Perpetua Resources Gets Up to $40M Army Grant for Tungsten Supply

Perpetua Resources has secured a funding agreement worth up to $40 million from the U.S. Army to advance domestic tungsten exploration and production, adding a second critical mineral focus to its existing program, the company announced. The agreement was reached through the Defense Ordnance Technology Consortium, a contracting vehicle used by the Pentagon to accelerate development of materials essential to national security.

The funding will support drilling operations, metallurgical test work, and construction of a decline — an underground access tunnel — into a deposit known as Hangar Flats, where high-grade tungsten resources are believed to be located. Tungsten is a dense, heat-resistant metal used extensively in armor-piercing ammunition, missile components, and other military hardware, making domestic sourcing a strategic priority for the Department of Defense.

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The award represents a significant expansion of Perpetua's role as a supplier of critical minerals to the U.S. government. The company has already been engaged in efforts to revive domestic antimony and gold production, and the tungsten agreement adds a second pillar to that mission. Pentagon officials have increasingly sought to reduce American dependence on foreign sources — particularly China, which dominates global tungsten output — for materials deemed essential to defense readiness.

Analysts note that funding agreements routed through defense consortiums like the Defense Ordnance Technology Consortium allow the military to move faster than traditional procurement channels, underscoring the urgency the government places on reshoring critical mineral supply chains. Perpetua's Hangar Flats project, if successfully developed, could contribute meaningfully to reducing that vulnerability over the coming years.

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