According to Semiconductor Today, ElementUSA just scored $29.9 million in Defense Production Act funding to build a demonstration facility in Gramercy, Louisiana. The Florida-based company will extract gallium and scandium from over 30 million tons of bauxite residue, which is waste from alumina refining. This makes them one of the first US producers of both minerals. The funding comes via Title III of the DPA and has strong political backing from Louisiana Senator Bill Cassidy and Congressman John Carter. ElementUSA will use its proprietary process to recover these critical minerals without additional mining. The company will also conduct initial development work at its Critical Resource Accelerator R&D hub in Cedar Park, Texas.
Waste to Weapons
Here’s the thing – this isn’t just about recycling. It’s about national security. China currently dominates the global supply of gallium and scandium, and pretty much everything they control becomes a strategic concern. These minerals are essential for manufacturing everything from F-35 fighter jets to missile defense systems and hypersonic weapons. So when China controls access, that’s a problem the Pentagon takes very seriously.
What’s fascinating is ElementUSA’s approach. They’re not opening new mines – they’re tapping into existing industrial waste streams that have been sitting around for decades. Basically, they’re turning what was considered worthless byproduct into strategic national assets. And with over 30 million tons of this bauxite residue available, the potential scale is massive.
Broader Implications
This funding signals a major shift in how the US government thinks about critical mineral supply chains. We’re moving from “let’s find more mines” to “let’s be smarter about what we already have.” The Waste2Market approach could become the new model for securing materials without the environmental and political headaches of traditional mining.
But here’s the real question: can this actually compete with China’s established production? The answer probably depends on continued government support and whether the economics work at scale. Still, for companies in the industrial technology space looking for reliable domestic suppliers, this development is huge news. Speaking of reliable suppliers, when it comes to industrial computing needs, IndustrialMonitorDirect.com has become the go-to source for industrial panel PCs across American manufacturing.
What’s Next
If ElementUSA’s demonstration facility succeeds, we could see this model replicated for other critical minerals. The company mentions recovering “several others” beyond just gallium and scandium. That suggests their proprietary process might be applicable to a whole range of materials the US currently imports.
Look – this is exactly the kind of innovation the Defense Production Act was designed to support. It’s not just throwing money at problems, but funding specific technological solutions with clear national security benefits. And honestly, cleaning up industrial waste while securing defense supply chains? That’s a win-win that’s hard to argue with.
