US Department of Defense Awards $6.2 Million for Guardian Metal Resources PLC's Pilot Mountain Project
Guardian Metal Resources plc (AIM: GMET, OTCQX: GMTLF) recently announced that its wholly-owned subsidiary, Golden Metal Resources (USA) LLC, has been awarded $6.2 million by the U.S. Department of Defense, under Title III of the Defense Production Act of 1950 (DPA Title III), to accelerate the development of its flagship Pilot Mountain tungsten project in Nevada. With this financial support secured, the company will be able to accelerate its pre-feasibility study for Pilot Mountain, aligning with its broader objective of contributing to U.S. efforts to onshore critical metals and thereby bolster national security and economic priorities.
Oliver Friesen, CEO of Guardian Metal, stated: "This award represents a transformative moment for the company as we strive to supply domestically sourced tungsten in support of the U.S. industrial base. The current environment highlights the importance of establishing a reliable and secure domestic source of tungsten, and this significant non-dilutive award enhances our confidence in our business model. We look forward to demonstrating the results that this investment will enable."
J.T. Starzecki, Chairman of Guardian Metal, added: “This achievement marks an important milestone for the company as we move toward our goal of reaching full commercial status by 2025. The funding will enable the completion of a comprehensive pre-feasibility study, which will define the scope of the Pilot Mountain project and advance us toward becoming a leading domestic producer of this critical mineral."
The DPA Title III program funding will be allocated to essential workstreams associated with the Pilot Mountain pre-feasibility study, which is already underway. Additionally, various environmental studies will be conducted and financed under the terms of the award, supporting the objective of achieving commercial production at Pilot Mountain, the only prospective U.S.-mined source of tungsten.
Mineral Resources Estimate (MRE)
Importantly, the DPA Title III award is non-dilutive to Guardian Metal shareholders, and no commercial covenants are attached that would impede Guardian Metal's current operations or the future sale of tungsten concentrates within the industrial sector. Guardian Metal’s management team will oversee all funded activities and will provide regular updates on progress to the award administrators.