Perpetual Resources and adviser GreenMet are assessing several US Government funding and financing pathways for the Nevada Scheelite tungsten project, as Washington prepares tighter defence sourcing rules. The interest is strategic, but no funding has been secured and the project remains without a Mineral Resource or Ore Reserve.
- Multiple US Government funding and financing pathways under assessment
- GreenMet engaging with defence, investment and critical minerals stakeholders
- US defence restrictions on specified foreign tungsten sources begin 1 January 2027
- Nevada Scheelite remains early stage with no Mineral Resource or Ore Reserve
- Maiden drilling planned for late 2026, subject to permitting and rig availability
US funding pathways move into focus
Perpetual Resources Limited (ASX:PEC) is trying to turn Washington’s tungsten concerns into a financing opportunity for its Nevada Scheelite project, with strategic adviser GreenMet now assessing multiple US Government funding and financing routes. Initial discussions with Government, investment and critical minerals supply-chain stakeholders have generated what the company describes as encouraging interest in the project as a potential future domestic tungsten source.
The work is centred on opportunities associated with the US Department of War and its Office of Strategic Capital, alongside initiatives administered through the US Department of Commerce. GreenMet is also speaking with strategic investors, defence and critical minerals participants, and potential downstream counterparties about investment and offtake arrangements.
Tungsten restrictions sharpen the strategic case
The timing gives the discussions a clear policy backdrop. The US has had no domestic tungsten mine production since 2015, while China accounted for about 80% of global mine output according to the company’s cited sources. From 1 January 2027, amended US defence procurement rules will restrict contractors from supplying tungsten products containing material mined, refined, separated, melted or produced in China, Russia, North Korea or Iran.
Perpetual says Nevada Scheelite’s past production, patented claims, existing shafts and more than 2,100 metres of underground development make it different from a greenfield concept. The project also has a historical database containing more than 400 drill holes, geological sections and mine plans. Those features may help its pitch to agencies seeking domestic supply, although they do not remove the technical and permitting work still required.
Historical data still needs modern validation
The project’s technical case remains prospective rather than established. A historical drill-hole review identified tungsten intervals in 22 of 42 holes reviewed at that stage, including reported intervals of 7.01 metres at 1.95% WO₃, 7.59 metres at 1.50% WO₃ and 3.81 metres at 2.01% WO₃. Perpetual says the results are unverified, true widths are unknown and they do not establish a Mineral Resource.
Perpetual also recently expanded the ground around the historic mine through a 62-claim land expansion, taking the project area to more than 15 times the original patented claim area. Maiden drilling is planned for late 2026, while the company continues historical data digitisation, 3D geological modelling, core assessment and underground work.
No government capital has been committed
The distinction between access and commitment is important. Perpetual has not announced a grant, loan, strategic investment or offtake agreement. GreenMet is still narrowing the possible pathways and determining what combination of Government support, private capital and commercial arrangements might support exploration, resource definition, metallurgical testwork, engineering and, later, construction.
The company’s stated aim is to reduce reliance on shareholder capital, but any redevelopment remains conditional on successful exploration, resource definition, technical and economic studies, permitting and financing. The next meaningful signal will be whether the current stakeholder interest produces a defined funding pathway before the planned drilling tests the project’s historic geological story.
Bottom Line?
The funding strategy is gaining strategic attention, but its value will depend on converting non-binding interest into committed capital while drilling tests whether Nevada Scheelite can support a modern resource.
Questions in the middle?
- Will GreenMet identify a specific US Government funding program or financing structure for the project?
- Can the planned late-2026 drilling validate the historical tungsten intervals and support a Mineral Resource?
- Will strategic investors or potential offtake partners commit capital before Perpetual needs to raise more shareholder funds?