The U.S. Department of Energy (DOE) announced a new funding opportunity of up to $134 million aimed at improving domestic supply chains for rare earth elements (REEs). The Office of Critical Minerals and Energy Innovation (CMEI) will provide this funding to support projects that focus on the recovery and refining of REEs from unconventional sources, such as mine tailings, electronic waste, and other materials previously considered waste.
According to the DOE, these efforts are intended to decrease reliance on foreign suppliers, strengthen national security, and advance energy independence in the United States. “For too long, the United States has relied on foreign nations for the minerals and materials that power our economy,” said U.S. Secretary of Energy Chris Wright. “We have these resources here at home, but years of complacency ceded America’s mining and industrial base to other nations. Thanks to President Trump’s leadership, we are reversing that trend, rebuilding America’s ability to mine, process, and manufacture the materials essential to our energy and economic security.”
This initiative is part of CMEI’s Rare Earth Demonstration Facility program. The goal is to demonstrate full-scale integrated facilities within the U.S. for extracting and separating rare earth elements. This latest funding notice follows a prior Notice of Intent released by the Department in August.
Rare earth elements such as praseodymium, neodymium, terbium, and dysprosium play important roles in manufacturing advanced technologies, defense applications, power generation equipment, and electric motors. By supporting domestic REE recovery and processing capabilities, DOE aims to boost economic competitiveness and improve resilience in critical supply chains.
A webinar providing more details about this funding opportunity will be held on December 9 at 1:00 PM Eastern Time. Non-binding letters of intent are requested by December 10 at 5:00 PM Eastern Time to assist with review planning. Full applications are due by January 5, 2026.
