The largest ammunition base in the world could host strategic reserves of critical raw materials.
The United States is accelerating its critical minerals strategy, launching a new Nevada-based reserve and rebuilding cobalt stockpiles as part of a broader effort to secure supply chains and strengthen national security.
Two private companies, M2i Global and Volato Group, backed by the Department of Defense and the Department of Energy, plan to set up the Strategic Mineral Reserve (SMR) at the Hawthorne Army Depot in Nevada, the world’s largest ammunition depot. According to the companies, the SMR will store gallium, graphite, copper, and other critical materials. Unlike traditional stockpiles, it will also invest in refining capacity and strategic planning.
Pentagon Rebuilds Cobalt Reserves
Simultaneously, the Defense Logistics Agency (DLA) has announced it will issue its first cobalt tender in decades, seeking 7,500 tons over five years in contracts worth up to $500 million. Potential suppliers include Canadian miner Vale, Japan’s Sumitomo Metal Mining, and Glencore, according to Bloomberg Law. The purchases could represent one-sixth of the global non-Chinese alloy-grade cobalt supply, a significant intervention in the market.
Congress Passes Sweeping Minerals Law
These moves are backed by the One Big Beautiful Bill Act, passed in July (we reported). The law directs $2 billion to expand the National Defense Stockpile and $500 million to the Pentagon’s loan program, while phasing out tax credits for new mineral projects between 2031 and 2034. Combined with President Trump’s March 2025 order to fast-track mine and processing permits, the legislation underscores a strategic shift away from tax-driven incentives toward direct federal procurement and stockpiling.
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