How Is IperionX Transforming US Titanium Production with $75M Government Boost?
IperionX has completed commissioning of its titanium powder and component manufacturing facilities, setting the stage for a major production scale-up backed by US Department of War funding. The company is progressing commercial contracts and advancing its critical minerals project in Tennessee.
- Commissioning of titanium powder and component manufacturing completed in Virginia
- Expansion to 1,400 tons per annum production capacity planned for 2027
- US$75 million capital investment mostly funded by US Department of War IBAS program
- Sales agreements secured with defense contractors including Carver Pump and American Rheinmetall
- Titan Critical Minerals Project DFS on track for mid-2026, targeting rare earth supply
Commissioning Milestone Achieved
IperionX Limited has successfully completed commissioning of its titanium powder production and component manufacturing equipment at its Titanium Manufacturing Campus in Virginia. This milestone marks a significant step in the company’s journey to become a leading domestic titanium producer, with advanced manufacturing capabilities now operational, including presses designed for complex titanium parts used in consumer electronics and robotics.
The company’s manufacturing footprint now includes a 100-ton uniaxial press and a dry bag cold isostatic press, with a 300-ton hydraulic press entering commissioning. These assets enable production of a broad range of titanium fasteners and components, supporting diverse sectors such as defense, automotive, and industrial manufacturing.
Scaling Up Production Capacity
IperionX is targeting a substantial increase in production capacity to 1,400 tons per annum by 2027. This expansion is underpinned by a capital investment of approximately US$75 million, the majority of which is secured through the US Department of War’s Industrial Base Analysis and Sustainment (IBAS) program. The full US$47.1 million IBAS award has now been obligated, demonstrating strong government support for establishing a resilient and low-cost titanium supply chain within the United States.
The expansion will see additional powder metallurgy presses and sintering furnaces installed, enabling IperionX to process 100% recycled scrap or domestic feedstocks into high-quality titanium powders and components. This integrated approach aims to reduce reliance on foreign imports and enhance national security through supply chain independence.
Commercial Progress and Defense Contracts
Commercial traction is building with advanced prototyping and sales agreements progressing across multiple sectors. Notably, IperionX has secured initial orders from Carver Pump for titanium naval shipbuilding components and from American Rheinmetall for lightweight titanium parts destined for US Army heavy ground combat systems. These contracts highlight the strategic importance of titanium in defence applications, where lightweighting contributes to improved vehicle performance and survivability.
Alongside custom prototyping, the company is also building inventory for mass distribution channels, including standard titanium fasteners and military-dedicated products. Achieving ISO 9001 certification further validates the quality management systems as production scales.
Advancing Critical Minerals Supply Chain
The Titan Critical Minerals Project in Tennessee remains a cornerstone of IperionX’s strategy, offering one of the largest permitted US sources of titanium, zircon, and rare earth minerals. The project is particularly significant for its high content of heavy rare earth elements such as dysprosium and terbium, essential for high-performance permanent magnets used in defence and energy sectors.
A Definitive Feasibility Study funded by the Department of War is on track for completion by mid-2026, positioning Titan as a fast-track solution to the US’s critical heavy rare earth supply deficit. The project has garnered bipartisan political support, underscoring its national strategic value.
Financial Strength and Outlook
As of December 31, 2025, IperionX held a robust cash balance of US$65.8 million, complemented by US$46.5 million in remaining government grant funding available for reimbursement. The company’s financial position supports ongoing operations and the planned production scale-up. The reimbursement model with the US government ensures that costs incurred for approved activities are repaid, mitigating capital risk.
Looking ahead, IperionX is also developing next-generation production technologies based on a patent-pending continuous process expected to reduce costs further. Pilot-scale validation is underway, with results anticipated in 2026, potentially reinforcing IperionX’s competitive edge in titanium manufacturing.
Bottom Line?
With commissioning complete and government backing secured, IperionX is poised to reshape the US titanium supply chain; next steps will reveal how swiftly it can convert potential into production.
Questions in the middle?
- How quickly can IperionX ramp production to the targeted 1,400 tons per annum in 2027?
- Will the initial defense contracts with Carver Pump and American Rheinmetall scale into long-term agreements?
- How will the continuous production technology impact cost competitiveness and market share?
