The Department of Defense awarded $10 million to Elk Creek Resources Corporation (ECRC), a subsidiary of NioCorp Developments Ltd., under Title III of the Defense Production Act to advance a domestic scandium supply chain. ECRC is developing what the DoD describes as the United States’ first polymetallic deposit targeting near-term production of scandium, niobium, titanium, and other critical minerals at its Elk Creek Critical Minerals Project near Elk Creek, Nebraska. The award, announced August 5, 2025, will fund completion of feasibility study-level engineering, additional reserve drilling, and updated cost estimates, and will support integration of aluminum-scandium alloys into aerospace platforms in conjunction with a defense prime contractor.
What it means
The DoD said the last recorded scandium mining in the United States occurred in 1969 and that substantially all current scandium production now occurs in China. Acting Assistant Secretary of Defense for Industrial Base Policy Dr. Vic Ramdass said scandium alloys are increasingly replacing titanium and legacy aluminum alloy components in DoD systems “due to their superior lightweight, high-strength characteristics,” and that geological scarcity and limited production infrastructure drive industrial shortages. Acting MCEIP Director William “Greg” Davis said DPA Title III investments of this kind are “key for reducing the U.S. defense industrial base’s dependence on foreign sources for critical minerals.” The award supports Executive Order 14241, signed March 20, 2025, directing immediate measures to increase American mineral production.
The ECRC award is one of ten awards made by the DoD’s DPA Purchases Office since the beginning of fiscal year 2025. Those ten awards total $336.4 million in government funding, with recipient cost shares of $88 million over the same period. The DPA Purchases Office is overseen by the Manufacturing Capability Expansion and Investment Prioritization directorate.
Key facts
- Award: $10 million to Elk Creek Resources Corporation via Defense Production Act Title III
- Recipient: ECRC, a subsidiary of NioCorp Developments Ltd., located near Elk Creek, Nebraska
- Funds will cover feasibility study-level engineering, additional reserve drilling, and updated cost estimates for the Elk Creek Critical Minerals Project
- ECRC will advance aluminum-scandium alloy integration into aerospace platforms with a defense prime contractor
- Last recorded U.S. scandium mining: 1969; substantially all current production occurs in China, according to DoD
- Supporting authority: Executive Order 14241, signed March 20, 2025
- Total DPA Purchases Office awards since start of FY 2025: 10 awards totaling $336.4 million
- Total recipient cost shares since start of FY 2025: $88 million
Source: U.S. Department of Defense news release (war.gov)