Metallium Ltd (ASX: MTM) Texas Facility Scale-Up and 8000 Tpa REE Expansion

Few investors expected Metallium (ASX: MTM) to turn heads last week, yet its latest announcement from Texas highlighted some interesting notes that investors should follow closely. The company revealed a major expansion at its Gator Point Technology Campus, lifting e-waste processing capacity fivefold to 8,000 tonnes per year. That translates to roughly 1,600 tonnes of valuable mineral output annually, a sharp rise from earlier projections of just 350 tonnes.

The timing is fascinating. While the market’s reaction was muted by renewed trade tensions under a potential Trump tariff revival, the development quietly marks a turning point for Metallium’s long-term story. In a global race to secure domestic sources of critical minerals, Metallium’s Flash Joule Heating technology could become one of the most efficient recycling solutions in the U.S.

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Metallium Targets Stage 1 Operations by 2026 with Focus on High-Value Rare Earths

Metallium’s management remains confident in meeting its development timeline, with Stage 1 operations at the Texas facility targeted for the third quarter of 2026. As part of this phase, approximately 350 tonnes per year of processing capacity will be dedicated to high-value rare earth elements such as gallium and germanium. 

With these commodity prices hovering near record highs, Metallium is well-positioned to capitalise on strong market conditions and prioritise commercialisation efforts that could deliver higher margins and reinvestment capacity. But given the early stages of commercialisation, it is unlikely MTM will be able to generate value for the time being.

Looking ahead, the company’s Stage 2 growth initiative aims to double total processing capacity to 16,000 tonnes per year, further strengthening its potential to scale production and capture long-term value in the critical minerals market.

Geopolitical Tensions Create Tailwinds for Metallium’s U.S. Growth Strategy

The announcement comes at a critical time as geopolitical tensions between China and the United States continue to escalate. With renewed signs of potential tariffs and export restrictions on rare earth elements, refining equipment, and magnet technology under the Trump administration, volatility across the sector is expected to remain elevated.

However, this environment also creates opportunity for long-term investors. Ongoing trade tensions are likely to accelerate U.S. investment in domestic processing and refining technologies as the country works to secure its critical minerals supply chain. Global demand for rare earth elements is forecast to grow at a compound annual rate of 7 to 10 percent through to 2030, driven by rapid technological advancement and the transition to clean energy.

At the same time, as innovation accelerates and older electronics become obsolete, electronic waste (e-waste) is emerging as a major secondary source of valuable materials. For Metallium, this represents an addressable market opportunity of approximately AUD 500 million to AUD 800 million within the e-waste segment alone, underscoring the company’s strategic positioning in a sector poised for sustained growth.

The exclusive option to expand MTM operations

The Texas Technology Campus stands at the core of Metallium’s long-term value proposition. Designed as a scalable hub for advanced recycling and refining, the facility is central to the company’s operational and commercial strategy. It also supports key partnerships, including a collaboration with Ucore Rare Metals, which is integrating Metallium’s Flash Joule Heating process into its RapidSX separation technology. This integration has the potential to cut processing times by up to 50 percent and reduce waste by as much as 90 percent compared to traditional smelting methods.

Importantly, Metallium has also secured exclusive options to expand into two additional sites — Westport, located within Mid City Scrap Metals’ existing campus, and Harrisonburg, positioned near major high-waste data centres. These sites could lift total processing capacity to approximately 20,000 tonnes per year by 2028, significantly expanding Metallium’s footprint within the U.S. critical minerals supply chain.