DOD and NRCan invest in advancing Fireweed Metals' Mactung mine project, supporting North America's critical mineral needs.

In a strategic bid to establish secure and reliable North American supplies of minerals critical to defense and the broader economy, the U.S. Department of Defense and Canadian government are jointly investing up to US$27.3 million (C$35.4 million) to aid Fireweed Metals Corp. in advancing the Mactung tungsten mine project in eastern Yukon toward a final investment decision, as well as the infrastructure needed to unlock the company's broader critical minerals district along the Yukon-Northwest Territories border.

Rising global demand and geopolitical tensions have prompted the U.S. and Canada to jointly and independently invest in domestic mineral production and processing, reducing reliance on imports and bolstering supply chains vital to economic growth, technology, and defense.

China's recent export bans on gallium, germanium, and antimony have heightened these concerns.

Under the expanding partnership between DOD and the Canadian government, several Canadian companies have received significant funding to strengthen North America's critical minerals supply chains.

Electra Battery Materials Corp. secured US$20 million (C$27.3 million) from DOD to complete its Ontario Cobalt Refinery, while Fortune Minerals Ltd. received joint investments of US$6.4 million (C$8.7 million) from both governments to advance its NICO cobalt-gold-bismuth-copper project in Northwest Territories.

These collaborations exemplify a coordinated effort to mitigate reliance on foreign sources, particularly China and Russia, while bolstering economic growth and supply chain resilience across the continent.

Marking a critical move in potentially securing North American supplies of tungsten, as well as other minerals critical to both countries, the latest U.S.-Canada collaboration will see DOD award up US$15.8 million (C$22.5 million) in Defense Production Act (DPA) Title III funding to advance Mactung toward a final investment decision; and up to C$12.9 million (US$9.9 million) from the Canadian government, through the Critical Minerals Infrastructure Fund (CMIF), to lead planning for road and power to support the additional critical minerals assets at Fireweed's flagship Macmillan Pass project.

"The coordinated investments by the United States and Canadian governments underscore the critical importance and strategic value of Fireweed's mineral assets at Macmillan Pass," said Fireweed Metals President and CEO Peter Hemstead. "This joint announcement is a testament to the determination of both governments to unlock this new critical minerals district in Canada."

Fireweed Metals Corp.

Map of Fireweed Metals' Macpass and Mactung projects in eastern Yukon, Canada.

A resource calculation released earlier this year for Macpass estimates the project to host roughly 56 million metric tons of indicated resource averaging 5.49% zinc (6.78 billion pounds), 1.58% (1.95 billion lb) lead, and 24.2 grams per metric ton (43.54 million ounces) silver.

This category refers to mineral deposits with enough evidence to estimate their size and quality, though further studies are needed to determine if they can be mined economically.

Macpass hosts an additional 48.49 million metric tons of inferred resource averaging 5.15% zinc (5.5 billion lb), 2.08% lead (2.23 billion lb), and 25.3 g/t silver (39.42 million oz), which represents mineralization estimated with less confidence due to limited sampling and geological data.

While not as advanced as the Macmillan Pass project, the adjacent Mactung project boasts its own robust resource calculation, with an estimated 41.5 million metric tons of indicated resource, encompassing both underground and open-pit settings, with an average grade of 0.73% (665 million lb) tungsten trioxide.

Additionally, it holds 12.3 million metric tons of inferred resource, also spanning underground and open-pit areas, averaging 0.59% (158.7 million lb) tungsten trioxide.

Such impressive figures position Mactung as a strong contender for the title of the world's largest high-grade tungsten deposit, reinforcing its strategic importance for North America's critical mineral supply chains.

According to Fireweed, the side-by-side Macpass and Mactung projects are also known to host the largest known accumulation of germanium and gallium on Earth.

"In the coming months and years, our team will work to ensure our projects and the enabling infrastructure move forward in a way that respects rights-holders, provides benefits to communities in the region, and demonstrates how critical minerals can be developed responsibly," said Hemstead.

Abundant critical minerals

It is the abundance of these critical minerals at the heart of the Macmillan Pass district – zinc, lead, silver, tungsten, germanium, and gallium – that has most likely drawn the collaborative investments from DOD and the Canadian government.

The focus on the district arises from its potential to mitigate supply chain vulnerabilities and reduce North America's reliance on imported critical minerals, offering a stable domestic supply for clean energy, defense, and other sectors of the economy.

Essential for corrosion-resistant steel, zinc supports renewable energy infrastructure like wind turbines and advanced batteries, while lead is critical for energy storage and radiation shielding in electric grids and defense systems.

Renowned for its conductivity, silver enhances solar panel efficiency, electric vehicle technologies, and advanced defense electronics, while tungsten's exceptional density and heat resistance make it vital for aerospace components, high-temperature equipment, and military-grade munitions.

Crucial for semiconductors, gallium enables advanced electronics, solar cells, and LED technologies, while germanium supports high-performance optics, fiber optics, and infrared systems for telecommunications and defense.

Together, these minerals address vulnerabilities in North America's industrial base and reinforce efforts to transition to clean energy and enhance national security.

"Canada is positioning itself as a global supplier of responsibly sourced critical minerals, which are increasingly in demand for the clean and digital economy as well as for defense applications," said Canada Minister of Energy and Natural Resources Jonathan Wilkinson. "The Fireweed project will develop the necessary energy infrastructure to power multiple critical minerals mines and communities with clean energy."

With the secured funding, Fireweed's team aims to advance the Mactung tungsten project toward a final investment decision, a crucial step where the project transitions from planning to construction.

At the same time, the team will spearhead the planning for critical regional infrastructure improvements, including road and power development, which are expected to benefit not only Mactung but also the broader Macmillan Pass district, enhancing access and unlocking the full potential of its rich critical mineral resources.

"These investments by Canada and the United States build on our long history of friendship and collaboration, complement the region's deep expertise in mining, create good jobs in the Yukon and advance economic growth, now and into the future," said Wilkinson.