This Little-Known Metal Just Exploded 200%: Two Strategic Plays in Antimony

Antimony, a silvery-white metalloid, might not feature prominently in everyday conversations, yet it serves a crucial role in modern industries, particularly in military technology, batteries, and semiconductors. Recently, a global antimony crisis has emerged, driven by soaring demand that far outweighs supply. A strategic focus on antimony is becoming increasingly necessary, especially given that China currently controls the majority of the world’s antimony resources. As the West seeks to establish independence from this reliance, two companies stand out as potential beneficiaries of this looming supply crisis.

1. Military Metals (CSE: MILI, OTCQB: MILIF)

Canadian junior miner Military Metals has wasted little time in tapping into the growing demand for antimony. The company has made significant strides across two continents—Europe and North America—to secure what it hopes will be valuable antimony assets, potentially diminishing China’s dominance in this crucial market.

Recently, Military Metals announced the acquisition of one of Europe’s largest antimony deposits located in Slovakia, which possesses historical resources. One property of note is Trojarova, a Soviet-era deposit that was first discovered in the 1950s. Previous exploration efforts halted before reaching the richest sections of the deposit, indicating potential left unchecked. Military Metals CEO Scott Eldridge posits that further exploration could yield substantial results, a sentiment backed by the historical potential of the site.

The company is not just stopping in Europe. In a smart move, it also acquired the West Gore Antimony Project in Nova Scotia, Canada—recognized as one of the largest antimony mines and a historically significant contributor to the United States during World War I. Early drilling results indicated impressively high grades, reporting over 7 meters of 10.6 gpt gold and 3.4% antimony. The strategic maneuvers to consolidate and expand claims around West Gore put Military Metals in a strong position within this burgeoning market.

With antimony prices already doubling this year and expectations of supply shortages worsening, Military Metals could potentially emerge as a major player in developing this strategically important resource, thus assisting the West in safeguarding its interests in global military and technological advancements.

2. Perpetua Resources (NASDAQ: PPTA)

Turning our attention to the United States, Perpetua Resources operates the Stibnite Gold Project in Idaho, which is on track to become the country’s only domestic source of antimony. Not only is Stibnite one of the largest open-pit gold mines in the U.S., but it is also expected to supply approximately 35% of U.S. antimony needs within its first six years of production—a critical step in reducing dependence on foreign supplies.

Perpetua has garnered attention not just for its resource potential but also for the substantial government backing it has received. Earlier this year, the Department of Defense awarded the company up to $34.6 million under the Technology Investment Agreement tied to the Defense Production Act. Additionally, the U.S. Export-Import Bank has expressed interest in providing a $1.8 billion loan to support the development of the Stibnite mine. This notable financing, if approved, would represent one of the largest investments the U.S. government has made in mining.

Furthermore, the Pentagon has committed nearly $60 million already for expediting the mine’s permitting process. Such robust federal support highlights the project’s significance in establishing a secure domestic supply chain for antimony, particularly in the current geopolitical climate.

With a final permit expected soon and bipartisan support solidifying its path forward, Perpetua represents a compelling investment opportunity. Analysts are taking notice; just a month ago, Roth MKM raised its price target for the stock to $15, suggesting a substantial upside as the company approaches production. The high institutional interest along with its potential for environmental restoration aligns Perpetua Resources with broader U.S. strategic and environmental goals, further solidifying its long-term value.

Conclusion

Both Military Metals and Perpetua Resources are positioned strategically within the rising demand for antimony—a critical resource that underpins not only our technological advancements but also national security concerns. As the antimony market faces potential upheaval, these companies offer investors a unique opportunity to capitalize on the shift towards securing a more independent supply chain. The realities of global trade dynamics and resource control underscore the importance of tracking developments in this sector, making them worthy of serious consideration for resource-driven portfolios. Whether you are considering military applications or technological advancements, now is the time to take a closer look at antimony and the companies working to redefine its availability.