USA Rare Earth Selects Fluor and WSP as EPCM Partners to Advance Round Top Commercialization
MWN-AI** Summary
USA Rare Earth, Inc. (Nasdaq: USAR) recently announced the selection of Fluor Corp. and WSP Global Inc. as its Engineering, Procurement, and Construction Management (EPCM) partners for the Round Top Rare Earth Project in Sierra Blanca, Texas. This partnership aims to facilitate the project's Definitive Feasibility Study (DFS), crucial for advancing toward commercial production.
Fluor and WSP are esteemed leaders in mining, processing, and infrastructure delivery, bringing a wealth of experience in executing complex, high-value projects globally. Their selection follows a detailed evaluation of multiple bids, showcasing their capability to provide substantial technical and engineering support for the Round Top project. To expedite the process, USAR is adopting an Accelerated Mine Plan, starting with a first phase of the DFS, leveraging data from ongoing solvent extraction (SX) pilot work conducted in Wheat Ridge, Colorado. This initial phase will encompass elements typically outlined in a Pre-Feasibility Study.
Additionally, the demonstration plant in Wheat Ridge is set to operate for 2,000 continuous hours, with completion anticipated by October 2026. Data from this operation will inform the second phase of the DFS. Concurrently, confirmatory and geotechnical drilling at Round Top is planned for the first half of 2026, alongside a heap leach optimization study.
Alex Moyes, PhD, USA Rare Earth's Vice President of Mining & Processing, emphasized the importance of these partnerships in delivering a reliable domestic supply of heavy rare earth elements, crucial for various technology sectors. With the goal of achieving commercial production by late 2028, these efforts signify a strategic movement to bolster the U.S. rare earth value chain amid increasing demands for sustainable domestic resources.
MWN-AI** Analysis
The recent selection of Fluor Corp. and WSP Global Inc. as Engineering, Procurement, and Construction Management (EPCM) partners by USA Rare Earth (USAR) for its Round Top Rare Earth Project presents a significant advancement for the company, particularly in a sector that is becoming increasingly crucial for technology and defense. With these partnerships, USAR is positioning itself to leverage the extensive expertise and technical resources of these respected firms to expedite the project's development timeline while adhering to industry standards.
Investors should consider the strategic implications of the Accelerated Mine Plan, which allows USAR to leverage pilot study results for the first phase of its Definitive Feasibility Study (DFS). This approach minimizes delays while generating critical data, ensuring a disciplined evaluation of the project. Furthermore, the company's commitment to operational excellence, demonstrated through its ongoing demonstration plant operations in Colorado, serves as a positive signal of its operational capabilities.
As USAR pursues commercial production of heavy rare earth elements targeted by late 2028, it is essential to monitor not just the operational milestones but also the broader geopolitical context. The move towards securing a domestic supply of critical materials amidst fluctuating international trade dynamics positions USAR strategically within the market. Moreover, with the potential for increasing demand in sectors such as renewable energy and advanced manufacturing, the timing aligns well with global trends emphasizing sustainability and technological independence.
However, investors should remain vigilant about the risks outlined in USAR's forward-looking statements. The uncertainties around cost overruns, market competition, and the necessity for further capital should not be underestimated. While the developments are promising, a cautious investment approach reflecting the potential volatility in rare earth markets will be prudent. Continuously evaluating performance metrics and staying updated on execution timelines will be crucial for navigating this evolving landscape.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
STILLWATER, Okla., Jan. 22, 2026 (GLOBE NEWSWIRE) -- USA Rare Earth, Inc. (Nasdaq: USAR) (USAR or the Company) today announced the selection of Fluor Corp., along with WSP Global Inc., as its Engineering, Procurement and Construction Management (EPCM) partners to advance the Definitive Feasibility Study (DFS) for the Round Top Rare Earth Project in Sierra Blanca, Texas.
Fluor and WSP are globally recognized leaders in mining, processing, and large-scale infrastructure delivery, with experience executing complex, multi-year projects totaling tens of billions of dollars across North America and internationally. Their selection, following a thorough evaluation of bids from multiple vendors, brings substantial technical, engineering, and execution capabilities to Round Top, supporting an accelerated and disciplined path toward commercial production.
To move the Round Top project forward more quickly while maintaining required technical standards, USAR is following an Accelerated Mine Plan. As part of this plan, the Company intends to complete the first phase of its Definitive Feasibility Study (DFS) using results from its solvent extraction (SX) pilot work, which is already underway at the company’s facility in Wheat Ridge, Colorado. This first phase will cover the same scope typically addressed in a Pre-Feasibility Study.
At the same time, the Company plans to operate its demonstration plant in Wheat Ridge, Colorado for at least 2,000 continuous hours, with operations currently expected to conclude in October 2026. Data generated during this run will be used to complete the second phase of the DFS.
In parallel, USA Rare Earth plans to carry out confirmatory and geotechnical drilling at Round Top in the first half of 2026, along with a heap leach optimization study, to support mine design and engineering. Together, these efforts are intended to support progress toward commercial production of heavy rare earth oxides, currently targeted for late 2028.
“Fluor and WSP are key partners with the experience and expertise required to move Round Top toward commercial delivery,” said Alex Moyes, PhD, Vice President of Mining & Processing at USA Rare Earth. “Their teams know how to deliver complex mining and processing projects, and that matters as we work to bring a secure, domestic supply of heavy rare earth elements, inclusive of yttrium, into production, along with critical technology metals such as hafnium, zirconium, and gallium. This is another step toward strengthening the U.S. rare earth value chain at a time when reliability and resilience are increasingly important.”
About USA Rare Earth
USA Rare Earth, Inc. (Nasdaq: USAR) is creating a fully integrated ex-China rare earth and permanent magnet value chain. Through its ownership of Less Common Metals (LCM), one of the world's leading producers of rare earth metals and alloys, and its development of magnet manufacturing capacity in Stillwater, Oklahoma, USAR operates across the entire value chain from heavy rare earth processing to metal-making, alloy production, and neodymium magnet manufacturing. By combining domestic feedstock from the Round Top deposit with advanced processing technologies, recycling capabilities, and a growing European industrial footprint, USAR is establishing a secure, sustainable, Western-aligned supply of materials essential to defense, electrification, robotics, renewable energy, and advanced manufacturing industries.
Forward-looking Statements
Certain matters discussed in this press release are or contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. These statements, which involve risks and uncertainties include statements relating to the development of the Round Top deposit, including without limitation expectations for future development, operations, business strategies, financial performance, and sales and customers. Such statements can be identified by the fact that they do not relate strictly to historical or current facts. Words such as "anticipate", "believe", "can", "continue", "could", "estimate", "expect", "forecast", "intend", "may", "might", "plan", "possible", "potential", "predict", "project", "seek", "should", "strive", "target", "will", "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from our expectations. These risks and uncertainties include, but are not limited to: (1) the risk that the development of the Round Top deposit will be more costly or difficult than expected; (2) the risk that the expected production from the Round Top may not be fully realized or may take longer to realize than expected; (3) the risk that the significant long-term and inherently risky investments that USAR and LCM are making in mining and manufacturing facilities may not realize a favorable return; (4) the risk of litigation related to the development of the Round Top deposit; (5) USAR's ability to generate customers for the Round Top deposit’s production and source suppliers for various engineering and equipment needs; (6) USAR's ability to successfully develop its metal making and magnet production facility and the timing of expected production milestones which will utilize feedstock from the Round Top deposit; (7) competition in the rare earth mining and processing industry; (8) the ability to grow and manage growth profitably; (9) the ability to attract and retain management and key employees; (10) the overall supply and demand for rare earth minerals; (11) the timing and amount of future production; (12) the costs of production, capital expenditures and requirements for additional capital, including the need to raise additional capital to implement USAR's strategic plan; (13) substantial doubt regarding the Company's ability to continue as a going concern for the twelve months following the issuance of its third quarter 2025 Condensed Consolidated Financial Statements; (14) the timing of future cash flow provided by operating activities, if any; (15) the risk that the Round Top deposit might not be able to be commercially mined and the Company's ongoing exploration programs may not result in the development of profitable commercial mining operations; (16) the uncertainty in any mineral estimates, uncertainty in any geological, metallurgical, and geotechnical studies and opinions; (17) fluctuations in transportation costs or disruptions in transportation services or damage or loss during transport; and (18) other risks and uncertainties described under the heading "Risk Factors" in USAR's periodic filings with the SEC, including the Company's Form 10-K that the Company filed with the SEC on March 31, 2025 and the Company's latest Quarterly Reports on Form 10-Q filed with the SEC. Detailed information regarding factors that may cause actual results to differ materially has been and will be included in the Company's periodic filings with the SEC, including the Company's Form 10-K that the Company filed with the SEC on March 31, 2025 and the Company's latest Quarterly Reports on Form 10-Q filed with the SEC. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors. Any forward-looking statements speak only as of their date, and USAR undertakes no obligation to update any forward-looking statements to reflect events or circumstances occurring after their date or to reflect the occurrence of unanticipated events.
Investor Relations Contact
Lionel McBee
VP, Investor Relations
IR@usare.com
Media Relations Contacts
Teneo
USARareEarth@teneo.com
FAQ**
How will the partnership with Fluor Corp. and WSP Global Inc. impact the timeline for the Definitive Feasibility Study (DFS) for USA Rare Earth Inc. Warrant USARW, and what specific milestones do you anticipate achieving in the upcoming phases?
Given the complexities involved, how does USA Rare Earth Inc. plan to mitigate risks associated with the development of the Round Top deposit while managing investor expectations for the USA Rare Earth Inc. Warrant USARW?
What role do you foresee the operations at the demonstration plant in Wheat Ridge, Colorado, playing in the overall feasibility and success of the Round Top project, particularly in relation to the USA Rare Earth Inc. Warrant USARW?
How does USA Rare Earth Inc. intend to address potential competition in the rare earth mining sector to ensure the success of the Round Top project and the value of the USA Rare Earth Inc. Warrant USARW moving forward?
**MWN-AI FAQ is based on asking OpenAI questions about USA Rare Earth Inc. Warrant (NASDAQ: USARW).
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