate annually. If EQ production is insufficient to provide 25% of the APT Plant input capacity annualized or if EQ does not take its allocation annually, any unused volume shall be available to tungsten concentrates produced from the Springer Mine (“Springer Concentrate”) and/or the third-party sourcing described in (a) above.
c. After Year 5: Blue Moon shall be granted a proportional “most-favored-nation” right to the APT Plant capacity for 90% of the capacity, with EQ having 10%.
d. Blue Moon Offtake: The JV Entity will enter into an agreement for the right to 100% offtake of Springer Concentrate, so long as the JV Entity has the capacity to process 100% of the Springer Concentrate. Any excess Springer Concentrate will be placed by the JV Entity by best possible process.
e. EQ Offtake: The JV Entity and EQ shall enter into an off-take agreement for 4,000 tonnes of WO3 contained in EQ concentrate over an eight (8) year period commencing upon APT Plant commissioning.
Blue Moon shall sell the Springer Concentrate to the JV Entity at the same pricing terms that EQ receives for its offtake into the APT Plant pursuant to the EQ Offtake Agreement. Until commercial production is achieved at the APT Plant, the JV Entity shall sell the Springer Concentrate into the open market, with best efforts by all Parties to place volumes into the market to mutually agreed upon facilities at the best possible price.
Separately, EQ is completing preliminary ore sorting work at the Springer mill using its proprietary technology. Initial results have been positive, with further test work recommended. Pending the outcome of the additional test work, it is the intention of all Parties to install ore sorting at the Springer mill.
Other aspects of the JV Entity include supermajority rights on certain decisions standard for joint venture arrangements, operatorship requirements, cross-party security, step-in rights and remedies, standard dispute mechanisms and ordinary representation and warranties for such a transaction. Blue Moon also has certain minimum delivery requirements into the APT plant, which if they cannot be cured, could mean cancellation of the Blue Moon Offtake.
The Parties have third-party legal representation for Blue Moon at Bennett Jones LLP, TEG at Ellenoff Grossman & Schole LLP, and EQ at Sidley Austin LLP.
Other related developments from around the markets include:
Almonty Industries, a leading global producer of tungsten concentrate, announced the commencement of processing plant throughput operations at its Sangdong Mine in Gangwon Province, South Korea. During June 2026, the Company began feeding stockpiled run-of-mine ore through its newly commissioned processing plant to produce saleable tungsten concentrate – a pivotal milestone marking Sangdong’s transition from mine development into active, revenue-generating operations. Almonty exited the first quarter of 2026 with approximately 120,000 tonnes of ore stockpiled at an average grade of 0.24% tungsten trioxide (“WO₃”). During the second quarter of 2026, the Company mined an additional approximately 19,700 tonnes of development ore at an average grade of 0.35% WO₃, while advancing 214.6 meters of underground development, primarily along the Main Vein. Together, this brings total stockpiled ore to approximately 139,700 tonnes at a blended grade of approximately 0.25% WO₃ ahead of the plant’s commissioning. We are utilizing lower-grade throughput during the initial ramp-up phase and anticipate higher grades as the process advances, with Sangdong’s low-grade ore approximately three times higher than that of our Panasqueira mine in Portugal. With throughput now underway, stockpiled ore is being introduced during the initial commissioning phase to optimize ore blending and maintain the consistent feed quality the plant requires as the operation ramps up. The Sangdong Mine processing plant is designed to upgrade run-of-mine ore into a high-purity tungsten concentrate.
The Elmet Group Co. announced that it has signed a definitive agreement under which its newly formed German subsidiary, Elmet Technologies GmbH, will acquire the assets of ams OSRAM’s tungsten and molybdenum manufacturing operations in Schwabmünchen, Bavaria, Germany. The transaction will establish Elmet’s first manufacturing footprint in the European Union for refractory metals and create a European production base for tungsten and molybdenum powder, rods, wire, electrodes, and machined components. The closing is expected to take place in the first quarter of 2027, subject to customary regulatory approvals and following the completion of transition activities required to operate the Schwabmünchen facility on a standalone basis. In operation since 1961, the Schwabmünchen site is a fully integrated tungsten and molybdenum manufacturing operation, covering a production value chain that includes powder formation through pressing, sintering, swaging, drawing, and finishing. It is supported by an on-site materials laboratory specializing in chemical and physical analysis. The site operates with a production environment recognized for its digital innovation in the European refractory metals industry, validated by the 2024 Germany Smart Digitization Factory 4.0 award. “We are excited to welcome the talented Schwabmünchen team to Elmet and build on the expertise and capabilities they have developed over many decades,” said Peter V. Anania, CEO and Chairman of the Board at The Elmet Group Co. “We expect this acquisition to extend our vertically integrated tungsten and molybdenum platform into Europe, giving us a production base to serve customers there directly. It is intended to advance one of our key post-IPO objectives of expanding our footprint in Europe. This is a natural next step in our long-term growth strategy, and by establishing a local presence, we believe we can better serve the needs of European and UK customers with greater speed and reliability. We are confident the acquisition will position us to deepen relationships with customers across the region.”
“Australian mining billionaire Andrew Forrest's private investment vehicle has agreed to buy a 16.8 percent stake in EQ Resources from Oaktree Capital Management for AU$189.7 million.
The transaction, executed through Forrest's wholly owned company Wonongarra Pty Ltd, transfers Oaktree's entire holding of 862.1 million ordinary shares and 35.6 million options in the tungsten producer. ‘This investment backs an Australian producer, Australian jobs and Australian know-how at the moment the world has woken up to how fragile critical mineral supply chains have become,’ Forrest, who is also the founder and chair of Fortescue said in a statement. “Tungsten is essential to the machines that build our homes, hospitals, cities and modern-day energy systems, as well as the semiconductors in every phone and computer,’” as reported by Investing News.
Adamera Minerals Corp. established the Washington Tungsten Hub, consolidating four scheelite-bearing tungsten properties across northeastern Washington, to advance domestic U.S. tungsten supply. The Hub is being established ahead of a January 1, 2027 federal procurement deadline that will bar tungsten from China, Russia, Iran, and North Korea from certain U.S. defense applications at a time when the United States has no operating domestic tungsten mine. Key Highlights: Strategic Domestic Positioning: A structural global tungsten supply shortage and an approaching U.S. defense procurement deadline have fundamentally reset the value of domestic brownfield tungsten assets. Adamera's Washington Tungsten Hub is positioned to respond. Formation of the Washington Tungsten Hub: Four properties with known tungsten mineralization, consolidated under single ownership for the first time, creating district-scale exploration and development potential. Pathway to Near-Term Production: Underground rehabilitation at Talisman and Tungsten Ridge provides direct access to known mineralization, while surface exploration creates the opportunity to expand it.
Legal Disclaimer / Except for the historical information presented herein, matters discussed in this article contains forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Winning Media is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. For making specific investment decisions, readers should seek their own advice. Winning Media is only compensated for its services in the form of cash-based compensation. Pursuant to an agreement Winning Media has been paid three thousand five hundred dollars for advertising and marketing services for Blue Moon Metals by Blue Moon Metals. We own ZERO shares of Blue Moon Metals. Please click here for full disclaimer.
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