Newscasts - Critical Metals shares soar after Reuters report says US eyeing stake

Lithium Americas

06/10/2025 18:16

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Source: 'Reuters - Business videos'

Description: Shares of Critical Metals surged over 77% on Monday after Reuters reported the U.S. government was in talks to buy a stake in the miner, the latest in Washington's deal-making push to secure the supply of rare earths. Alex Cohen has more.

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Video Transcript:

Shares of the company Critical Metals more than doubled Monday morning after Reuters reported the US government was in talks to buy a stake in the miner. It would represent the latest in Washington's deal making push to secure the supply of rare earths. An agreement would give the US government a direct interest in the largest rare earths project in Greenland. A strategically important and mineral rich Arctic territory that President Donald Trump has previously suggested the US should take over. One analyst told Reuters that such a deal "would mark a significant step toward building a diversified mine to magnet supply chain independent of China." The US has been pushing to secure critical minerals and reduce reliance on China, taking stakes in producers such as Lithium Americas and MP Materials. Critical Metals applied earlier this year for a $50 million US grant, which Washington has since discussed converting into an equity stake, according to the Reuters report, which cites four sources. If finalized, that conversion would equal roughly an 8% stake. Those sources say talks remain preliminary.