Pakistan Sends First Batch Of Rare Earth Elements To US In $500 Million Deal

Pakistan has shipped its first batch of enriched rare earth elements and critical minerals to the United States, kicking off a $500 million partnership signed last month.

The shipment, which was delivered to U.S. Strategic Metals (USSM) on Thursday, is expected to bring about a significant shift in the Pakistan-U.S. relationship.

A $500 million Memorandum of Understanding (MoU) was signed in September between Pakistan's Frontier Works Organisation (FWO) and USSM, a Missouri-based company, to establish a poly-metallic refinery in Pakistan. 

Pakistan's Prime Minister Shehbaz Sharif praised the event as a step toward establishing secure and diversified supply chains that benefit both countries.

Stacy W. Hastie, CEO of USSM, described this as the first step toward supplying critical minerals to the United States while enhancing economic ties and fostering friendship between the two nations.

The inaugural shipment contained antimony, copper concentrate, and rare earth elements, including neodymium and praseodymium, the countries said in a statement.

US Boosts Critical Minerals Supply For Security, Growth

The U.S. has been taking steps to strengthen its domestic critical minerals supply chain and reduce dependence on China. In August 2025, the Department of the Interior proposed a significant overhaul of its critical minerals list, adding six new commodities, including copper and silver. This was seen as vital to national security and economic stability.

Furthermore, the U.S. Department of Energy announced a plan to issue nearly $1 billion in funding to scale mining, processing, and manufacturing for critical minerals and materials. This move was in line with President Trump’s Unleashing American Energy executive order, which aimed to strengthen domestic supply chains essential for energy, defense, and industrial competitiveness.

Rare Earth Stocks In Focus

Micro-cap explorer Lithium Corp (OTC:LTUM), valued at just $5 million, announced a significant find at its British Columbia fluorspar project, revealing enriched deposits of neodymium, dysprosium, and other rare earth elements. The news sent its shares soaring over 900% to close at $0.44 on Thursday.

Meanwhile, USA Rare Earth Inc. (NASDAQ:USAR) will acquire U.K.-based Less Common Metals to accelerate its mine-to-magnet strategy, creating an end-to-end rare earth supply chain and supporting its planned magnet manufacturing facility in Oklahoma.

READ NEXT:

• A Cautionary Tale For Investors: China Rare Earth Holdings

Image via Shutterstock

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.