How Metallium’s US$10.1M Deal Could Transform Critical Metals Recovery

Strategic Partnership to Boost US Critical Minerals Supply

Metallium Ltd, an Australian critical metals technology company, has taken a significant step towards commercialising its innovative Flash Joule Heating (FJH) technology in the United States. Through its wholly owned subsidiary, Flash Metals USA Inc., Metallium has executed a binding Letter of Intent (LoI) with ElementUSA, a specialist in metal recovery from industrial waste. The collaboration aims to recover gallium and scandium; two metals critical for defence, semiconductors, and advanced materials; from red mud waste at the Gramercy alumina refinery in Louisiana.

This agreement is underpinned by up to US$10.1 million in non-dilutive funding, allocated across two phases – an initial pilot stage in Texas and a subsequent scale-up at the Gramercy site. The funding supports the installation, commissioning, and operation of FJH units, with progression contingent on performance milestones. Metallium’s Managing Director Michael Walshe highlighted the strategic importance of this partnership, noting it aligns with broader US efforts to build sovereign critical minerals processing capabilities.

Innovative Technology Meets Industrial Scale Potential

Metallium’s Flash Joule Heating technology offers a low-carbon, high-efficiency method to extract valuable metals from complex feedstocks like red mud; a byproduct of alumina refining. The Gramercy refinery, the only operating alumina refinery in the US, holds an estimated 30 million tonnes of red mud, presenting a substantial resource for recovery efforts. The collaboration with ElementUSA leverages their metallurgical expertise and R&D capabilities at the Critical Resource Accelerator in Texas, aiming to demonstrate and validate the technology’s commercial viability.

The commercial framework established in the LoI includes technology licence fees for future plants, throughput-based processing fees estimated between US$15 and US$40 per tonne, and a revenue share on metal sales. While the red mud feedstock has not been independently verified for metal content, the agreement sets a scalable pathway for Metallium to generate recurring revenue streams and expand its footprint in urban mining and mineral processing.

Positioning for Growth and Market Impact

This deal marks a pivotal evolution for Metallium from a technology developer to a revenue-generating processor with significant growth potential. By securing access to a strategic site with deep-water port facilities and embedding itself within the US critical minerals supply chain, Metallium is well positioned to capitalize on increasing demand for gallium and scandium. The partnership also diversifies Metallium’s commercial opportunities beyond traditional mining, creating a competitive moat through proprietary technology and long-term commercial agreements.

Looking ahead, Metallium and ElementUSA will focus on finalising definitive agreements and advancing installation and testing phases. Success in these stages could pave the way for broader deployment of FJH technology across multiple feedstocks, reinforcing Metallium’s role in the emerging domestic critical metals processing landscape.