US Army signs term sheet for 200-acre heavy rare earth facility

The U.S. Army and REalloys ($ALOY) signed a non-binding term sheet for a heavy rare earth processing facility on roughly 200 acres at the Tooele Army Depot in Utah, structured as a 50-year lease with an optional 25-year extension subject to Army consent and other conditions. The government would retain ownership of the land while REalloys handles development, financing, construction, operations and eventual decommissioning, splitting site control from operating responsibility. The Army would hold priority rights to the facility's output, according to the statement. The deal is not binding outside certain customary provisions and does not guarantee a definitive lease. It matters as a step toward onshoring U.S. rare earth processing capacity for defense supply chains; next watch for a definitive lease and project financing terms.