Short Seller Claims Rejected as IperionX Faces Production and Funding Risks
IperionX rebuffs short seller claims by highlighting robust US government support and accelerating titanium production scale-up in Virginia. The company secures over $59 million in funding and advances critical minerals projects toward commercial readiness.
- IperionX rejects short seller report, citing no prior engagement
- Over $59 million awarded by US Department of War for titanium production
- Virginia facility capacity increased from 125 to 200 metric tons per annum
- Titan Critical Minerals Project advancing toward shovel-ready status by mid-2026
- Strong commercial pipeline with defense and automotive contracts
IperionX Responds to Short Seller Allegations
IperionX Limited has firmly rejected the recent short seller report issued by Spruce Point Capital, emphasizing that no prior communication or site visits were made by the short seller before the report's release. The company underscores its commitment to transparency and compliance with continuous disclosure obligations under ASIC, ASX, and SEC regulations.
Strong Validation and Government Support
Central to IperionX's defense is the extensive validation of its patented titanium technologies through multiple U.S. government programs. These include awards from the Department of War totaling over US$59 million, spanning initiatives such as the Defense Production Act Title III, the Industrial Base Analysis & Sustainment program, and a significant US$99 million SBIR Phase III contract with the U.S. Army. Such funding reflects rigorous technical due diligence and highlights the strategic importance of IperionX's technology for the U.S. titanium supply chain.
Advancing Titanium Production Capacity
IperionX reports that its Virginia Titanium Manufacturing Campus has completed commissioning, with titanium products progressing through customer qualification stages. Recent operational improvements have increased the facility's nameplate capacity from 125 to 200 metric tons per annum, with plans underway to scale production to approximately 1,400 metric tons per annum by mid-2027. This expansion is co-funded by the Department of War and supported by secured IBAS funding commitments.
Progress on Critical Minerals and Commercial Pipeline
The Titan Critical Minerals Project in Tennessee is advancing toward shovel-ready status, supported by a Definitive Feasibility Study funded by the U.S. government and expected to complete by mid-2026. This project aims to supply rare earths, titanium, and zircon critical minerals, enhancing U.S. mineral security. Meanwhile, IperionX maintains a robust commercial pipeline with over 200 NDA-backed opportunities and active programs across defense, automotive, and aerospace sectors. Notable contracts include a Ford automotive program valued at approximately US$11 million and titanium fastener production for the U.S. Army.
Financial Position and Risk Considerations
Financially, IperionX holds US$79.2 million in cash and equivalents as of September 30, 2025, with additional funding capacity exceeding US$97 million under the SBIR Phase III contract. The company acknowledges inherent risks in scaling large-scale titanium production but remains focused on executing its strategic objectives while maintaining compliance with disclosure requirements.
Bottom Line?
With strong government backing and expanding production, IperionX is poised to reshape the US titanium supply chain; next steps will test its commercial momentum.
Questions in the middle?
- How soon can IperionX achieve the targeted 1,400 metric tons per annum capacity in Virginia?
- What are the financing plans and timelines for advancing the Titan Critical Minerals Project beyond DFS?
- How will evolving defense and automotive contracts impact revenue visibility and growth?
