United States Antimony Corporation ("USAC," "US Antimony," the "Company"), (NYSE American:UAMY)(NYSE Texas:UAMY), which operates North America's only two antimony smelters that have been processing antimony for decades, today announced that it has been awarded an Indefinite Delivery Indefinite Quantity (IDIQ) sole-source contract by the U.S. Defense Logistics Agency (DLA) Strategic Materials (the program manager for the National Defense Stockpile [NDS]) for up to $245 Million. The new contract is for the purchase of antimony metal ingots to aid in the replenishment of the NDS. After a lengthy period of contract negotiations this year, the final contract has been executed and officially awarded to USAC.
This contract represents the next phase of a deepening collaboration between USAC and the DoD/DLA, which began accelerating in late 2024. Fulfillment on this contract will begin upon first delivery order anticipated this week, as both of USAC's North American smelting facilities already have the capability to produce antimony metal ingots that meet the government's stringent required specifications.
USAC continues to expand its sources for procuring antimony ore feedstock from countries around the world, along with the development of its own antimony-bearing mineral acreage positions located in the states of Alaska and Montana. Mining operations on USAC's domestic acreage in Alaska, which began several weeks ago, indicates a high grade and concentration of antimony that is expected to enable highly efficient processing and contribute in the near future to the domestic supply chain of antimony and antimony products - including MIL SPEC antimony trisulfide, while at the same time being an efficient, low-impact operation.
After analyzing many different samples of antimony ore received from various countries around the world, including those also recovered from within the continental U.S., we don't believe the low quality of those antimony ores controlled by others will meet the stringent requirements of our U.S. Military. Additionally, all of these potential competing antimony sources are at best, over three years away from actual commercial production in any relevant quantities.
USAC Chairman and CEO, Gary C. Evans commented, "It's incredibly meaningful for all our employees to play such a strategic role in strengthening our nation's defense readiness and having the knowledge, expertise, and history that USAC can and will deliver under our contractual obligations. This is the kind of knowledge that is only gained through decades of execution and know-how. USAC has some of the most experienced antimony chemists/metallurgists and other professionals on its team in the global landscape. Two people on our team that I wish to highlight today are our SVP of Corporate Development & Government Relations, Melissa Pagen, and the President of our Antimony Division, Gus Gustavsen. Melissa's shepherding of this contract from beginning to completion was tireless. Her meticulous oversight and commitment to excellence ensured every stage of the process and allowed advancement to a successful close for all parties involved. The antimony expertise of Gus plays a critical role in why this is a sole source contract. Gus is recognized as a Subject Matter Expert in antimony processing, with over five decades of experience under his belt in all facets of the antimony supply chain. This expertise is a significant reason why USAC preserved and remained viable despite several depressed years of antimony prices. It is also the reason we can say we are the only fully integrated antimony operation, outside of China. To put this in proper context, we have successfully won a sole-sourced long-term contract from the U.S. Government for approximately $245 million, while our total reported revenues for 2024 were $14.9 million."
Source: www.accessnewswire.com
Aleksei Andrievskii is the founder of the ANDRIEVSKII SEA WEALTH family office in Cyprus, a member of the advisory board at Bendura Bank AG, Liechtenstein