Tungsten West and Elmet Group sign $1.8 billion tungsten supply deal

Tungsten West and Elmet Group have entered into a binding eight-year supply and offtake agreement valued at over £1.4 billion ($1.8 billion) at prevailing market prices. Under the deal, Tungsten West will supply more than 1,000 tonnes of tungsten concentrate (WO3 equivalent) annually from the Hemerdon mine in Devon, UK.

The material will be processed into ammonium paratungstate (APT) and other intermediate products to support manufacturing supply chains in the United Kingdom and the United States. This agreement aims to secure long-term access to critical raw materials for defense and clean energy sectors within allied nations.

The deal follows strategic interest from the UK Government, including an investment of up to £71 million from the National Wealth Fund into Tungsten West. The Hemerdon mine, which historically supplied tungsten for military efforts during both World Wars, is positioned as a strategically important source for the Western world.